GWA's earnings positive for first time since '05
by Mindy Aguon
Guam - The financial outlook for the Guam Waterworks Authority appears to be improving, as the agency's Fiscal Year 2009 finances have been audited. GWA's net assets increased by $1.7 million, attributed to additional money from federal grants and water and waste water services from federal customers.
The audit noted, however, that more than half of the utility agency's $26.3 million in accounts receivables have been deemed uncollectible. This includes $6.5 million for fire hydrants as no agency is tasked to pay for them. Auditors also found that GWA lacks a required comprehensive physical inventory and identification of fixed assets acquired with federal funding.
Inefficiencies in inventory count procedures and collection efforts were also noted as areas needing improvement.
