Decree 78-2022
Congreso Nacional
- Decree: 78-2022
- Published: September 1, 2022
- Issuing body: Congreso Nacional
- Gazette: 36,017
- Category: Financial & Tax
Summary
This decree creates a fund of 240 million lempiras to help urban bus transportation users by granting a compensation of 3 lempiras per passenger (maximum 1,080 daily per vehicle) for 3 months, renewable for an equal period. It aims to prevent fare increases amid the economic crisis caused by the pandemic and international conflicts that have raised fuel prices.
Considerations
Whereas the Constitution of the Republic in its Article 1 establishes that "Honduras is a State of Law, sovereign, constituted as a free, democratic and independent Republic to assure its inhabitants the enjoyment of justice, freedom, culture and economic and social welfare".
Whereas the Constitution of the Republic in its Article 333 establishes that "The intervention of the State in the economy shall be based on public and social interest, and shall be limited by the rights and freedoms recognized by this Constitution".
Whereas the transportation system as a public service seeks to guarantee that it is provided under conditions of equity with respect to the investment made by its service providers in relation to users; seeking that said provision be rendered and received under conditions that guarantee to the parties participating therein, an adequate and fair service.
Whereas the Law on Land Transportation, contained in Decree No. 155-2015 dated December 17, 2015, published in the Official Gazette "La Gaceta" on March 30, 2016, establishes that remunerative land transportation in motor vehicles constitutes a public service of the State, which may be provided directly by the State or by natural or legal persons expressly authorized by it, and that the service shall have as its purpose the efficiency and economy for the benefit of the user.
Whereas the Law on Land Transportation of Honduras establishes in its Article 68 that "The fares for Land Transportation must cover the totality of actual costs, under conditions of normal productivity and efficiency, must permit adequate amortization and a reasonable business profit". Likewise, the Executive Branch may establish economic mechanisms to maintain the costs of fares insofar as economic conditions permit.
Whereas previously exceptional compensations have been granted, with the purpose of providing relief to urban transportation concessionaires, so that they may serve to compensate their operating costs, and in this way translate into direct benefits for users of this service, by avoiding that they be affected by an increase in fares.
Whereas there is currently a global economic crisis resulting from the COVID-19 Pandemic and its recent resurgence, to which is added the Russia-Ukraine armed conflict, which has caused upheaval in international financial markets and has drastically increased uncertainty regarding the recovery of the world economy.
Whereas it is a matter of public knowledge the significant increases in prices that petroleum-derived products have recently been suffering, particularly fuels such as Diesel and the basic basket of spare parts, which are a necessary component for the operability of transportation units that provide the urban bus public transportation service in the different cities of the country; a situation that directly impacts the operating costs of concessionaires.
Whereas liquid fuels are essential products in the economy of the most vulnerable Honduran households and directly impact the national economy as they constitute the most utilized fuels in work and transportation vehicles, wherefore it is imperative to take extraordinary measures that permit mitigating the impact of the rise in their prices on consumers and on the country's economy.
Whereas on April 12, 2022 an Agreement was signed between the Government of the Republic of Honduras and the Public Transportation Sector for Persons in the Urban Bus modality, agreeing to grant a provisional economic compensation per passenger transported, at the rate of Three Lempiras (L.3.00) per passenger, up to a maximum of One Thousand Eighty Lempiras (L.1,080.00) per working day per vehicle, for the benefit of users.
Whereas in the aforementioned Agreement in the preceding recital, the concessionaires committed to improving the quality of service in favor of users through the certification of pilots, staff, as well as the improvement of terminals, transportation units, maintaining biosafety measures, with the support of the Honduran Land Transportation Institute (IHTT), as well as the continuous provision of service.
Whereas in said Agreement it is likewise established that the Honduran Land Transportation Institute (IHTT) commits to review what is currently owed to the urban transportation sector of the Central District, in accordance with Decree No. 129-2021, dated December 23, 2021 and published in the Official Gazette "La Gaceta" on January 12, 2022, Edition No. 35,820, relating to reforms to Articles 10, 10-A, 10-C and 10-G of Decree No. 100-2017, dated September 27, 2017.
Whereas the payment of the provisional economic compensation shall be made through a mechanism that promotes transparency and permits the clear and precise determination of beneficiaries and amounts, which facilitates accountability and settlement of the funds paid for this purpose.
Whereas in accordance with Article 205 Attribution 1) of the Constitution of the Republic, it is the prerogative of the National Congress: To create, decree, interpret, reform and repeal laws.
Articles
A fund is hereby created in the amount of TWO HUNDRED FORTY MILLION EIGHTY-FOUR THOUSAND LEMPIRAS EXACT (L.240,084,000.00) in favor of users of the Public Transportation Service in the urban bus modality, to be applied as a provisional economic compensation of the fare to users, with the purpose of avoiding an increase in the previously established rates. This benefit shall be channeled through the concessionaires that provide the public transportation service for persons in the urban bus modality at the national level, at the rate of THREE LEMPIRAS (L.3.00) per passenger transported and up to a maximum of ONE THOUSAND EIGHTY LEMPIRAS (L1,080.00) per unit and per working day, for a period of three (3) months, effective as of the date on which the compensation begins to be granted, and may be extended for a single additional period of equal time and amount, that is three (3) additional months.
Additionally to the amount established in the preceding Article, and with the purpose of carrying out a correct and transparent handling, supervision, execution and payment of the provisional economic compensation of fares, an amount of THREE MILLION FIVE HUNDRED THOUSAND LEMPIRAS EXACT (L.3,500,000.00) is allocated to cover operational expenses and the hiring of necessary human resources during the validity of this Decree, as well as to design an efficient, modern and secure collection system, which shall also serve for the establishment of a "Subsidy Program" directed directly to each user of the Public Transportation System in the Urban Bus Modality.
The Secretariat of State in the Office of Finance (SEFIN) must identify the funds established in the preceding articles, based on the modification of the General Budget of Income and Expenditures of the Republic and its General Provisions, Fiscal Year 2022, within the framework of Decree No.30-2022, dated April 8 of the year 2022 and published in the Official Newspaper "La Gaceta" dated April 8, 2022, Edition No.35,894, Article 274-K, so that said funds shall be incorporated into the budget of the Honduran Institute of Land Transportation (IHTT).
The provisional economic compensation shall be paid to the concessionaires of the transportation service in the urban bus modality at the national level, whether natural or legal persons duly authorized, who are providing the service without interruption within the urban perimeter and who have valid concession, exploitation permit and operating certificate with the Honduran Institute of Land Transportation (IHTT), in strict compliance with the provisions contained in the Law. The payment of this compensation is subject to the process of operational verification of the units to be benefited by the Honduran Institute of Land Transportation (IHTT), and effective mechanisms of transparency and accountability shall be established.
To be a beneficiary of this provisional economic compensation, the following is required:
- 1)
To be a concessionaire of the Public Transportation Service for Persons in the Urban Bus Modality;
- 2)
To have valid Exploitation Permits and Operating Certificates, or those in the process of adjudication or those in the process of renewal due to the high administrative arrears of the Honduran Institute of Land Transportation (IHTT);
- 3)
That the concessionaire who is benefited by this compensation maintains the unit providing the service without interruption;
- 4)
Issuance of the payment receipt by the beneficiary; and,
- 5)
The others that shall be established by the Directive Commission of Land Transportation in the payment procedure, based on the Agreement executed between the Government of the Republic and the transportation concessionaires.
The Directive Commission of the Honduran Institute of Land Transportation (IHTT) must proceed to establish the respective payment procedure, by means of a Directive Commission Meeting.
In case of controversy, conflict, contradictions or circumstances not expressly contemplated or regulated in this Decree, with respect to the granting of provisional economic compensation to the rate for the provision of the Public Transportation Service for Persons in the Urban Bus Modality, the legally competent body to decide and resolve these and other cases is the Directive Commission of the Honduran Institute of Land Transportation (IHTT), which shall adopt all its decisions through the issuance of the corresponding resolution.
The Honduran Institute of Land Transportation (IHTT) as executor of the funds allocated in this Decree shall be responsible civilly, criminally and administratively for the correct execution, transparency, administration and liquidation of the funds, and must implement mechanisms of transparency and oversight.
The Honduran Institute of Land Transportation (IHTT) within thirty (30) days from the date this Decree enters into force, must present the project for identification and registration of natural persons who habitually use the public transportation service through the payment of a fare, that is of the users, as well as the system and mechanism that shall be installed in the transportation units, in order that the concessionaires and the State verify the exact control, targeting and provisional economic compensation of the fare established in Article 1 of this Decree.
The concessionaires benefited by this Decree have a maximum period of three (3) months to proceed with the certification process at the National School of Land Transportation (ENTT) of the drivers and staff members who are assigned to the unit for which they are benefited, to guarantee adequate and efficient service to the users of public transportation for persons in the urban modality.
The concessionaires of the Public Transportation Service for Persons in the Urban Bus Modality who are benefited under this Decree may not under any circumstance carry out actions of public transportation stoppage for persons in the national territory and affect the Honduran people, and must at all times maintain frank and permanent dialogue with the corresponding authorities.
The Honduran Institute of Land Transportation (IHTT), through the Secretariat of State in the Office of Infrastructure and Transportation (SIT), must issue within fifteen (15) business days once this Decree enters into force, an Executive Agreement in which the mechanisms and other necessary elements are established to comply with the Agreement signed on April 12 of the year 2022 between the Government of the Republic of Honduras and the Public Transportation Sector for Persons in the Urban Bus Modality.
This Decree shall be valid for its application for three (3) months, and may be extended for a single additional period of equal time and amount in accordance with the Agreement executed between the Government of the Republic and the transportation concessionaires. The Secretariat of State in the Office of Infrastructure and Transportation (SIT) and the Honduran Institute of Land Transportation (IHTT) must initiate the procedure for the application of a direct subsidy to the transportation user, which must be ready for implementation as of September 30 of the year 2022.
This Decree enters into force as of the day of its publication in the Official Newspaper "La Gaceta". Done in the city of Tegucigalpa, municipality of the Central District, in the Session Hall of the National Congress, on the third day of the month of August of two thousand twenty-two. LUIS ROLANDO REDONDO GUIFARRO PRESIDENT CARLOS ARMANDO ZELAYA ROSALES SECRETARY LUZ ANGÉLICA SMITH MEJÍA SECRETARY To the Executive Power Therefore: Execute. Tegucigalpa, M.D.C., August 12, 2022. IRIS XIOMARA CASTRO SARMIENTO PRESIDENT OF THE REPUBLIC MAURICIO ANTONIO RAMOS CASTRO THE SECRETARY OF STATE IN THE OFFICE OF INFRASTRUCTURE AND TRANSPORTATION
Related laws
- Decree 78-2022 by which a fund of two hundred forty million eighty-four thousand lempiras exactly (L.240,084,000.00) is created in favor of users of public transportation service in the urban bus modality — Decree 78-2022 creates a fund of 240 million 84 thousand lempiras to subsidize urban public transportation nationwide. It benefits bus passengers by preventing fare increases, paying 3 lempiras per passenger transported (maximum 1,080 lempiras daily per vehicle) through transportation operators.
- Decreto Legislativo No. 40-2023 — Ampliación del período de pago de compensación económica provisional a usuarios del servicio de transporte público en modalidad de bus urbano — This law extends a subsidy program for urban bus companies that reduces passenger fares. The government will pay L3.00 per passenger (maximum L1,080 daily) from October 2022 through December 2023, preventing fare increases that would harm users. Companies must keep their buses in continuous operation and comply with quality certifications. (Decree 40-2023, 2023)
- Decreto Legislativo No. 40-2023 — Ampliación del período de compensación económica provisional para transporte público urbano — This law extends a state subsidy to urban bus companies in Honduras until December 2023, paying them L3.00 per passenger (maximum L1,080 daily) to keep fares from increasing. Beneficiaries must meet service quality and continuous operation commitments, supervised by the Honduran Land Transport Institute. (Decree 40-2023, 2023)
- Decreto Legislativo No. 54-2025 — Ampliación del período de pago de compensación económica provisional del pasaje a usuarios del servicio de transporte público urbano en modalidad de bus (Decree 54-2025, 2025)
- Decreto Legislativo No. 88-2024 — Ampliación del período de pago de compensación económica provisional del pasaje a usuarios del servicio de transporte público en modalidad de bus urbano (Decree 88-2024, 2024)