Entitled: AN ACT INSTITUTIONALIZING THE GRANT OF STUDENT FARE DISCOUNT PRIVILEGES ON PUBLIC TRANSPORTATION AND FOR OTHER PURPOSES [ SECOND REGULAR SESSION, 17TH CONGRESS ] [ 2017 ] 9/27/2017 Prepared and submitted jointly by the Committee(s) on EDUCATION, ARTS AND CULTURE, PUBLIC SERVICES and WAYS AND MEANS with Senator(s) PAOLO BENIGNO "BAM" AQUINO IV, JUAN EDGARDO "SONNY" M. ANGARA, SHERWIN T. GATCHALIAN and FRANCIS "CHIZ" G. ESCUDERO as author(s) per Committee Report No. 166, recommending its approval in substitution of SBNos. 662, 945 and 1226; 10/3/2017 Committee Report Calendared for Ordinary Business; 10/3/2017 Sponsors: Senator(s) JUAN EDGARDO "SONNY" M. ANGARA, FRANCIS "CHIZ" G. ESCUDERO; 11/20/2017 Transferred from the Calendar for Ordinary Business to the Calendar for Special Order; 11/20/2017 Sponsorship speech of Senator JUAN EDGARDO "SONNY" M. ANGARA; 11/20/2017 Co-sponsorship speech of Senator(s) SHERWIN T. GATCHALIAN and GRACE L. POE; 11/20/2017 Senator GRACE L. POE manifested that she be made a co-author of SBN-1597; 12/4/2017 Senator JOEL VILLANUEVA was made a co-author; 12/14/2017 Letter from Senator CYNTHIA A. VILLAR dated November 21, 2017, requesting that she be made coauthor of SBN-1597, received by the LBIS; [ THIRD REGULAR SESSION, 17TH CONGRESS ] [ 2018 ] 8/2/2018 Letter from Senator LEILA M. DE LIMA dated July 30, 2018, conveying her intention to be made coauthor of SBN-1597, received by the LBIS; 9/12/2018 Period of interpellation closed; 9/25/2018 Period of committee amendments closed; 9/25/2018 Period of individual amendments; 9/25/2018 Period of individual amendments closed; 9/25/2018 Approved on Second Reading with Amendments; 9/25/2018 All Senators present were made coauthors: Senators MARIA LOURDES NANCY S. BINAY, FRANKLIN M. DRILON, JOSEPH VICTOR G. EJERCITO, RICHARD J. GORDON, GREGORIO B. HONASAN II, RISA HONTIVEROS, PANFILO M. LACSON, LOREN B. LEGARDA, EMMANUEL "MANNY" D. PACQUIAO, FRANCIS N. PANGILINAN, AQUILINO KOKO III L. PIMENTEL, RALPH G. RECTO, VICENTE C. SOTTO III, ANTONIO "SONNY" F. TRILLANES, and JUAN MIGUEL F. ZUBIRI; 9/27/2018 Printed copies were distributed to the Senators; 10/1/2018 Approved on Third Reading; 10/1/2018 In favor: (18) JUAN EDGARDO "SONNY" M. ANGARA, PAOLO BENIGNO "BAM" AQUINO IV, MARIA LOURDES NANCY S. BINAY, FRANKLIN M. DRILON, JOSEPH VICTOR G. EJERCITO, FRANCIS "CHIZ" G. ESCUDERO, SHERWIN T. GATCHALIAN, RICHARD J. GORDON, GREGORIO B. HONASAN II, RISA HONTIVEROS, PANFILO M. LACSON, FRANCIS N. PANGILINAN, AQUILINO KOKO III L. PIMENTEL, GRACE L. POE, VICENTE C. SOTTO III, JOEL VILLANUEVA, CYNTHIA A. VILLAR and JUAN MIGUEL F. ZUBIRI; 10/1/2018 Against: (None) ; 10/1/2018 Abstention: (None) ; 10/3/2018 Sent to the House of Representatives requesting for concurrence; [ 2019 ] 2/6/2019 Senate designated Senators Angara, Villanueva and Drilon as its conferees to the Bicameral Conference Committee on the disagreeing provisions of SBN-1597 and HBN-8885; 2/6/2019 Conference Committee Report on the disagreeing provisions of SBN-1597 and HBN-8885, submitted to the Senate, recommending that SBN-1597, in consolidation with HBN-8885, be approved in accordance with the attached copy of the bill as reconciled and approved by the conferees; FINAL TITLE: AN ACT INSTITUTIONALIZING THE GRANT OF STUDENT FARE DISCOUNT PRIVILEGES ON PUBLIC TRANSPORTATION AND FOR OTHER PURPOSES. 2/6/2019 Sponsorship speech on the Conference Committee Report of Senator JUAN EDGARDO "SONNY" M. ANGARA; 2/6/2019 Conference Committee Report Approved by the Senate; 2/7/2019 House of Representatives designated Representatives Sarmiento (C)., Vargas, Castelo, Sarmiento (E.), Olivarez, Siao, Paduano and Salo as its conferees to the Bicameral Conference Committee on the disagreeing provisions of HBN-8885 and SBN-1597 on February 6, 2019; (See: O.B. dated May 20, 2019) 2/8/2019 Conference Committee Report Approved by the House of Representatives on February 7, 2019; (See: O.B. dated June 4, 2019) 3/11/2019 Letter from Senate Secretary Atty. Myra Marie D. Villarica, dated March 6, 2019, transmitting nine (9) enrolled copies of the consolidated version of SBN-1597 and HBN-8885, for the signature of Speaker Gloria Macapagal-Arroyo and Acting Secretary General of the House of Representatives, Mr. Dante Roberto P. Maling; 3/19/2019 Letter for Senate Secretary Myra Marie D. Villarica, dated March 18, 2019, returning eight (8) enrolled copies of the consolidated version of SBN-1597 and HBN-8885, which were signed by Speaker Gloria Macapagal-Arroyo and the Acting Secretary General of the House of Representatives, Mr. Dante Roberto P. Maling; 3/21/2019 Enrolled copies of the consolidated version of SBN-1597 and HBN-8885, sent to the Office of the President of the Philippines through PLLO for the signature and approval of His Excellency, President Rodrigo Roa Duterte; 6/30/2019 Approved and signed into law, in consolidation with HBN-8885, by the President of the Philippines, His Excellency, President Rodrigo Roa Duterte on April 17, 2019 and became (Communication received by the LBIS on July 16, 2019) 6/30/2019 REPUBLIC ACT NO. 11314. (See: O.B. dated August 19, 2019, 18th Congress) (The legislative history/plenary deliberations is prepared by the INDEXING, MONITORING AND LIS SECTION, LEGISLATIVE BILLS AND INDEX SERVICE; The data entry on committee meetings is prepared by the Committee Affairs Bureau)
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115 OG No. 31, 8213 (August 5, 2019)
[ REPUBLIC ACT NO. 11314, April 17, 2019 ]
AN ACT INSTITUTIONALIZING THE GRANT OF STUDENT PARE DISCOUNT PRIVILEGES ON PUBLIC TRANSPORTATION AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SECTION 1. Short Title. - This Act shall be known as the "Student. Fare Discount Act".
SEC. 2. Declaration of Policy. - Section 1, Article XIV, of the 1987 Constitution states: "'The State shall protect and promote the right of all citizens to quality education at all levels, and shall take appropriate steps to make such education accessible to all". In addition. Paragraph 3, Section 2 of the same Article directs the State to establish and maintain a system of scholarship grants, student loan programs, subsidies, and other incentives, which shall be available to deserving students in both public and private schools, especially to the underprivileged.
Consistent with these Constitutional mandates, the State shall:
(a) Establish a mechanism that ensures the mandatory grant of a student fare discount privilege;
(b) Enlist the cooperation and support of public transportation utilities in extending assistance to students as a social responsibility through the observance of this privilege; and
(c) Encourage students, particularly the poor and underprivileged, to pursue quality education to secure their future and make them responsible citizens.
SEC. 3. Definition of Terns. - As used in this Act:
(a) Student refers to any Filipino citizen currently enrolled in a duly authorized elementary, secondary, technical—vocational, or higher education institution. The term does not include those enrolled in post graduate degree courses and informal short-term courses such as dancing, swimming, music and driving lessons and seminar-type courses;
(b) Public transportation utilities refer to all Philippine common carriers engaged in the business of carrying or transporting passengers or goods by land, sea/water or air, for compensation., offering their services to the public; and
(c) Public transportation utility operator refers to the person or entity granted with a Certificate of Public Convenience by a regulatory agency to operate as a common carrier.
SEC. 4. Coverage. — This Act shall cover all public transportation utilities such as, but not limited to, public utility buses (PUBs), public utility jeepneys (PUJs), taxis and other similar vehicles-for-hire, tricycles, passenger trains, aircrafts and marine vessels. The application of this Act does not cover school service, shuttle service, tourist service, and any similar service covered by contract or charter agreement and with valid franchise or permit from the Land Transportation Franchising and Regulatory Board (LTFRB).
The fare discount granted under this Act shall be available during the entire period while the student is enrolled, including weekends and holidays: Provided, That, in a case where a promotional fare, as approved by the concerned regulatory agency, is granted by a public transportation utility operator, the student shall have the option to choose between the promotional fare and the regular fare less the discount as provided under this Act.
SEC. 5. Student Fare Discount Privilege. - A student under this Act shall be entitled to a grant of twenty percent (20%) discount on domestic regular fares, upon personal presentation of their duly issued school identification cards (IDs) or current validated enrollment form, supported by the prescribed government-issued identification document, subject to an appropriate verification mechanism to be provided in the implementing rules and regulations (IRR): Provided, That in the case of air public transportation utilities, the discount shall only apply to the base fare or the price of the ticket before taxes and costs for ancillary services.
SEC. 6. Prohibition on Availment of Double Discounts. - The privileges mentioned in this Act shall not be claimed if the student claims a higher discount as may be granted by the public transportation utility, or under other existing laws, or in combination with other discount programs or incentives.
SEC. 7. Tax Deduction. - The public transportation utility operator may claim as tax deduction the student fare discount herein granted based on the cost of the services rendered: Provided, That the cost of the discount shall be allowed as deduction from gross income for the same taxable year that the discount is granted: Provided, further, That the total amount of the tax deduction net of value-added tax, if applicable, shall be included in their gross sales receipts for tax purposes and shall be subject to proper documentation and to the provisions of the National Internal Revenue Code, as amended.
SEC. 8. Additional Relief or Support for the Public Transportation Utility Operator and Driver. - The foregoing provision notwithstanding, the appropriate government agencies in charge of regulating the fares, especially for public land transportation, may determine and provide under the IRR of this Act other alternative ways, such as, but not limited to, reduction or exemption from some regulatory fees and charges, to provide additional relief or support for the benefit of public transportation utility operators, including the drivers, with the end view of mitigating the impact of the discount given.
SEC. 9. Filing of Complaints. - A student who is refused the fare discount privilege under this Act may file a complaint with:
(a) The LTFRB for land public transportation utilities, except tricycles;
(b) The Maritime Industry Authority (MARINA) for sea/water public transportation utilities;
(c) The Civil Aeronautics Board (CAB) for air public transportation utilities;
(d) The Legal Service of the Department of Transportation (DOTr) for rail public transportation facilities, including the Manila Light. Rail Transit System, the Manila Metro Rail Transit System and the Philippine National Railway System: and
(e) The Office of the Local Chief Executive of the local government unit concerned for tricycles.
These agencies and offices are hereby authorized to impose the penalties provided for m Section 10 of this Act to public transportation utilities that refuse or fail to grant the student fare discount privilege.
SEC. 10. Penalties. - After due investigation and finding die complaint against any public transportation utility to be true and valid, the following penalties shall be imposed as herein specified:
(a) For Land Public -Transportation Utilities, including tricycles:
The driver shall suffer the penalty of suspension of driver's license for:
(1) One (1) month for the first offense;
(2) Two (2) months for the second offense;
(3) Three (3) months for the third offense; and
(4) Three (3) months plus a fine of One thousand pesos (P1,000.00) for each subsequent offense.
For the owner or operator of the land public transportation utility: A fine of Five thousand pesos (P5,000.00) for the first offense: a fine of Ten thousand pesos (P10,000.00) and impounding of unit for thirty (30) days for the second offense; and a fine of Fifteen thousand pesos (P15.000.00) and cancellation of Certificate of Public Convenience (CPC) for the third and subsequent offenses.
(b) For Sea/Water Public Transportation Utilities:
The owner or operator of the sea/water public transportation utility responsible for the refusal or failure shall be penalized with a fine of:
(1) Five thousand pesos (P5.000.00) for the first offense;
(2) Ten thousand pesos (P10.000.00) for the second offense;
(3) Twenty thousand pesos (P20.000.00) for the third offense; and
(4) Additional increments of Ten thousand pesos (P10,000.00) on top of the fine for the third offense for each subsequent offense.
(c) For Air Public Transportation Utilities: A fine of Fifty thousand pesos (P50.000.00) for the first offense; a fine of One hundred thousand pesos (Pi00,000.00) and a warning for the second offense; and a fine of One hundred fifty thousand pesos (P150.000.00) and other sanctions as may be determined by CAB, for the third and subsequent offenses; and
(d) For Rail Public Transportation Utilities: All rail public transportation utilities are mandated to observe the aforesaid fare discount privilege and designate a student/senior citizen fare booth in their boarding stations. Violations thereof shall be sanctioned or fined under the existing civil service rides. For privately-operated rail public transportation utilities, the amount of fines prescribed under subparagraph (b) of this section shall apply, to be imposed by the DOTr.
Upon filing of an appropriate complaint, and after due notice and hearing, the proper authorities in subparagraphs (b), (c), and (d), with respect to private railways, of this section may also cause the cancellation or revocation of CPC, permit to operate, franchise, licenses and other privileges granted to the transportation utilities who fail to comply with the provisions of this Act.
SEC. 11. Use of Falsified Identification- Documents and Misrepresentation. - Any person who avails or attempts to avail of the privileges under this Act through the use of falsified identification documents, fraud or any form of misrepresentation shall be denied said privileges and may be subject to civil and penal liabilities prescribed by law.
SEC. 12. Implementing Rules and Regulations (IRR). -Within ninety (90) days from the effectivity of this Act, the LTFRB for land transport, MARINA for sea/water transport, CAB for air transport and the DOTr for rail transport shall respectively promulgate the IKR covering their sectors, taking into consideration the government central identification platform, in consultation with the Department of the Interior and Local Government, Department of Finance, Bureau of Internal Revenue, Department of Education, Commission on Higher Education, Technical Education and Skills Development Authority, Philippine Statistics Authority, other concerned government agencies, public transportation utility operators and stakeholders.
SEC. 13. Separability Clause. - If any portion or provision of this Act is declared invalid or unconstitutional, the provisions not affected thereby shall remain in full force and effect.
SEC. 14. Repealing Clause. - All laws, decrees., executive orders, proclamations, rules and regulations, and other issuances or parts thereof that are inconsistent with the provisions of this Act are hereby repealed or modified accordingly.
SEC. 15. Effectivity. - This Act shall take effect fifteen (15) days after its publication in the Official Gazette or in a newspaper of general circulation.
(SGD.) GLORIA MACAPAGAL-ARROYO
(SGD.) VICENTE C. SOTTO III
This Act which is a consolidation of Senate Bill No. 1597 and Hoiise Bill No. 8885 was passed by the Senate of the Philippines and the House of Representatives on February 6, 2019 and February 7, 2019, respectively.
(SGD.) DANTE ROBERTO P. MALING
(SGD.) MYRA MARIE D. VILLARICA
Approved: APR 17 2019
(SGD.) RODRIGO ROA DUTERTE
President of the Philippines
Source: Supreme Court E-Library
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