ARTA tells logistics players to report LGUs still collecting road fees
Anti-Red Tape Authority director general Ernesto Perez delivers the keynote address at the recent 4th Central Luzon Transport and Trade Conference and Exhibit jointly hosted by PortCalls and the Philippine Multimodal Transport and Logistics Association, Inc. PortCalls photo
  • Anti-Red Tape Authority director general Ernesto Perez encouraged stakeholders to report  local government units continuing to impose fees on trucks passing through national roads, assuring that the agency will address the concerns
  • Perez cited how the authority acted on a complaint filed by a multinational company, which led to the filing of a grave misconduct charge against Meycauayan City mayor Henry Villarica for the violation of Executive Order No. 41
  • Perez also assured that LGUs or government agencies have not retaliated against a company for filing a complaint with ARTA

Anti-Red Tape Authority (ARTA) director general Ernesto Perez encouraged stakeholders to report cases of local government units (LGUs) continuing to impose fees on trucks passing through national roads, assuring that the agency will address the concerns.

“If you’re still aware of an LGU imposing these pass-through fees… then you have to complain to us so that we can do something about this,” Perez said in his keynote speech at the recent 4th Central Luzon Transport and Trade Conference and Exhibit jointly hosted by PortCalls and the Philippine Multimodal Transport and Logistics Association, Inc.

Executive Order No. 41, issued in 2023, bars LGUs from charging pass-through or any other fees on national roads for vehicles transporting goods. Since 2006, the Department of the Interior and Local Government (DILG) has repeatedly affirmed through memorandum circulars that such fees are illegal.

Perez assured that ARTA will act on complaints received, citing as an example how the authority acted on a complaint filed by a multinational company, which led to the filing of a grave misconduct charge against Meycauayan City mayor Henry Villarica.

READ: ARTA charges Meycauayan mayor over pass-through truck fees

The case was filed against Villarica after reportedly ignoring multiple warnings from both ARTA and DILG to halt the implementation of Meycauayan City Ordinance No. 350 or its truck ban ordinance.

While the local ordinance was intended to manage traffic by restricting heavy cargo trucks, ARTA said its fee-collection component is in direct violation of national law.

Following various inter-agency findings and field validations that uncovered specific evidence of unauthorized collections, ARTA elevated the case to the Office of the Ombudsman, citing the discovery of prima facie evidence to support formal charges. Beyond the investigation, ARTA also sought the preventive suspension of Villarica while a preliminary investigation determines if the case should proceed to the Sandiganbayan.

Perez said following the filing of the case, the Meycauayan city government finally recalled its ordinance and ARTA, in response, withdrew its case.

“This should not be happening anymore. And I appeal to all of you, if… you’re victims of this sort of issuance by the LGUs, please do not hesitate to let us know,” he said.

Other red tape cases

Perez further underscored that ARTA also handles other bureaucracy-related cases such as delays in securing license from the Food and Drug Administration. 

Perez also assuaged worries that LGUs or government agencies may retaliate against a company for filing a complaint with ARTA.

“(O)ur experience at the ARTA will show that never have we received any report that whenever ARTA acted on a complaint, a particular agency or an LGU tried to make it harder for the complaining company or a stakeholder,” Perez pointed out.

He said the simple explanation for this is that the law that ARTA implements – Republic Act (RA) No. 11032, or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018 – is “very specific in terms of penalties.”

Under RA No. 11032, the penalty for the first offense is suspension from service for six months. For the second offense, the penalty is dismissal from service, perpetual disqualification from holding public office, and forfeiture of retirement benefits and imprisonment of one year to six years with a fine of not less than P500,000but not more than P2 million. If the first offense involves fixing and/or collusion with fixers, the penalty and liability will also be similar to that of the second offense.

READ: DTI, ARTA eye collab for logistics industry streamlining

Complaints may be submitted through ARTA’s hotlines, email, or the virtual assistance platform Electronic Complaint Management System-Transparency, Accountability, and Law in Action (eCMS-TALA) online or at the eGovPH app.— Roumina Pablo

 

 

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