Chapter 1 THE PROBLEM

A faucet in every home, a glass of clean and safe drinking water in every dining table, a population untouched by water-borne diseases. Visions struggled for by the Filipino people both government and the governed for our country s provincial cities and communities. !ut while early water supply development efforts e"pended by the government were genuine, these simply did not take off as e"pected. #arlier approaches were centrali$ed, thus, responsiveness to local conditions or developments suffered. %&'(A-') *evised +rimer ,--../

Background of the Study 0he &ocal 'ater (tilities Administration %&'(A/ was established in 1234 by +residential )ecree 5o. 126, as amended, otherwise known as the +rovincial 'ater (tilities Act of 1234 to promote the development of provincial water supply in the +hilippines. &'(A7s establishment was the national government7s response to the problems then besetting the provincial water supply, among them funding problems, institutional weaknesses and technological inade8uacies which led to the generally poor water service in the countryside during the period. 0he same decree created the water districts, paving the way to the adoption of the water district concept which revolutioni$ed the then water supply development and management, which was characteri$ed by heavy government subsidies of water utilities conse8uently developing dole-out mentality among consumers. (nder the water district concept, water consumed has to be accounted and paid for by every consumer, whether government, private industries or plain citi$ens. 0his new concept also promotes the principles of self-reliance and financial viability for the water utilities. &'(A as a

, speciali$ed lending institution is a one-stop-shop where the water districts may gain access at once to its varied development services, such as9 1/ financial assistance in the form of loans at concessionary rates: ,/ engineering;technical services and assistance on pro<ect identification, planning, detailed engineering design, construction supervision of water pro<ects, operation and maintenance of systems: and 4/ institutional development and regulatory services in the forms of skills and management training, management advisory, water rates review;regulation, and water 8uality regulation, among others. *egulating the operations of water districts including the setting of proper water rates is inherent and indispensable to the performance of the developmental mission of &'(A. 0he regulatory standards;guidelines &'(A has developed and institutionali$ed are those pertaining to water tariffs setting, commercial practices systems, water 8uality, engineering design and construction and organi$ational as well as institutional setup for water districts, which have stood the tests of times. +ublic hearings on water rates ad<ustments are closely monitored and cash-flow re8uirements for capital e"penses and systems e"pansion of water districts are <udiciously studied. &'(A7s effectiveness as water tariff regulator is evidenced by an almost complete absence of court decisions reversing water rates ad<ustments reviewed and approved by the agency. For the period 1234-,--,, the institutional arrangement between &'(A and the water districts has resulted in the following9 a/ formation of .6= water districts covering >21 cities and municipalities in provincial urban areas nationwide:

4 b/ served 11.= ? people with potable water thru individual house connections: c/ developed water districts into viable institutions, with an average of ,2@ nonrevenue water, and an average of 2>@ ') collection ratio from customers: and d/ the success and wide public acceptance of the &'(A-'ater )istrict development relationship. An the +hilippines, the development, operation and delivery of potable water in the country7s three ma<or areas, is the responsibility of various government agencies and water utilities. ?etro ?anila is being served primarily by the ?etropolitan 'aterworks and Bewerage Bystem %?'BB/ through its two private concessionaires, the ?aynilad 'ater Bervices Anc. and the ?anila 'ater Company, and by some private companies serving subdivisions. 0he provincial urban areas are served by the a/ water districts with the development assistance of the &ocal 'ater (tilities Administration %&'(A/, b/ local government units %&D(s/, and c/ some private companies. And the provincial rural areas are being served primarily by the local government units and cooperative water associations, with government assistance from the )epartment of Anterior and &ocal Dovernment %)A&D/, )epartment of +ublic 'orks and Eighways %)+'E/, and &'(A. !ased on the ?edium-0erm +hilippine )evelopment +lan %,--1-,--=/, as of ,---, 32@ of the 3>.4 million +hilippine population was served with safe and reliable water, with the following distribution9 =3@ %>., ?/ in ?etro ?anila, 66@ %16.4 ?/ in the provincial urban areas, and 6.@ %4..6 ?/ in the provincial rural areas. 0he same +lan sets a 2-..@ target of total +hilippine population to be served with potable water by year ,--=. 0he specific targets by ,--= on the three ma<or areas are9

= 2-@ in ?etro ?anila, 62.>@ in provincial urban areas, and 2-.=@ in provincial rural areas. 0he creation of the &'(A was an offshoot of a comprehensive study on the provincial water supply sector conducted in 12>6-3, by the Fames ?. ?ontgomery consultancy group with funding assistance from the (nited Btates Agency for Anternational )evelopment %(BAA)/. 0he study revealed that practically all the then e"isting provincial water supply systems were anti8uated, dilapidated and poorly managed. At pointed to the lack of ade8uate financing, technical know-how and proper institutional setup as the main causes of the widespread problems in the sector. Boon after the national government declared the establishment of reliable and viable water supply systems in the country as a high national priority. And in 1234, +residential )ecree 5o. 126 otherwise known as the +rovincial 'ater (tilities Act of 1234, was promulgated authori$ing the establishment on local option basis of locallycontrolled independent water districts to own, manage and operate provincial water supply systems. 0he decree likewise provided for the creation of a national government agency, &'(A, to minister to the financial, technical and institutional development needs of these water districts and to regulate their operations.

0he water district concept was a totally new concept in water supply development and management then. At the time it was introduced, it was considered revolutionary since the practice of having water consumed, accounted and accordingly paid for was radically new to the consumers, especially those who had already developed a dole-out mentality on account of years of government subsidies and political favors.

. (nder the old 5A'ABA %5ational 'aterworks and Bewerage Bystem/ system, water users were charged flat rate regardless of water consumption thereby encouraging wasteful water use while contributing very little to the utility coffers. At was also not uncommon then for politicians to use free water as main platform for their electoral campaigns. Eowever, it was rare to find a water connector paying for water consumption <ustly and promptly. 0he new concept demanded change not only in physical terms but also in the mental outlook and the behavior especially of the consumers. (nder the concept, every drop of water consumed has to be accounted and paid for. #very consumer, whether government, private industries or plain citi$ens must pay for water consumed. Among the reasons behind this are to instill responsibility and discipline among the consumers and make them reali$e and recogni$e the value of water as an economic commodity. 0he water district concept is based on the principles of self-reliance and financial viability. 0his means that when a water district is formed, it has to operate on its own, independent from local political control and no longer reliant on government subsidy support. 0herefore, a water district has to be financially viable, able to generate enough revenues through water sales to its concessionaires to meet all its financial needs and obligations to include payment of capital improvement loans to &'(A. 0o reali$e this, a water district is allowed to charge certain water rates but sub<ect to the review and approval of &'(A, collect service fees and to impose penalties on erring or delin8uent concessionaires. &'(A was established primarily as a speciali$ed lending institution for the development and promotion of provincial water supply and wastewater disposal systems.

> At lends out capital improvement loans only to duly-organi$ed water districts. An addition, &'(A was further mandated to prescribe minimum standards and regulations, furnish technical assistance and personnel training, monitor, and evaluate local water standards, among others. #ssentially, &'(A7s relationship with the water districts is that of a lender and a borrower based on a supervised credit scheme. An pursuit of this, &'(A provides

regular management advisory assistance to the water districts. &'(A advisors regularly visit water districts to advise their officers and staff on the rudiments of effective water utility management and operation as well as to monitor and continually evaluate their performance. 0he advisors also see to it that the water districts follow the utility rules and regulations formulated by &'(A and the guidelines issued periodically. &'(A likewise introduces and installs a uniform Commercial +ractices Bystem for all water districts. ?oreover, &'(A e"tends training assistance to water district board and management officials and employees on such aspects as policy-making, utility management and system operation and maintenance. Correlated to this supervised credit scheme, &'(A also e"tends technical assistance to the water districts in the preparation of pro<ect feasibility studies and detailed designs and supervision of their water system construction pro<ects. Foremost in &'(A7s regulatory function is the review of water rates of water districts. 0his function ensures that the rates charged by the water districts are in accordance with the provisions of applicable laws and regulations. At also guarantees recovery of government investment in the water sector coursed through &'(A. ?ore specifically, such review function ensures that such rates ade8uately provide for

3 reimbursement of costs of installing new services and meters, district revenue, annual operating e"penses, works maintenance and repairs, payment of interest on debts, and a reasonable surplus for improvements. &'(A7s rate reviews are appealable to the 5ational 'ater *esources !oard %5'*!/. a/ &'(A is also mandated to establish standards for local water utilities and to formulate rules and regulations for their enforcement. 0hese standards and regulations include the following9 1/ water 8uality ,/ design and construction 4/ e8uipment,

materials and supplies =/ operation and maintenance ./ personnel >/ organi$ation 3/ accounting. b/ &'(A conducts management and financial audits of water districts annually, for regulatory and performance monitoring purposes. c/ &'(A is responsible for the performance assessment of water districts. An this connection, &'(A re8uires all water districts to submit monthly reports covering technical, financial, administrative and other aspects of operations. 0hese reports are also summari$ed by the water districts annually. &'(A in turn publishes water district industry averages annually, and compares these with the water district performance. Deneral policies concerning the water and sanitation sector are formulated by the 5ational #conomic and )evelopment Authority in its ?0+)+. Bince the 122-s, private sector participation and decentrali$ation are the main ob<ectives of water policies %'orld !ank, ,--./. 0he ?0+)+ ,--=,-1- aims at e"tending coverage of potable water to

2,2>@ by ,-1- through public and private investment, with priority given to =-barangays with poor water supply coverage %5#)A, ,--=/.

6 0he responsibilities are defined by the 123> 5ational 'ater Code and the ,--= Clean 'ater Act, which consolidated different laws on water supply and sanitation and water resources management. 0he Filipino )epartment of #nvironment and 5atural *esources %)#5*/ is the lead ministry for implementing water sector legislation, % A)!, ,--3/ whereas the )epartment of Finance takes the lead in financing water policies at the national level. 0he 5ational 'ater *esources !oard %5'*!/ under the )#5* is responsible for water resources management. 0he )epartment of +ublic 'orks and Eighways provides technical assistance within rural water supply systems. 5ational standards for drinking water 8uality as well as standards concerning sanitation and sewerage collection are set by the )epartment of Eealth %'!, ,--./ 0he different models of service provision are accompanied by different regulatory agencies. An ?etro ?anila, the ?etropolitan 'aterworks and Bewerage Bystem *egulatory Gffice is entrusted with regulating the two concessionaires. An the case of other private operators, the regulation model is usually determined in the individual contracts. According to a 'orld !ank %,--./ document, these pragmatic solutions derive from the absence of a more institutionali$ed regulatory framework. Bince ,--,, the 5ational 'ater *esources !oard %5'*!/ is entrusted with economic regulation of &D(-operated systems and water districts. An order to gain an overview of the performance of the numerous service providers, the 5'*! in cooperation with the &ocal 'ater (tilities Administration, )A&D, the 'orld !ank7s multi-donor partnership 'ater and Banitation +rogram %'B+/, and the 'orld !ank launched the !enchmarking of 0owns 'ater (tilities in the +hilippines pro<ect. (nder the pro<ect, a sample of =. water service providers, including ,

2 *ural 'ater Bupply Associations %*'BA/, 1- utilities directly managed by &D(s, 3 cooperatives, 6 private operators, and 16 water districts provided basic data, which were converted into performance indicators and compared in the 5'*! +hilippines 0owns 'ater (tilities ,--= )ata !ook. 0his benchmarking initiative helps to identify best practices among the service providers which may conse8uently be adopted by others. Furthermore, although the ,--= sample was limited to =. service providers, the initiative provides information about the strengths and weaknesses of the individual service provision units as well as the different models of water service delivery %5'*!, ,--=/. 0he pro<ect was preceded by a pilot benchmarking e"ercise conducted in ,--=, which assessed the performance of ,- small water utilities. 0herefore, it is possible to compare the performance of these ,- providers in the years ,--4 and ,--=. 0he ,--= benchmarking e"ercise showed that the performance of water districts was slightly better than the performance of private operators, and that both clearly outperformed &D(s in terms of access, continuity of supply, labor productivity, cost recovery and billing efficiency. 0he main reason for the better performance of water districts is their ability to draw on financing, training and technical assistance by the &ocal 'ater (tilities Administration. 0he study also found that performance was not a function of si$e, and that the commonly held assumption of economies of scale in water supply did not apply to the utilities analy$ed in this sample %HIiges, ,--2/. According to a ,--. 'orld !ank study, appro"imately .,--- service providers e"ist in the +hilippines. ?ost of them only provide water, while sanitation is still

e"pected to be a private responsibility. 'ithin the entire country, septic tanks are the

1most common method of sewage treatment. An ?etro ?anila alone, about 3. local companies provide tank-desludging services. ?ost households in the +hilippines are served by their &D(s, either directly through a provincial, city, or municipal engineering department or through Community!ased Grgani$ations %C!Gs/ %cooperatives, !arangay 'ater and Banitation Associations %!'BAs/, or *ural 'ater Bupply Associations %*'BAs//. C!Gs usually operate &evel A or &evel AA water supply systems with support from national governments or nongovernmental organi$ations %5DGs/. An many cases, the C!Gs later convert those facilities into &evel AAA supply systems. 'here the service is carried out directly by the local government, the provision receives less e"ternal support and thus is characteri$ed by a severe lack of technical, financial, and management capabilities. 0ypically, all &D(operated arrangements rely heavily on local government support. !'BAs are very small, which results in a multitude of providers and hampers their potential to work more efficiently. Gut of about =,6-- &D(-operated systems, 4,1-- are estimated to be at the barangay level. An urban areas outside of ?etro ?anila, water districts served 1..4 million people in nearly 3-- cities and municipalities in ,--4. 0o form a water district, a local government needs a confirmation by the &'(A, from which it receives technical assistance and financial support. Although there is certain autonomy from the local government, it appoints the board members, which is why water districts are often e"posed to political interference. 0he model was introduced in 1234. Bince the 122-s, the formation of new districts has decreased significantly.

11 0he proliferation of 5ew ?anagement +ractices %5?+/ is no modern phenomenon. 0he use of 5?+s is often traced back to the introduction of scientific management by Frederick 0aylor in the early ,-th century %Abrahamson, ,---/. Bcientific management comprised a group of simple techni8ues that placed control of the production process firmly in the hands of managers and enabled them to e"tract the ma"imum effort from their employees in return for higher wage levels. Bince that time, management researchers have developed numerous management techni8ues based on different theoretical approaches to the behavior of employees in the workplace %'eisbord ,--1/. +rincipal among the new approaches to management have those based on human relations theory %?ayo 12=./ developed in the 124-s and 12=-s, those based on systems theory developed in the 12.-s %von !ertalanffy 12>6/ and those based on contingency theory developed in the 123-s %Child 126=/. Eowever, the growth of management techni8ues appears to have accelerated since 126- with a large number of 5?+s appearing and being adopted by enterprises in an attempt to improve their global competitiveness %Eilmer J )onaldson ,--1/. At seems that the increasing level of competition and the generally low level of growth e"perienced in western economies since the early 123-s has led to managers searching for ways of improving the performance of their enterprises by managing the resources of the enterprise betterparticularly their human resources which have come to represent a source of sustainable competitive advantage in the face of the easy availability of new technology %!arney ,--1/.

1, Gther management practices were developed in the early 126- s. 0otal 8uality management %0K?/ is the management philosophy that seeks continuous improvement in the 8uality of performance of all processes, products and services of an organi$ation. At emphasi$es the understanding of variation, the importance of measurement, the role of the customer and the involvement of employees at all levels in an organi$ation in pursuit of such improvement. 0eamwork appears to be the most common of the 5?+s, and the most enduring. 0he longevity of teamwork is, perhaps, a result of its incorporation into other 5?+s such as 0K? and lean production. Eowever, the most common form of team seems to be !anker s high performance team, in which the team e"ercises relatively little control over their own activities but uses its collective skills to improve the performance of the enterprise %Gsterman ,--=: Appelbaum J !att ,--=/. Eowever, research in the (nited Btates has shown that a higher degree of autonomy does not necessarily reduce the productivity and 8uality gains associated with high performance teams %Bhaiken et al. ,--,/. &ean production incorporates all the features of 0K? and teamwork but combines them into a system of work organi$ation that allows enterprises to run their operations with a minimum of resources %'omack J Fones ,--==/. 0hus in a typical lean production situation, the enterprise will run with a minimum of inventory, use a <ustin-time system for deliveries from suppliers, form the workforce into high performance teams and implement 0K? methods to eliminate problems in the production;service process. Eowever, this research has led to considerable debate about the real

effectiveness of lean production, particularly in comparison to work organi$ation based

14 on more human-centered approaches using autonomous teams such as those pioneered by Volvo and other Bcandinavian enterprises %!erggren et al. ,--=/. !usiness process re-engineering %!+*/ has been described as the latest Lfad in the management of enterprises %?umford J Eendricks ,--,/. !ased on the work of Eammer and Champy %,--4/, !+* is premised on the notion that few organi$ations have been able to take full advantage of advances in information technology because of the way in which their processes are organi$ed. Eammer and Champy argue that merely automating e"isting processes, which may have remained unchanged for many years, will not yield a sufficient return to the enterprise in terms of improved performance. #arly organi$ational learning theorists, Fiol and &yles %126./, described

organi$ational learning as9 the process of improving actions through better knowledge and understanding. Eowever, the popularity of the concept of the learning organi$ation has yet to be <ustified by research showing its adoption by many organi$ations. *esearch conducted in !ritain %*aper et al. ,--1/ suggests that, while some individual elements of the learning organi$ation may be present, there are few if any organi$ations that have implemented the learning organi$ation as a Ltotal package and that Benge s idea may remain an ideal towards which organi$ations strive rather than an empirical reality. )espite the proliferation of varieties of 0K?, most variants of the system are based on three guiding principles %)ean J Bnell ,--1: Bitkin et al. ,--=/customer satisfaction, continuous improvement and treating the organi$ation as a total system. Customer satisfaction in 0K? refers not only to the e"ternal customer;client of the enterprise but also to internal customers. .

1= An the day to day activities, managers make many vital decisions related to capital, materials, as well as human resources in an effort to achieve company ob<ectives. ?anaging an organi$ation depends entirely on the kind of business or services one has to offer. An the water sector, there are different management practices applied or 0he

implemented depending on the style or approach of the head of agency.

management practices introduced in this study are only few of the many practices being implemented. An applying these practices, it will help the head of the agency resolve the most common problems encountered in the water industry. Statement of the Problem 0his study aimed to determine the management practices of &ocal 'ater )istrict #mployees in +angasinan. At also sought to find out the customer satisfaction of its concessionaires. Spec f c Problem! Bpecifically, the study sought to answer the following 8uestions99 1. 'hat is the profile of the &ocal 'ater )istrict #mployees in +angasinan in terms of the following9 a/ Age: b/ Dender: c/ Civil Btatus: d/ Eighest #ducational Attainment: e/ &ength of Bervice in the Dovernment: and f/ 5umber of trainings attended.

1. ,. 'hat are the management practices of employees along the following9 a/ 5on-*evenue 'ater: b/ +ublic Bervice )elivery: c/ +ublic Eealth and Bafety: d/ Conservation of 'ater: e/ Customer Batisfaction: and f/ Bocial Amage of the Euman *esourceM 4. 'hat is the customer satisfaction along the following service deliverables9 a/ +ublic Bervice )elivery: b/ +ublic Eealth and Bafety: c/ Conservation of 'ater: and d/ Bocial Amage of the Euman *esourceM =. 'hat are the problems encountered and the recommended solutions for the identified problemsM .. 'hat plan of action can be developed to enhance the management practices of the local water district employees in +angasinanM S gn f cance of the Study 0his study was conceived to provide the reader not only information on the management practices but also to share some findings that can be used as inputs to planning and policy review of the following organi$ation9 Local "ater #t l t e! $dm n !trat on, the result of the study will serve as an added insight and reference to improve its services vis-N-vis the regulatory, supervisory

1> and administrative mandates as authori$ed by its charter for implementation to all water districts in the country. Ph l pp ne!% &at onal "ater Re!ource! Board '&"RB(, the result of the study will provide insight specifically in its mandate to e"ercise its regulatory functions for the optimum e"ploitation, utili$ation, development, conservation and protection of the country s water resources, consistent with the principles of integrated water resource management. C ) l Ser) ce Comm !! on 'CSC(* the result of the study can be used as

reference specifically on the behavioral dimension of the research work while asserting itself as the protector of public servants or personnel in his capacity as the central personnel agency of the government over all matters affecting human resource management applicable to the water districts as a government owned or controlled corporation. Off ce of the +o)ernment Corporate Coun!el 'O+CC(* the result of the study will serve as reference and insight in the e"ercise of its authority being the acknowledge consultant and counselor for public entities involving issues and problems relative to legal matters affecting all government offices and agencies in the country such as the national government line agencies, local government units %&D(s/, state colleges and universities %BC(s/ and government owned or controlled corporations in which the water districts belong. Comm !! on on $ud t 'CO$(* in the e"ercise of its authority, the result of the study will serve as an added input and reference to determine whether all the laws and regulations in the disbursement and utili$ation of public funds are observed religiously

13 and make necessary recommendations later for the improvement of the operations of the water district if found appropriate and feasible under its command and authority. ,epartment of Budget and Management ',BM(* the result of the study will provide added insights and reference to e"ercise responsibility in the wise and efficient allocation of government resources for development while involving the water districts as instruments for the reali$ation of national socio-economic and political development goals. Local +o)ernment #n t %&D(/. An the e"ercise of its public authorities, the result of the study will serve as added insights and reference to e"ercise its public authorities at the sangguniang panlalawigan or sangguniang panlungsod which are concerned in the case of the barangays located within its territorial <urisdiction, sub<ect to such limitations and re8uirements prescribed in the &ocal Dovernment Code of 1221. Educat onal -n!t tut on!, the study will serve as a contribution to the unending increase of literature which will be used by other researchers. Scope and ,el m tat on of the Study 'ater )istricts in the .th district of +angasinan is consist of si" %>/ municipalities and one %1/ city which include9 Alcala, !inalonan, +o$orrubio, Bison, Bto. 0omas, (rdaneta and Villasis. 0he municipalities of Bison and Bto. 0omas are not yet operating their own local water district at the time the study was conducted. 0he researcher has chosen the .th d !tr ct of Panga! nan a! the area of her !tudy becau!e #rdaneta C ty "ater , !tr ct* .here the re!earcher ! .ork ng* ! located n the !a d d !tr ct/

16 The management pract ce! con! dered n the !tudy focu!ed on the follo. ng0 non1re)enue .ater* publ c !er) ce del )ery* publ c health and !afety* con!er)at on of .ater* cu!tomer !at !fact on and !oc al mage of the human re!ource/ The re!pondent! of th ! !tudy .ere the employee! and conce!! ona re! of the .ater d !tr ct! n the 2th d !tr ct of Panga! nan/ The employee! .ere a!ked to rate the management pract ce! of local .ater d !tr ct employee! n Panga! nan/ The problem! encountered and the recommended !olut on! .ere dent f ed/ On the other hand* the conce!! ona re! .ere a!ked on the management pract ce! n relat on to publ c !er) ce del )ery* publ c health and !afety* con!er)at on of .ater and the !oc al mage of the human re!ource/ ,ef n t on of Term! and Phra!e! Management/ *efers to the organi$ational process that includes strategic

planning, setting ob<ectives, managing resources, deploying the human and financial assets needed to achieve ob<ectives, and measuring results. %'ikipedia/ Pract ce!/ At is the manner or ways of carrying out the functions in the day-today delivery of services by the water district personnel. Management Pract ce!/ 0hese refer to the variables in the study which describe the manner by which functions and responsibilities in the delivery of services are carried out to the optimum use of the agency s resources. An this study, it includes the nonrevenue water, public service delivery, public health and safety, conservation of water, customer satisfaction and social image of human resource.

12 Local "ater , !tr ct/ At is a local corporate entity that operates and maintains a potable water supply system in one or more provincial cities or municipalities which is classified as a government-owned and controlled corporation. Employee!/ 0hese are permanent workers in the local water district, controlled and directed to perform based on their <ob description. At would include the Deneral ?anagers, )ivision ?anagers, Bupervisors and the staff. &on1Re)enue "ater/ 0his refers to water that has been produced and is OlostP before it reaches the customer. Publ c Ser) ce ,el )ery/ 0his refers to the effective implementation of organi$ational policies and regulation of those services and making sure they reach those people and places they7re intended to. Publ c Health and Safety/ At refers to the science and practice of protecting and improving the health of a community, as by preventive medicine, health education, control of communicable diseases, application of sanitary measures, and monitoring of environmental ha$ards. %de )ios, ,--1/ Con!er)at on of "ater/ At refers to the optimum utili$ation of water which includes its recycling even if it is already considered waste but still usable for different purposes like cleaning, manufacturing, agriculture related purposes. Cu!tomer Sat !fact on/ *efers to a desirable state of contentment manifested by the concessionaire as a result of availing the water district services. Soc al -mage of the Human Re!ource/ 0his refers to corporate values of the organi$ation that boosts employee s morale to become more productive in work.

,2th , !tr ct of Panga! nan/ At comprises the municipalities of Alcala, !inalonan, +o$orrubio, Bison, Bto. 0omas, Villasis and the City of (rdaneta that are enumerated in the +hilippine Constitution vis-N-vis political subdivision of provinces with respect to one representative each that is re8uired for the membership in the &ower Eouse of the Congress of the +hilippines. Board of , rector!/ 0hey are the policy-making body of the water district representing the five sectors of the society namely9 Civic Bector, +rofessional Bector, !usiness and Finance Bector, #ducation Bector and 'omen s Bector. +eneral Manager/ Ee is referred to as the chief e"ecutive officer of the

organi$ation, who is responsible for the overall planning and direction of the water district while delegating to his division managers his other functions as regards the dayto-day management. , ) ! on Manager!/ 0hey are persons in the water district who are responsible for the daily operations, activities, performance of related works and are authori$ed to decide on matters within their division s <urisdiction. Conce!! ona re!/ 0he clients who avail of the services offered by the 'ater )istrict. Pre! dent al ,ecree &o/ 134/ A law declaring a national policy that favor local operation and control of water systems, authored the formation of local water districts and provided for the government and administration of such districts, chartered a national administration to facilitate improvement of local water utilities, granted said administration such powers as are necessary to optimi$e public service from water utility operations, and for other purposes.

,1