Registering a transport cooperative (TC) can be a rewarding venture, offering a structured and community-oriented approach to providing transportation services. If you’re considering this path, you need to visit the Cooperative Development Authority (CDA)—the sole agency in the Philippines with authority to provide legal recognition to the transport cooperative, allowing it to operate legitimately. It will take several steps, but the benefits that come with the registration is worth the trouble when the transport cooperative starts to operate.
Registering a transport cooperative is an important step for these groups because it ensures institutional recognition, access to government support, and eligibility for various benefits and incentives. It also fosters organized, community-driven transport services that can enhance local mobility and economic development. Failure to register means operating illegally, which can lead to penalties, lack of legal protection, and missed opportunities for financial and technical assistance offered by government programs to transport cooperatives. If you need more information, here’s a step-by-step guide on how to register a transport cooperative with the CDA.
What is a Transport Cooperative (TC)?
A transport cooperative is a type of cooperative that provides public transportation services, including land and sea transportation, organized under the provisions of RA 9520 (Philippine Cooperative Code of 2008). It is formed by a group of individuals who pool resources to offer services such as tricycles, jeepneys, taxis, vans, buses, and small vessels for safe conveyance of passengers and cargo. The cooperative is managed democratically by its members, ensuring that the benefits are distributed fairly among them.
Registering with the Cooperative Development Authority (CDA) is crucial for transport cooperatives as it provides legal recognition and access to government support and incentives. The CDA ensures that cooperatives comply with national standards, promoting transparency, accountability, and operational efficiency. For registered transport cooperatives, the CDA offers various benefits, including technical assistance, training, and access to funding opportunities, which enhance the cooperative’s growth and sustainability.
Step-by-Step Guide to Register a Transport Cooperative
Registering a transport cooperative in the Philippines involves a series of steps to ensure legal recognition and compliance with national regulations. This process, overseen by the CDA, enables cooperatives to access various benefits and operate effectively. Here is a step-by-step guide to help you navigate the registration process for a transport cooperative in person.
Step 1. Understand the Purpose and Coverage
The CDA’s guidelines (MC 2018-04) ensure the orderly registration of transport cooperatives. These cooperatives must comply with the requirements under RA 9520 and relevant administrative issuances of the CDA. They cover both new and existing cooperatives that aim to provide public transportation services.
Step 2. Gather Initial Members
Take note that there is a minimum number of initial members required before you can set up and establish a TC. In the Philippines, it is a must to gather at least fifteen (15) Filipino citizens to form a transport cooperative. These individuals should also share a common bond of membership and either reside or work in the intended area of operation.
Step 3. Prepare Essential Documents
For registration, four (4) copies each of the following documents need to be prepared:
- Articles of Cooperation and By-laws: These should outline the cooperative’s structure, purpose, and operational guidelines as well as the following information:
- the name of the cooperative, which must include the word “cooperative”;
- the purpose or purposes and scope of business for which the cooperative is to be registered;
- the term of existence of cooperative;
- the area of operation and the postal address of its principal office;
- the names, nationality and the postal addresses of the registrants;
- the common bond of membership;
- The list of names of the directors who shall manage the cooperative; and
- The amount of its share capital, including the names and residences of its contributors, and a statement of whether the cooperative is primary, secondary or tertiary. The articles of cooperation shall be signed by each of the organizers and acknowledged by them if natural persons, and by the chairpersons or secretaries, if juridical persons, before a notary public.
- Sworn Statement from the Treasurer: This statement should indicate that at least 25% of the authorized share capital has been subscribed and 25% of the total subscription has been paid, with a minimum paid-up share capital of PHP 15,000.
- Certificate of Attendance to a Pre-Membership Education Seminar (PMES): This seminar is conducted by the CDA Extension Office.
- Certificate of Attendance to a Cooperative Education and Transport Operation Seminar (CETOS): Issued by the Office of Transportation Cooperative (OTC).
- Surety Bond of Accountable Officers: This is required for officers handling funds and properties.
- Economic Survey: This document describes the proposed cooperative’s structure and purpose.
- Favorable Endorsement from the OTC or designated government agency.
Step 4. Reserve the Cooperative Name
Reserve your cooperative’s name through the CDA Cooperative Systems (CS) Project. There are associated fees depending on the reservation period (PHP 100 for 30 days, PHP 200 for 60 days, and PHP 300 for 90 days).
Step 5. Submit the Application
Submit the completed documents in four (4) copies to the CDA Central Office or the respective Extension Office that has jurisdiction over your cooperative’s principal office. The Extension Office will conduct an initial verification before forwarding the documents to the CDA Central Office for final evaluation.
Step 6. Attend the Pre-Registration Seminar
All prospective members must attend a Pre-Membership Education Seminar (PMES), which provides essential knowledge about cooperative management and operations.
Step 7. Pay the Registration Fee
Pay the appropriate registration fee. The fee structure is 1/10 of 1% of the paid-up capital or the basic fee, whichever is higher. For primary cooperatives, this fee is PHP 500.
Step 8. Receive the Certificate of Registration
Upon satisfactory evaluation, the CDA Central Office will issue a Certificate of Registration, officially recognizing your transport cooperative.
Registering a transport cooperative with the Cooperative Development Authority (CDA) involves a series of structured steps to ensure compliance with legal requirements and operational standards. By following these steps, you can successfully establish and register your transport cooperative, ensuring legal compliance and access to various benefits and support mechanisms provided by the CDA.
Note: Registration of cooperatives can also be done online via the CDA Electronic Cooperative Registration Information System (e-CoopRIS)—the full automation and online pre-processing for NON-CSF cooperative for name reservation, evaluation and approval of application for new registration, amendments and registration/recognition of branch/satellite/laboratory cooperatives.
Where to Register
Prospective transport cooperatives, just like any other type of Philippine cooperatives, must submit their application to the CDA Extension Office where the principal office of the cooperative is located. Simply put, you simply need to go to the CDA office closest to your cooperative’s main office or headquarters.
Fees
The following are the amount of fees to be paid for the registration of cooperatives,along with other services related to or similar to the act of registering your cooperative:
Name Reservation Fees
- Thirty (30) calendar days – PHP 100.00
- Sixty (60) calendar days – PHP 200.00
- Ninety (90) calendar days – PHP 300.00
Initial Registration Fees
The initial registration fee structure is 1/10 of 1% of the paid-up capital or the basic fee, whichever is higher. For a detailed list, please see below:
- Primary Co-ops (members are natural person/individuals)– PHP 500.00
- Secondary Co-ops (members are primary co-ops) – PHP 2,000.00
- Tertiary Co-ops (members are secondary co-ops) – PHP 3,000.00
- Laboratory Co-ops – PHP 50.00
Amendment Fees
- On specific provision/s – PHP 300.00
- By substitution – PHP 300.00
- On increase of capital – PHP 1/10 of 1% of the increased paid-up capital
Merger Fees
- PHP 400.00 plus the Amendment (on increase of capital) fees above, in case of increase in capital
Consolidation Fees
- Apply initial registration fees above, if applicable
Division Fees
- Apply initial registration fees above, if applicable
Additional Capital and Vehicle Requirements
Depending on the type of vehicle your cooperative will operate, there are specific minimum capitalization and vehicle unit requirements:
- Tricycle: PHP 15,000.00 for 5 units
- Jeepney: PHP 30,000.00 for 5 units
- Taxi: PHP 30,000.00 for 5 units
- Van (AUV/FX): PHP 30,000.00 for 5 units
- Mini Bus/Bus: PHP 50,000.00 for 2 units
- Ship: PHP 10,000,000.00 for 1 unit
- Ferry Boat: PHP 5,000,000.00 for 1 unit
- Motorized Banca: PHP 100,000 for 1 unit
Video: How to Register Your Cooperative Using E-CoopRIS
For information on how to proceed with the registration of your transport cooperative online via the CDA Electronic Cooperative Registration Information System (e-CoopRIS), then you may check out this video from CDA.
You may also check the E-CoopRIS user manual on the CDA website for detailed procedures on how to use the E-CoopRIS.
Summary
Registering a transport cooperative involves several steps and adherence to specific guidelines set by the CDA. By following this guide and ensuring compliance with all requirements, you can successfully establish a cooperative that provides essential transportation services to your community. For more information and updates, visit the CDA’s official website or reach out to CDA directly.
Cooperative Development Authority (CDA)
Address: 827 Aurora Blvd., Service Road, Brgy. Immaculate Conception Cubao, Quezon City
Email: helpdesk@cda.gov.ph0
Website: www.cda.gov.ph
Contact Number: (02) 8725-3764
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