Herrera backs LTO's 2023 digitalization target


A ranking minority solon is throwing her full support behind the Land Transportation Office's (LTO) plan to digitize its processes and operations by the third quarter of 2023.

Bagong Henerasyon (BH) Party-list Rep. Bernadette Herrera


“The LTO can be assured of our full support in its push towards complete digitalization in a bid to streamline its operations and services for the benefit of the public,” Bagong Henerasyon (BH) Party-list Rep. Bernadette Herrera said in a statement Sunday, Feb. 12.


“We are confident that with complete digitalization and paperless transactions, the LTO will be able to realize its goal of becoming a frontline agency showcasing fast and efficient public service for a progressive land transport sector,” added Herrera, who is a deputy minority leader.


During the recent deliberation by the House Committee on Transportation, LTO chief and Department of Transportation (DOTr) Assistant Secretary Jayart Tugade vowed to implement the full utilization of the Land Transportation Management System (LTMS) on or before Aug. 30 this year.


“I’m glad that the issue between LTO and its service provider had already been resolved. This will surely ensure continuity in the implementation of the LTO’s IT modernization program, which was proven to have helped the agency become more efficient, competitive, productive and less prone to corruption,” Herrera stressed.


At the same time, Herrera thanked House Committee on Transportation, chaired by Antipolo 2nd district Rep. Romeo Acop, for heeding her request to require Stradcom to turnover their database to the Department of Information and Communications Technology (DICT).


“Because of this, very soon, the government no longer needs to pay two IT (information technology) providers,” Herrera pointed out.


“Good news po ito sapagkat last year pa natin ipinaglalaban na gumawa ng paraan ang pamahalaan na makatipid at huwag nang magbayad ng bilyon-bilyong piso pa sa dalawang IT suppliers (This is good news since a year has passed since we've sought action from government to avoid paying billions to two IT suppliers),” she noted.


In 1998, the LTO commissioned Stradcom on a Build-Own-Operate (BOO) deal to develop and operate the agency’s IT system.


Based on the agreement, Stradcom had the exclusive rights to provide IT services to the then Department of Transportation and Communications now DOTr and the LTO, and owned the IT facilities and all other equipment, fixtures and fittings used in connection with such services.


Stradcom was responsible for and bore all costs incurred by in connection with performance of its obligations under the agreement.


In 2016 or after 18 years, the DOTr and Stradcom entered into a phaseout deal committing to terminate the BOO project upon the procurement, award, design, development, rollout and completion of the new LTMS.


Two years later, the LTO awarded the LTMS project to Dermalog to the tune of P3.2 billion.


At the recent House hearing, the Acop-led panel directed Stradcom to transfer all relevant data to the government through the DICT.


Stradcom told the panel that it would need seven months to complete the database transfer but the DICT insisted that 60 days should be enough.