Local government units (LGUs) must improve the delivery of their services, including efficiency and accessibility, to boost investor confidence in the country, the Anti-Red Tape Authority (ARTA) said.

ARTA Secretary Ernesto Perez said every investor inevitably engages with local governments in nearly every stage of establishing a business.

“Because this is where the permitting process starts, investors look at the LGU first, whether they are ready for business,” Perez told reporters last week.

He said this makes it critical that LGUs deliver their services not only competently but also swiftly, to ensure that investors trust the government’s processes and, in turn, the broader business environment.

Perez made this appeal after only a single LGU—Bacnotan, La Union—was awarded during last week’s Report Card Survey (RCS) 2.0 Awards.

The RCS 2.0, a flagship program of ARTA, is designed to measure service quality, efficiency, and accessibility of government services through direct citizen feedback.

The latest survey, conducted from October 2024 to May 2025, evaluated 904 agencies across national and local government offices, state universities and colleges (SUCs), government-owned and controlled corporations (GOCCs), government hospitals, and water districts.

Of the 200 LGUs assessed by thousands of respondents, only Bacnotan received a “very satisfactory” rating of 94.31, reflecting the quality of its services.

“In LGUs, only one qualified. So that's an indication that we really have to work harder for the LGUs,” said Perez.

“The survey proved us right that the problem really lies with LGUs,” he added.

Apart from the survey, the RCS 2.0 also measures offices and agencies based on their institutionalization of ARTA-led mandates.

ARTA’s main objective is to streamline and improve the delivery of government services, cut bureaucratic red tape, and promote ease of doing business.

Perez said he would submit findings of RCS 2.0 to the Department of the Interior and Local Government (DILG) “so that they can do something about it.”

He noted that the DILG could introduce reforms to further encourage agencies to align with ARTA's objectives.

At the RCS 2.0 Awards, 59 agencies achieved top-tier rankings, earning either “excellent” or “very significant” ratings. The number of awardees this year represents a sharp decline from last year’s 160.

For the national government level, the top agency was the Dangerous Drugs Board (DDB), which earned a total score of 96.47.

In GOCCs, the Zamboanga Fish Port Complex office of the Philippine Fisheries Development Authority (PFDA) took home the top prize with a rating of 97.17.

The La Trinidad Campus of Benguet State University was recognized as the leading SUC by ARTA with a score of 96.34.

For water districts, Santa Maria Water District of Bulacan seized the top spot with an impressive score of 98.55—also making it the top government entity under this year’s RCS 2.0.