Annual Report 2009 - LWUA

Annual Report 2009Receivables from engineering studies represent the amounts due from the water districts for engineering studies undertaken by the CorporationDue from officers and employees represents receivables from various loans granted to LWUA officials and employees in the form of housingassistance, medical and multi-purpose loans.Receivables from Government Agencies represents those due from National Government Agencies (NGAs) in the amount of P51,854,754 andthose interest bearing loans due from the Local Government Units in the amount of P4,712,581. Due from NGAs pertains to the advances madeto the Bureau of Treasury (BTr) for the debt servicing of the Corporation’s foreign loans. An offsetting arrangement was earlier approved by theDepartment of Finance to effect immediate offsetting of these advances against other National Government relent loans to the Corporation.Miscellaneous receivables represent the amounts due from parties which do not fall under any of the other classes of receivables. This includesadvances made to contractors as mobilization fees and importation costs paid by LWUA on behalf of the contractors. The increase in thisaccount by P1.15B was due mainly to the recognition of funds committed to be released by the Office of the President thru the PresidentialSocial Fund.5. SUPPLIES INVENTORYThis account consists of:2009 2008Office supplies inventory 2,075,330 965,701Medical, dental and laboratory supplies 540,722 445,387Other supplies inventory 399,860 1,681,8273,015,912 3,092,915The Office supplies inventory consists of supplies purchased/held for consumption in the normal course of LWUA operations. Acquisitions ofsupplies from the Procurement Service pertaining to previous years and previously charged to Guaranty Deposits account in the amount ofP1,792,053 were reclassified to this account (See also Notes 6).The Medical, dental and laboratory supplies account consists of drugs and medicines purchased/held for issuance to LWUA officers andemployees in need of medical attention.The Other supplies inventory consists of water supply materials which are still not issued and are being kept in stock for future use of waterdistricts.6. OTHER CURRENT ASSETSThis account consists of:2009 2008Advances to contractors 38,888,309 41,052,297Advances to consultant 25,971,098 34,350,935Advances to water districts 33,567,483 26,567,483Prepaid expenses 549,306 361,809Guarantee Deposits 1,454,236 3,193,195100,430,432 105,525,719Advances to contractors account represents prepayments made to contractors for the mobilization of the government water supply projects.Advances to consultants account represents prepayments made to consultants for the preparation of detailed engineering designs and constructionsupervision of water supply projects funded by foreign loans.Advances to water districts include releases of funds to different water districts for earthquake rehabilitation and to defray take-over expenses.The amounts released to the various water districts shall be subject to liquidation or shall be reported on as soon as the purpose for which it wasgiven have been served.Prepaid expenses account pertains to payments of insurance premiums of LWUA vehicles and other insurable properties.Guarantee Deposits refers to prepayments made to various firms / individuals such as advances to Manila Electric Company, PLDT for TelephoneDeposit, Deposit to C. Lotti for the opening of a special account for feasibility study, etc. The decrease of P1.7M was due to reclassifi-33