91 NOTES TO THE FINANCIAL STATEMENTS 

Note 9. Other Assets

Other Assets as of September 30, 2017, and 2016

Restated

(In billions of dollars) 2017 2016

Advances and prepayments................................................................... 97.4 92.9

Regulatory assets.................................................................................. 20.0 21.8

FDIC receivable from resolution activity .................................................. 9.3 9.0

Other.................................................................................................... 21.0 21.8

Total other assets ............................................................................... 147.7 145.5

Advances and prepayments are assets that represent funds disbursed in contemplation of the future performance of

services, receipt of goods, the incurrence of expenditures, or the receipt of other assets. These include advances to contractors

and grantees, travel advances, and prepayments for items such as rents, taxes, insurance, royalties, commissions, and

supplies.

With regard to regulatory assets, the DOE’s Power Marketing Administrations (PMAs) and the TVA record certain

amounts as assets in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification

(ASC) Topic 980, Regulated Operations. The provisions of FASB ASC Topic 980 require that regulated enterprises reflect

rate actions of the regulator in their financial statements, when appropriate. These rate actions can provide reasonable

assurance of the existence of an asset, reduce or eliminate the value of an asset, or impose a liability on a regulated enterprise.

In order to defer incurred costs under FASB ASC Topic 980, a regulated entity must have the statutory authority to establish

rates that recover all costs, and those rates must be charged to and collected from customers. If the PMAs’ or TVA’s rates

should become market-based, FASB ASC Topic 980 would no longer be applicable, and all of the deferred costs under that

standard would be expensed. Other items included in “other” are purchased power generating capacity, deferred nuclear

generating units, nonmarketable equity investments in international financial institutions, derivative assets, and the balance of

assets held by the experience rated carriers participating in the Health Benefits and Life Insurance Program (pending

disposition on behalf of OPM).

The Federal Deposit Insurance Corporation (FDIC) has the responsibility for resolving failed institutions in an orderly

and efficient manner. The resolution process involves valuing a failing institution, marketing it, soliciting and accepting bids

for the sale of the institution, determining which bid is least costly to the insurance fund, and working with the acquiring

institution through the closing process. FDIC records receivables for resolutions that include payments by the Deposit

Insurance Fund to cover obligations to insured depositors, advances to receiverships and conservatorships for working

capital, and administrative expenses paid on behalf of receiverships and conservatorships.

Certain PBGC amounts have been restated. Refer to Note 1.V—Restatements for more information.