LTO mulls lower fees on auction of unclaimed impounded motor vehicles
THE Land Transportation Office (LTO) will study the possibility of lowering the administrative fees and other charges in relation to the auction sale of unclaimed impounded motor vehicles (UIMV).
LTO Chief Assistant Secretary Teofilo Guadiz III said the Agency will look at the provisions of Department Order No. 93-693 series of 1992 regarding the “Revised Schedule of Administrative Fees and Charges of the Land Transportation Office dated 13 November 1992,” particularly on the impounding fee and charges.
Under Item No. 19 or “Other Fees and Charges” of said Department Order, the impounding fee is pegged at P100, while the storage fee is stated at P15 per day.
Moreover, LTO Memorandum Circular No. 2022-2332 also states that the Committee on Disposal of Unclaimed Impounded Motor Vehicles shall conduct a physical inventory of the impounded vehicles submitted by the Law Enforcement Service or the Regional Operations Division.
“A List of Unsettled Violations pertaining to each impounded motor vehicle, including the corresponding fines and penalties, shall be secured from the Traffic Adjudication Service (TAS) or the Office performing adjudication functions at the Regional Offices. This shall serve as basis for the floor price in the public sale,” it said.
The study of the fees was necessitated after the auction proceedings in some LTO offices earned the ire of those who attended the auction and even netizens due to the high prices of the UIMVs. Many said the UIMVs’ auction price was almost the same as that of a brand-new vehicle and overall condition was far from being ideal, prompting many to say that they would rather buy a brand-new vehicle than buy an auctioned one.
“We will study the possibility of coming up with a fair assessment of a vehicle and its overall condition and in consideration of other factors such as storage. By doing so, we hope to come up with a fair and reasonable market value that will serve as the floor price of an auctioned vehicle to make it more appealing to bidders,” adds Guadiz.
One option, Guadiz said, is to seek the advice and expertise of qualified technical personnel from government agencies such as those from the Technical Education and Skills Development Authority (TESDA) to help determine the working condition and roadworthiness of UIMVs before they are auctioned.
And if a vehicle for auction remains unsold, the LTO said it will also look at donating any unsold vehicle to any government agency like TESDA and state colleges and universities, where it can still be put to good use.
The vehicle can be repaired and restored to good working condition, or the spare parts can be used as part of manpower training for its Automotive and Land Transport courses.
