Local Governments Hold Power Over Public Convenience in Traffic Regulation

Bagon Repormang Samahan ng mga Tsuper at Operator sa Rotang Pasig Quiapo via Palengke San Joaquin Ikot, Inc. v. City of Mandaluyong, G.R. No. 218593, June 15, 2020

Imagine a bustling city where the daily commute is a chaotic dance of vehicles vying for space on the roads. For jeepney drivers, the route under the Shaw Boulevard-EDSA flyover in Mandaluyong City was once a lifeline, a place where they could reliably pick up passengers and earn their living. However, when the city enforced a traffic ordinance prohibiting passage under the flyover, these drivers found themselves at the center of a legal battle that would challenge the very nature of their rights to operate.

The case of Bagon Repormang Samahan ng mga Tsuper at Operator sa Rotang Pasig Quiapo via Palengke San Joaquin Ikot, Inc. versus the City of Mandaluyong revolved around the enforcement of a local ordinance and its impact on jeepney drivers’ certificates of public convenience. The central question was whether these certificates granted an absolute right to ply specific routes, or if local governments could regulate traffic in their jurisdictions.

Understanding Certificates of Public Convenience and Local Traffic Laws

In the Philippines, a certificate of public convenience is a permit issued by the Land Transportation Franchising and Regulatory Board (LTFRB) that authorizes the operation of land transportation services for public use. However, these certificates are not absolute rights but rather privileges subject to compliance with national and local laws.

The Local Government Code of 1991 empowers local governments to enact ordinances for the general welfare of their communities, including the regulation of traffic. Section 458 of the Code specifically allows cities to regulate the use of streets and traffic, a power that is rooted in the general welfare clause under Section 16. This clause enables local governments to craft regulations that promote health, safety, and public convenience within their jurisdictions.

For instance, if a city observes that a particular road is prone to congestion due to the loading and unloading of passengers, it can enact an ordinance to manage traffic flow, even if it affects routes specified in certificates of public convenience.

The Journey from Flyover to Supreme Court

The story begins with jeepney drivers from Bagon Repormang Samahan who had been plying their route under the Shaw Boulevard-EDSA flyover for years. In 2005, the City of Mandaluyong enacted Ordinance No. 358, which authorized the Traffic and Parking Management Office to adjust turning points and terminals of public utility vehicles without modifying their routes.

The drivers were prohibited from using the road under the flyover, leading to a significant drop in their income. They filed a Petition for Injunction, arguing that their certificates of public convenience granted them the right to use the route. The Regional Trial Court and later the Court of Appeals denied their petition, prompting an appeal to the Supreme Court.

The Supreme Court’s decision hinged on the understanding that certificates of public convenience do not confer property rights over specific routes. Justice Leonen, in the decision, stated, “A certificate of public convenience is a mere license or privilege. It does not vest property rights on the routes covered in it.” The Court also emphasized that local governments have the authority to regulate traffic for the public’s safety and convenience.

The Court further noted the testimony of a driver who admitted that they had been prohibited from using the road under the flyover since its construction in 2001: “Since 2001, sir, we were no longer allowed to pass under the flyover.”

Implications for Future Cases and Practical Advice

This ruling clarifies that local governments can regulate traffic in ways that affect public utility vehicle operations, even if those operations are authorized by certificates of public convenience. It underscores the need for transport operators to comply with local ordinances, which are designed to address specific local conditions.

For jeepney operators and other public utility vehicle owners, it is crucial to stay informed about local traffic regulations and to engage with local governments to understand how these laws might impact their operations. Operators should also be prepared to adapt their routes or practices in response to changing local conditions.

Key Lessons:

• Understand that certificates of public convenience are privileges, not property rights.
• Stay updated on local ordinances that may affect your routes or operations.
• Engage with local governments to address concerns about traffic regulations.

Frequently Asked Questions

What is a certificate of public convenience?
A certificate of public convenience is a permit issued by the LTFRB that authorizes the operation of land transportation services for public use. It is a privilege, not a property right.

Can local governments regulate routes covered by certificates of public convenience?
Yes, local governments can enact ordinances to regulate traffic, including routes specified in certificates of public convenience, under the Local Government Code.

What should jeepney operators do if a local ordinance affects their routes?
Operators should review the ordinance, engage with local authorities to understand the rationale behind it, and adapt their operations accordingly.

Can a certificate of public convenience be revoked?
Yes, the LTFRB can revoke or amend certificates of public convenience if the holder violates regulations or if conditions change.

How can transport operators protect their rights?
Operators should maintain compliance with all regulations, document any issues, and seek legal advice if they believe their rights are being violated.

ASG Law specializes in transportation law and local government regulations. Contact us or email hello@asglawpartners.com to schedule a consultation.