FOURTEENTH CONGRESS OF THE REPUBLIC) 
7 ,u. 
-? 
1'6 
'I 
OF THE PHILIPPINES 
) 
First Regular Session 
1 
S. B. No, 
574 
Introduced by Sen. Jinggoy Ejercito Estrada 
EXPLANATORY NOTE 
The need to conduct a compulsory registration of heavy equipment is long overdue. It is 
surprising that despite the compulsory registration of motor vehicles, no such registration for 
heavy equipment is required under existing laws, rules and regulations in the Philippine setting. 
Aside from generating substantial income for the Government, the compulsory 
registration of heavy equipment could curb, if not totally eliminate, the practice of unscrupulous 
contractors who leave projects unfinished or after merely obtaining the initial mobilization fee 
for a particular infrastructure project they just completely disappear. 
This proposed measure would also prevent the practice of leasing the same heavy 
equipment to two or more different contractors, working on different projects on the same dates 
but at different sites. Such practice causes the delay of most infrastructure and public worlts 
projects. It would further prevent any and all misrepresentation by the contractors with regards 
to ownership of heavy equipment thereby helping the Government Pre-Qualification, Bids and 
Awards Committee (PBAC) in the determination and compliance of pre-qualification 
requirements. 
With the compulsory registration of heavy equipment, owners/lessors and lessees of 
heavy equipment will be properly identified and these unscrupulous contractors will be black- 
listed for good. 
The immediate passage of this measure is necessary to achieve a rational registration 
scheme for heavy equipment and curtail the unscrupulous practices of contractors. Hence, its 
approval is imperative. 
\ Senator 


7 
JUf" -2 /'( :$ 
FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
S E N A T E  
S. B.No. 
574 
Introduced by Sen. Jinggoy Ejercito Estrada 
AN ACT 
PROVIDING FOR THE COMPULSORY REGISTRATION OF 
HEAVY EQUIPMENT 
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. 
Compulsory Registration of Heavy Eququipment. - The provision 
of any existing law to the contrary notwithstanding, all heavy equipment such as, but not limited 
to, earthmoving equipment, compaction equipment, lifting equipment, excavating equipment 
operated on or upon any part of the Philippines must be registered with the Land Transportation 
Office (LTO) for the current year in accordance with the provision of Republic Act No. 4136, 
otherwise known as the Land Transportation and Traffic Code, as amended. 
SEC. 2. 
Registration and Scheduling of Fees. - The land Transportation Office 
(LTO) is hereby empowered to prepare the details of a registration scheme wherein the 
registration of the heavy equipment will be equitably distributed over different month in a given 
calendar year. 
Furthermore, the LTO is hereby empowered to prepare a schedule of registration fees 
subject to the approval of the Secretary of the Department of Transportation and Communication 
(DOTC), in consultation with the Secretary of the Department of Finance (DOF). 
The 
scheduling of said fees shall be determined on the basis of model, body configuration, weight, 
cubic displacement or number of cylinders of heavy equipment and other pertinent factors. Said 


schedule shall not be changed more often that once every three (3) years and only upon due 
notice given to the public at least ninety (90) calendar days before the effectivity of such 
schedule. 
SEC. 3. 
Applicability. - The provisions of Republic Act No. 4136, as amended, 
pertaining to the compulsory registration of motor vehicles shall apply to the compulsory 
registration of heavy equipment when not in conflict with this Act. 
SEC. 4, 
Effectivity Clause. - This Act shall take effect fifteen (15) days from its 
publication in the Official Gazette or in at least two (2) newspapers of general circulation. 
Approved,