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Tel. Nos. (632) 687-5399, 631-0170, 631-0197
Fax Line: (632) 687-4048

LPP seeks amendment of ceiling of LGU vehicle purchase

The League of Provinces of the Philippines has sought to amend two presidential directives prohibiting the acquisition and use of luxury vehicles by government offices and increasing the ceiling price of a vehicle that an LGU can acquire.

In a resolution sponsored by Palawan Gov. Joel T. Reyes, the LPP requested Pres. Gloria Macapagal-Arroyo to amend Administrative Order No. 3 (S. 2003) and No. 121 (S. 2005) by increasing the ceiling price of a vehicle that LGUs can acquire from P1.3 million to P2 million.

It may be recalled that AO No. 3 prohibits the acquisition and use by government offices of luxury vehicles and directed all heads of national government offices, Government-Owned and Controlled Corporations (GOCCs), Government Financial Institutions (GFIs), State Universities and Colleges (SUCs) and LGUs to surrender and or dispose of government-owned luxury vehicles – which was defined as any passenger motor vehicle priced at P1.3 million in the market.

On the other hand, AO No. 121 directs all government offices to strictly comply with AO No. 3.

“The governors, being situated in the countryside are in need of well-built, safe and comfortable vehicles to promptly deliver services and address urgent and emergency situations in their respective jurisdictions,” the resolutions stated.

The added that, “considering the increase in the market prices of motor vehicles since 2001 when the AO was issued, both AO’s may no longer reflect the intent to avoid excessive expenditures in the acquisition of vehicles.” (AJSanchez)

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Last Updated: May 14, 2008