DOTC to pursue P8.2-B IT project for LTO

MANILA, Philippines - The Department of Transportation and Communications (DOTC) is set to push through with planned P8.2-billion procurement project for a new information technology solution for the Land Transportation Office (LTO).

This after the 17th Division of the Court of Appeals (CA) junked a ruling issued by the Quezon City regional trial court that prevented the DOTC from pursuing the multi-billion contract that would replace the IT system put in place by Stradcom Corp. but scheduled to expire in February next year.

The DOTC said in a statement that the proposed IT system would provide a viable and long-term solution to address the previous system’s issues, such as the problem of key data like vehicle registration being handled by a third-party provider and not by the government.

The 13-year-old LTO IT system, the DOTC explained, is no longer responsive to current land transportation regulation requirements.

“The new LTO-IT system, once in place, will make it easier for authorities to access relevant vehicle information especially in tracing stolen vehicles,” the agency said.

Once the automation systems of LTO and Land Transportation Franchising and Regulatory Board (LTFRB) are up and running, the DOTC said the government would be able to eliminate public utility vehicles without LTO registration or LTFRB franchises.

In a 19-page decision, the appellate court’s 17th Division ordered to dissolve the preliminary injunctions issued by Judge Afable Cajigal of QC RTC Branch 96, saying that that the parties which asked for a halt in the bidding process—Amalgamated Motors Philippines Inc. (AMPI) and Realtime Data Management Services Inc. (RDMSI) — have “no clear legal rights” to request for an injunction.

It would be recalled that the LTO Bids and Awards Committee (BAC) announced last May 25, 2010 the bidding for the supply and delivery of Philippine Driver’s License Cards. AMPI and RDMSI have bought bid documents for the project.

The LTO-BAC, however, had to defer the procurement after then DOTC Secretary Jose de Jesus ordered a comprehensive review of the project’s terms of reference. The project was altogether suspended later on as De Jesus issued an order creating a DOTC Special BAC to handle the bidding for the drivers’ license project.

The DOTC SBAC issued on Dec. 24, 2010 a new invitation to bid for the said project.

RDMSI, however, went to court to request for a temporary restraining order against the DOTC as it questioned the legality of the DOTC issuance. RDMSI also asked the court to determine its rights as a bidder, as it already purchased bid documents for the project. The court granted RDMSI’s petition for TRO.

The DOTC then issued last year a special order creating the DOTC Primary BAC and the Secondary BAC. The Primary BAC was tasked to handle procurements exceeding P50 million, including the LTO-IT project, a more comprehensive automation program, whose component already includes the Driver’s License Project.