BIZ BUZZ: Arta sues 117 delinquent LGUs
In a move that’s shaking local government units (LGUs) like a surprise audit, the Anti-Red Tape Authority (Arta) is bringing down the hammer, filing formal charges against 117 LGUs for ghosting their digital transformation homework.
That’s right, these local units allegedly flaked on setting up their electronic Business One-Stop Shops (eBOSS) —and now they’re facing the consequences.
“I want to emphasize that I didn’t want to file cases against our colleagues in the government. But to ensure that we follow the law and to set an example, we have no other alternative but to sue them,” Arta Secretary Ernesto Perez said in an interview.
The Arta chief said the complaints were filed with the Office of the Ombudsman on May 9 after 117 LGUs had snubbed Arta’s “notice to explain.”
Let’s be clear: this isn’t just some bureaucratic nitpicking. The creation of eBOSS mandated under Republic Act No. 11032, aka the Ease of Doing Business and Efficient Government Service Delivery Act of 2018.
The law requires LGUs to build a seamless online system to process business permits and payments.
But out of 1,483 LGUs, only 113 have fully complied, with Perez hoping to raise that number to 200 by the end of the year, assuming no one else gets added to the naughty list.
And Arta’s not stopping there as it’s set to launch a new reform guidebook on May 22, aimed at showing both public and private sectors how to stop making things so complicated for businesses.
Bottom line: If you’re running an LGU and still stuck in 1995 with paper forms and endless queues, you might want to shape up. Or else, you could be next in line for a legal wake-up call.
Because in 2025, if you’re not online, you’re out of line.
