The primary function of technical reports is to provide useful information to the readers who maybe

students, business men or professionals in different fields. Technical Reports contain well-analyzed data
and information and such analysis serve as basis for recommendations, these reports usually
presuppose an existing definite relationship between the corporation and export, employer and
employee or client, and society and the research worker. There are different kinds of reports to fit the
many activities of professionals and other practitioners. They vary in content, ‘in style, in length and in
aims, from brief memoranda or letter to lengthy works of several volumes, from the time keeper’s
reports every day to the voluminous reports on national planning and economic resources of a country.

The Nature of Reports

Report comes from the Latin verb reportare which means to bring back. It implies that a person goes out
and gets something he is assigned to get and brings back to the person or person who has given him the
assignment. As a person with a mission, he must know exactly what is wanted, why it is wanted and how
it will be used when he brings it back. There are points which he should clarify with his commission
before he looks around for data to save himself from wasting his time by bringing back something that is
not wanted at all J. Ralergh Nelson 1995, p. 10)

Origin of Reports
Reports originate when a person or a group of persons ask for the information. The request is made in
writing, usually in the form of a letter or a memorandum or orally. The report is written in line with the
company’s standard operating procedures. A person may write reports on his own initiative as in the
case of a scientist who prepares a report on an invention or in the case of an administrator who sees a
problem, investigates the situation, collects information, analyzes his findings and writes a report of his
work.

Requirements in Writing Effective Reports

(Manalo and Fermin 2009)

Effective reports should meet the following requirements.

1. Is the language simple and clear? If it intelligible? Is the plan evident so that it can be easily
understood by the readers? Are the details presented relevant to the subject? Is it persuasive?
Does it motivate action?

2. Is the presentation of details logical? Are the sentences related to each other? Is the
organization of space sequence coherent?

3. Is the report adapted to the needs of the reader? Is it well planned and organized? Is the
preconceived plan based on logical pertinent details?

4. Does it reflect clear thinking, objectivity and honesty? Is the subject interesting to the reader?
 5. Are adequate explanations provided for easy comprehension? Does it make adequate use of
illustrations and graphic materials?

Distinction Between Report Writing and Other Types of Writing

Many writers confuse report writing with fiction or journalistic writing. Zall makes some distinctions
below:

A report is a systematic and objective communication of factual information to achieve a specific

purpose or purposes. This definition of report makes the report writer determine the distinction
between report writing and other types of writing. The definition discloses the characteristics of report
writing; systematic, objective, factual, informative and functional.

Systematic
To come up with a systematic communication or presentation of ideas information, report writing
involves careful planning and preparation. Preparing involves thinking. Efficient planning reflects an
effective title, a clear and concise summary or abstract and a well-organized report.

Objective
A report writer should consider himself as another person, an uninterested observer or an omniscient
bystander. Objectivity in reports can be achieved when the writer presents and analyzes facts without
considering his personal beliefs and attitudes. He has no personal interest in the results of the report.
Generally, reports are written in the third person to give the reader the impression that the writer was
not governed by ulterior motives in writing the report.

Factual
Reports are different from fanciful types of writing. A report writer presents documented facts and ideas
he gathered from various sources. The writer may simplify, summarize or emphasize these facts but he
must avoid distorting his information. If he presents opinions, these must be supported by research
findings. But as much as possible, he must deal only with facts. He allows the readers whom he
considers to be intelligent to make their own decisions based on those facts.

Informative
Reports are intended to enlighten and widen the reader’s knowledge about the subject matter. The
writer gives all the facts necessary to enable the reader to understand the report. In other words, the
facts must be complete. The writer prepares an informative report by planning, knowing the purpose of
the reports and checking the details.

Functional
Report writing is intended to provide useful information to the readers, not to amuse or entertain them,
nor to argue with them.
Efficient
Reports do the job they are designed to do with minimum effort. They must have a neat balance
between brevity and thoroughness since the job they are designed to do consists of communicating
information. A report writer knows whether he has said enough to suit his purpose: He knows his
readers well to realize how much introduction to the subject they need, how much preparation he
needs in writing the report. He also knows how to pace his presentation for them, giving just the light
information at a time to ensure understanding as well as easy reading. He is an expert of his material. He
knows what to give, what to amplify and what to rewrite.

Report Layout
Attractive report format is necessary. Although accuracy and clarity are of great significance, the
reporter makes an impression on its reader through an attractive format that is even before he presents
the readers the accurate and clear contents of his report. A report should be computerized or
typewritten on white paper of high quality 8% by 11 inches in size. The margins, spacing, indenting and
paging must be accurate to achieve an attractive report format. ,

Formal Report Format

Formal report is the conventional “full dress” report which contains all the necessary parts. This report
has the cover page, title page, letter of transmittal, table of contents, list of figures, abstract, headings,
question and listing, equations, formula and other illustrative devices.

Informal Report Format

Informal reports are short reports. An informal report is usually in the form of a letter or a
memorandum. It ranges from a short, almost fragmentary statement of facts on a single page to a more
developed presentation of several pages. Regardless of length, the informal report rarely carries a cover,
table of contents or any official part except for necessary tabulations.

Types of Technical Report

Information in an organization can be transmitted both formally and informally. Periodic reports provide
formal feedback on the operating system of the company. The unstructured communication illustrates
how informal, interpersonal relationships provide channels of communication. Information is the
substance of communication systems. In its various forms and sources, electronic impulses, written or
spoken words, informal or formal reports, information is the basic ingredient for decision making.
Information facilitates the carrying out of the managerial functions of planning, organizing, and
controlling operations. Information is the raw material for the managerial decision-making process.
According to Forrester “Management is the process of converting information into action.” The
conversion process is what we call decision-making. An information feedback system exists whenever
the environment leads to a decision that results in action which affects the environment.

For many problem solving tasks, the individual has stored knowledge and experience from which he
bases his decision. This knowledge may be sufficient to handle the problem. lf not, then he may seek
additional information from formal and informal communication systems.
You ‘should always remember that the aim in writing is to write a well-organized easy to read
informative material. When you write something which your reader does not understand, you fail as a
writer. You waste not only your effort and time but also the effort and time of your reader who tries to
figure out what you wanted to say.

Classification of Reports
Authorities have advanced many classifications of reports. Among the bases of reports classification are
the following: 1) subject matter 2) time-intervals 3) function 4) formality 5) length and 6) format.
(Lesikay 1969, pp. 7: 11)

Subject-matter. This type of classification IS based on subject fields such as accounting, business,
medicine, economics, marketing, engineering and the like.

Time-interval. Reports may be classified by the frequency of their occurrence: Those that are regularly
written are reports that occur daily, weekly, monthly or annually. They are routine weekly and monthly
reports made by salesmen, periodic reports of progress in big corporations and the corporation’s annual
report of operations. There are other types of reports which are not regularly written. Social reports are
prepared fora special assignment. A special assignment is not likely to be repeated with any degree of
regularity.

Function. Reports are classified by what they do. There are informational and analytical reports.
Informational reports present facts bearing the subject. They do not analyze the facts. The reader, not
the writer presents, then analyzes the data. He may also draw conclusions from the data. When the
problem warrants, he may even arrive at recommendations. Analytical reports analyze the facts and
information gathered for the readers to understand the report easily.

Formality. Reports may be written both for formal and informal purposes. Formal reports are those that
are dressed up and are appropriately worded to fit the requirements of a very formal occasion: Hence,
formal reports contain prefatory and supplemental parts aside from the text. Informal reports, on the
other hand, fit the requirements of an informal situation. Thus, they contain only the basic parts of a
report.

Length. Reports may be long or short: depending on the number. Generally, reports which contain from
one to ten pages are considered short reports while those which contain more than ten pages are
considered long reports.

Format. The physical format of the report varies with the expected outcomes, the use, and the formality
of the situation. The types of reports according to format are the following:

1. Fill-in the blanks. This is a type of report where results are predetermined by the designer.
2. The memorandum report. This report contains the TO, FROM, SUBJECT format entries.
3. The letter report. This is a little more formal than the memorandum. It has a business letter
format.
4. Bulletins. These include information of more permanent value than memoranda. Sometimes
they are not labeled as bulletins. When they are labeled, they have a top form heading similar to
 that of the memorandum report. Usually they consist of one to three pages but sometimes they
are longer and are fastened together.
5. Booklets. These are reports of book length. They contain covers, title pages, sometimes table of
contents, and sometimes cover letters or letters of transmittal, depending on their purpose,
readers and length.

Short Report
This consists of ten pages or less. They are generally information reports of temporary or current
interest and presented with pages informally stapled together. A typical informal report has no cover
page, letter of transmittal, title page, table of contents and no list of illustrations.

Long Formal Report

This is a report in full dress, to suit the requirements of a formal Situation. It includes preparatory parts,
the text and the supplemental parts. The parts include the cover page, title page, letter of transmittal,
table of contents, list of figures, abstract, headings, quotations and listings, equation and formula. |

Memorandum Report
This is the least formal of all reports. This should not be confused with the simple memorandum, a
simple memorandum is highly informal paper of not more than one or two pages written to remind
oneself or others (usually in an office or department) of such thing as a scheduled committee meeting or
the chief points of a conference. A memorandum report is not the same thing. It is a full-bodied report
that can be as long as a letter report and can deal with the same subjects. This report containing the
following features.

1. To, From, Subject, Dateline

2. The printed letterhead. This is sometimes omitted at the top of the page and there is an
identification line or label indicating the department responsible for the report.
3. Complimentary close or signature. This “nay not be required but memoranda are signed or
initialed either at the end or beside the name or the “From” line.

Sample Progress Report (Memorandum Style)

Ledesma Manufacturing Corporation
Ilang-ilang Street
Cavite City

Date: November 10, 2008

To: Benjamin F. Torres, Vice-President for Manufacturing
From: Marvin Roy M. Areano, Director, Manufacturing Division
Subject: Numerical Control vs. Conventional Machining Progress Report _

Background
With increasing sales and constant supply of production’ space, we must find some modes of operation
that will increase production with the existing amount of room. The prime objective of my project is to
gather data and evaluate the advantages and disadvantages of numerical control contrasted to
conventional machining. I hope that numerical control will answer the problem that is encountered by
the company right now

Activities of the Period

As of now, I have gathered most of the information and am in the process of interpreting it. A major
source of data were two companies in Makati City, Laguna Bay Manufacturing Corporation and
Greenfields Co. Inc. both at 18 Buendia Ave. in Makati City. The managers of both companies were kind
enough to let me watch how both types of machines function and we discussed the advantages of each.
They also supplied me with record of a job they made using conventional and numerically controlled
machines. Based on these observations and records, I have come to these conclusions thus far:

1. The personnel required to make a single part for a numerical control machine maybe three
people while conventional machine usually needs only one person.

2. The personnel required to run numerical machines need not be experienced while the operator
of a conventional machines must be trained properly to understand feeds, speed and other
procedures.

The use of numerical control in producing parts is faster than conventional machining.

Further Plans
Based from the information gathered from the two companies, I will make actual cost comparisons of
the different kinds of machines. This can be done by using as an example a specialized steam turbine
bolt produced through both methods. This will cover the descriptions of the parts, the quantity
produced on each machine, the price per piece related to each and the number of hours worked.

Conclusions
The project has gone without any difficulty, this despite the time and cost of traveling with the situation
of traffic that everybody is encountering right now. The information gained is great although the
secondary sources, the tentative conclusions suggested by my findings assure me that we are heading in
the right direction. I will complete my report before the due date.

Letter Report
A letter report has the physical properties of a typical business letter. Although basically still informal, it
can vary in formality according to its purpose, the type of reader, and the subject being discussed.
Informal letter reports are written when they convey information between Organizations whose
members know each other well or have corresponded frequently. Formal letter reports are written
when the correspondents hardly know each other. Formal letter reports are, however rare. Most often
they are simple, dignified business letter that convey business technical information from one company
to another,

Bulletins
Bulletins are used for both internal and external communications. They present information of more
permanent value than memoranda and are distributed to a sufficient number of readers to warrant their
reproduction in quantity. For this reason, they are not addressed to any particular person Bulletins are
commonly used to inform their readers about personnel changes and policies.

Sample Bulletin and a Cover Memorandum

15 May 2009

TO : Division Manager, Branch Managers and Office Managers

FROM : Personnel Officer
SUBJECT New Travel Allowance Policy
:

To encourage management personnel to attend conventions, seminars, and meetings of professional

associations, to participate in programs and to speak professionally whenever possible, the company will
implement a new travel allowance policy which will begin on May 18. The provisions of the new travel
allowance policy are contained in Personnel Policy Bulletin No. 15.

Please be guided accordingly.

Eugene P. Alvarado
Personnel
Officer

(adapted from Techno Business by Romero, et al.)

Personnel Policy Bulletin No. 15

Distribution: Subject: New Travel Allowance Policy

Division Managers
Branch Managers
Office Managers

To encourage management personnel to attend conventions, seminars, and professional meetings, to

participate and to speak professionally whenever possible to the community, government, and civic
groups, the company will implement a new travel allowance policy which will begin on May 18. The
provisions of the new travel allowance policy are the following:

1. A private car will be used instead of the available company car which costs 42 centavos per mile.
2. Allowance for hotel or motel which is a present P 500.00 per day will be raised to P 700.00 per
day in such cities as Zamboanga, Davao, and Cotabato and P 1,000.00 in Manila and the
National Capital Region. Allowances for dinner which is P 130.00 lunch P 170.00, and breakfast P
150.00, will be the same.
3. Before the trip, an estimate of the total expenses must be submitted for approval in view of the
fact the company will shoulder allowance payment of 75 percent of the estimated expenses,
4. Reimbursement of travel expenses should be made according to allowable expenses and costs
are charged to the department authorizing the travel.
5. Reservations, schedules and arrangements for the trip are the representative's responsibility.

(Based on a problem situation in Brown p. 53.)

(adapted from Techno Business by Romero, et al.)

Short Report

A short report deals with a topic which is narrow in scope. It is either formal or informal. The informal
short report consists of one to three pages while the formal report runs to ten pages. Any report which
consists of more than ten pages is a long report. The short report consists of the following parts:

1. Title. The title is a specific and concise statement of the topic which refers to the major factors
to be investigated. Its main function is to inform the reader about the study that is why it is self-
explanatory. A good title answers questions dealing with what, where, who, why, and how. The
title page identifies the report by subject, department or the person responsible for it and the
date.
2. Introduction. This gives the reader background information about the topic. The writer states
the objectives and reasons for the investigation and the expected use of the results and other
background information that will help the reader get a clear picture of the report.
3. Result and Findings. This section presents the facts and their details that led to the conclusions
and recommendations. It indicates the meaning of what has been found. This part presents the
statements of inferences drawn from the findings. The analysis of the relevant data must be
objective and logical.
4. Summation. This section gives a concluded restatement of the problem, the procedures and
findings. Emphasis is given on the conclusion and recommendation. Conclusions should be brief
and direct. It must be based on the interpretation of the data. Recommendations are
statements suggesting a specific cause of action to take about the conclusions reached. The
writer may show how the research findings can be applied to solve the problems.
Accounting Reports
Accounting reports are very necessary in business management. First major objective of accounting is
providing information for control of current operations and future operations. Second is helping
management exercise control of the business by: 1) providing reports of current operations and 2)
supplying information for the planning of future operations.

Reports that help management in the control of current operations can be divided into two general
classes: financial reports and operating reports. The principal types of financial reports are cash report,
balance sheet, receivable balances, reports of daily accounts, inventory reports and business capital
reports. Operating reports provide the use of the assets and of the manpower of the company, the
results of the operations and the sources and causes of profits and losses. The principal types of
operating reports are income statement, analysis of gross profits by product line, sales, operating
reports, purchasing operating reports and production operating reports.

Short Operational Business Reports

Business organizations generally have three levels of management which needs operational reports.

First level management is commonly called operative. This is composed of managers whose
responsibilities revolve around the problem arising from the employees in relation to the performance
of their jobs

Second level management consists of managers who deal with problems in supervision and coordination
of employees.

Third level management (top-level) consists of the administrator, or executives who are concerned with
group management problems.

Classification of Reports According to Reader-Writer Relationship

Internal reports. These refer to the reports needed within employer - employee relationships. These
move vertically upward or downward from a non-executive or sub-executive to top management or
from an executive down to lower officials or employees. They move horizontally from one department
to another within the firm, or from one employee to another in the same department.

External reports. These are those that are concerned with the relationship of the company and the
public.

Staff report. A staff report is an internal report prepared by a member of the staff for another staff
member or for an office or a department. All reports of whatever format written for the internal
operations of a company are called staff or administrative reports. These reports are:

Product Analysis Policy Statement

Procedural Statement Attitude Surveys
Statistical Analysis Management Newsletter
Process Analysis Sale Report
 Marketing Surveys Justification Reports
Committee Report Accounting Reports
Progress Reports Report on Interviews
Improvement Reports Readership Surveys
Research Reports Examination Reports
Analytical Reports Advertising Reports
Periodic Reports Employee Appraisals
Recommendation Reports Audit Reports
Employee Bulletins

External reports are those prepared for readers outside the company; usually to inform specified publics
about the company. They are:

Annual Reports Holders to the Public

Credit Reports Brochures
Progress Reports News Releases
Personnel Reports Public Relation Reports
Periodic Reports Articles in Magazine
Information Reports

Economic Analyses
(Romero, et al)

Economic analyses are prepared so that production may be evaluated. Since important management
decisions may be based largely upon such reports, they require accurate observation and statistical
treatment. This type of reports include the following: 1) computations of the various components of the
cost in the manufacture of a product 2) discussion of the company’s objectives in considering the
proposed plant 3) the current and anticipated markets for the product.

Audit Report
The auditor’s report is a formal opinion, or disclaimer issued by either an internal auditor or an
independent external auditor as a result of an audit or evaluation performed on a legal entity or
subdivision called an “auditee”. The report is subsequently provided to a “user” as an individual, a group
of persons, a company, a government, or even the general public as an assurance service in order for
the user to make decisions based on the results of the audit.

An auditor’s report is considered an essential tool when reporting financial information to users,
particularly in business. Since many third party users prefer financial information to be certified by an
independent external auditor, many auditees rely on auditor reports to certify their information in order
to attract investors, obtain loans, and improve public appearance. Some business or companies which
state financial information without an auditor’s report is “essentially worthless” for investing purposes.

It is important to note that the auditor’s report on financial statements are neither evaluations nor
opinions as to the financial health, performance, attractiveness, potential, or any other similar
consideration of entities in order to make a decision. The report is only an opinion on whether the
information presented is correct and free of material misstatement. All other considerations are left for
the user to decide.

Sample
AUDITOR’S REPORT (or independent auditor’s report)

Board of Directors, Stockholders, Owners, and / or Management of

ABC Company, Inc.
123 Main Street.
Ortigas Business Center
Mandaluyong City

We have audited the accompanying balance sheet of ABC Company, Inc. as of December 31, 2008 and
the related statements of income and cash flows for the year then ended. These financial statements are
the responsibility of the Company’s management. Our responsibility is to express an opinion on those
financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in our country. Those
standards require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statement. An audit also includes
assessing the accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audit provides a reasonable
basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all
material respects the financial position of the Company as of December 21, 2008, and the results of its
operations and its cash flows for the year then ended in accordance with accounting principles generally
accepted in the Philippines.

Philip John F. Ortega

Cruz and Ortega Auditing System
Libis, Quezon City

Report issued on January 20, 2009

Accomplishment Report
This report presents in detail the accomplishment of the report writer. Generally in writing this report,
the writer should emphasize whether the task to be performed has been completed within the time
limit or not. Other accomplishments must also be included in the report. The report writer must also
explain the part of his performance that needs improvement.
Sample 1
Accomplishment Report (Memorandum Style)

30 June 2008

For : Atty. Carlos M. Villanfuente

Personnel Director
From : Patricia O. Ricafort
Subject : Accomplishments

1. I completed my one year term on the Training Advisory committee. During this term, I
interviewed all Division A department heads, all Division A administrative assistants andfive
additional profile in each department of Division A. I documented all of the interviews in a
Filemaker Pro database, which allowed me to post and create reports on all division training
needs. Using Power Point, | created a presentation for the Training Advisory Committee.

2. l served as a trainor for Mr. Robert M. Ricafrente. During his first month, I met with him for three
hours per week. We received all of the items on the buddy checklist, and I also did some on-the-
job training. During the remainder of his probationary period, we continued to meet twice a
month for me to discuss difficulties or questions that he had. | was also readily available to
answer questions during this time. In-addition to helping Robert, I received two administrative
assistants and two technicians to serve as buddies for other new employees. I served as a
mentor for these buddies by giving them advice and explaining how I completed the buddy
checklist. In additions, I met with the program developers and made suggestions on how I
thought that the buddy system could be improved, several of which have been implemented.
Finally, | integrated on division’s cross-training programs into the buddy system. The new
employees now have time built into their schedules to learn the specifics of the job that they will
be responsible for covering.

3. I assumed the responsibilities of division records coordinator. I had five formal meetings with the
laboratory record manager to learn all the policies and requirements for records management.
Developing work processes and procedures for the division proved to be a larger task than I had
imagine, and did not finish. Therefore, we were unable to train the support staff. I feel that with
a little more training and study, I will be able 4, effectively manage and train the division file
custodians.

4. I had seven formal meetings, with the representatives from Business Services and too three
training courses. I learned how to use all of the different systems for tracking departmental
expenditures and documented how we might use them in our department. I then determined
which systems would be best suited to the needs of our division. After doing this, I searched
existing training courses, and developed a training plan that integrates an existing training
course, a division specific training course and on-the-job follow up training. Using Power Point, I
presented the implementation and training plan to the division and department heads.

Other Important Accomplishments

I participated in a job fair at a local university.

Competencies

This year I served as floor safety warden and | was a participating member of the division safety
committee.

Performance Improvement Needs (previous year)

Last year it was noted that my Filemaker Pro skills were not at an acceptable level. I completed a one-
week Filemaker, training program. I used Filemaker Pro to document all of the training interviews, and |
was able to create all of the sorts and reported with little assistance.

I attended Unilab’s supervisory meeting.

Special Information Reports

Preliminary Report
The purpose of a preliminary report is the gathering of data or information to determine the feasibility
of the proposed project, the probable cost, the best design and other relevant facts. Since the
preliminary report is just written for a more detailed examination report, it is limited in scope and it
collects only the necessary data, gives rough estimate and submits preliminary designs. It may provide
recommendations and is usually an inside report. A preliminary report usually has these distinct details.
A brief review of the essential details involved, abstracts of developments in other projects for
comparison and presentation of the plan favored by the report writer and arguments or reasons
determining its advantages. It also contains a rough estimate of the cost of the plan and a summary of
the report writer’s conclusion.

In analyzing the factors involved, the report writer must explain fully the various details he should
consider in determining the advisability of the writer. The preliminary report often presents a rough
sketch of the proposed plan, as well as table of costs, placed near the end of the report. Graphic
materials such as tables and charts showing data for purposes of comparison and contrast are also
included.
Sample 1
Preliminary Report (Letter Style)

The Municipal Council

Calamba, Nusamis Occidental
Misamis Occidental

12 May 2009

Fr. Ernest C. Colanag

Director
Sacred Heart College

Dear Fr. Colanag

In compliance with your request authorizing us to investigate the advisability of constructing a covered
walk from the gate of the school to the municipal building, we wish to submit the following preliminary
report.

1. Advisability of Constructing a Covered Walk. It is Important to Construct a Covered Walk for the
Following Reasons.

1.1 The covered walk will provide shelter for students, teachers, employees and residents of
the area from the heat of the sun and heavy' rains during the rainy seasons.

1.2 Since the project includes the setting-up of electrical lights, it will serve as protection to all
the students, teachers, employees and residents of the area, especially at nighttime from
all the undesirable elements of the society.

1.3 It will also beautify the area.

2. Abstract Of The Most Suitable Design

My extensive experience in covered walk construction and the result | obtained after comparing
several plans lead me to conclude that the design drawn by Architect Romeo A. Clapario is the
most suitable plan since it meets all the standards and requirements of the covered walk in the
area.

3. EXPOSITION OF THE PLAN

 The proposed covered walk will be constructed from the gate of Sacred Heart College to the
entrance of the St. Paul’s Shrine to the municipal building. It will make use of single post and
paired Post, construction. The paired posts will be used from the gate of the school to St. Paul's
Shrine, and single posts will stand from the entrance of St. Paul’s Shrine curving to the municipal
building. Paired posts are twelve all in all and there will be fifty single posts. The distance
between the paired posts will be approximately 2 meters while the distance between a set of
paired posts to another will be roughly 3.5 meters. This is also the distance called from one
single post to another. The base of the posts will be buried in a hole with a width of 1.5 feet and
a length of 1.5 ft., the depth roughly 24 inches, the roofing will be an arch framework. The
roofing will be welded to the tip of the poles and to braces located at the middle of the covered
walk structure and at the sides. The roof will be made galvanized iron sheets. There will be a
three-layered coatings of paint. The first layer being red the second black and the final coating is
dark brown.

4. ESTIMATED COST
On the account of the increased cost of materials, labor and other miscellaneous items, this
design jt approved will cost approximately P 1, 200, 000.00 distributed as follows:

ITEM COST
Materials P 800,000.00
Labor P 300,000.00
Miscellaneous P 100,000.00

TOTAL P 1, 200,000.00

5. CONCLUSION

In view of the foregoing findings, we hereby conclude as follows:

5.1 The construction of the covered walk is advisable

5.2 The adoption of the design of Architect Romeo A. Clapario with the description enclosed
should be considered

5.3 The appropriation of P 1,200,000,000.00 should be set aside to finance the project.

Very truly Yours,

VINCENT RAUL M. REYES

Supervising Engineer
Examination Report

The examination report is one of the most frequently written type of reports. It contains information for
the specific purpose of providing a’ basis for action. It contains an analysis of conditions. It gathers data
and from these data draws conclusions based upon expert knowledge. It is usually an outside report,
done by experts of a large group working under supervision. Many people are sometimes involved at
one time in the varied phases of work.

In writing the examination report, the writer first determines a careful plan. The design is dependent
upon the authorization, the purpose and the scope of the report. The scope is usually limited by the
time or the money at the disposal of the report writer, but it should be flexible and open to changes, as
conditions may dictate.

The organization of an examination report involves the consultation of books and research reports on
the subject. Photographs, plans, maps, must accompany the literal discussion of his observations. This is
a method employed to determine the characteristics of materials or information about a large group of
individual units, whether persons or things, by a process of selection or reduction. The theory underlying
the process is mathematical. Its purpose is to reduce the quantity to be examined by selecting only a
small part of a large group and the selector is chance.

Example of an Examination Report

(Form-Report Style)

Date of Report: July 20, 2009

Subject: Waste can be Compacted by an Automobile Jack

Device
Wastes occupy so much space. To solve this problem, the author designed a device which can compact
waste at a minimal cost. The device can be made simple but if it will be made more sophisticated,
accessories can be fitted to it to suit the kind of wastes to be compacted.

The device may either be a square or a circular type. Both are, however, operated by an automobile jack.
This jack can be mechanically driven or hydraulic operated, depending on the desired speed.

Mechanical jacks are slow, but their maintenance is minimal. Normally, however mechanical jack is used
whenever a heater is attached to the device to transform the wastes to charcoal or panel-like briquettes.

The compactor has two plates: a negative plate which is inserted on top of the compactor to cover the
wastes, and a positive plate which is attached to the tip of the automobile jack. The positive plate
compresses the waste.

The positive plate is not welded with the jack tip so that in case of malfunction, the jack can easily be
removed. Because of the weight of the plate, its lowering motion is made possible through gravity. In the
negative plate, an additional accessory may be attached, op inserted within a flat plate heater similar to
the one used in ironing clothes.

The heater is significant especially if the wastes involved are made of wooden chips or sawdusts, which
can be transformed into briquettes. Briquettes, which are basically charcoal, can be used for cooking
food in the open air.

When the device is used in an agricultural field where there is no electricity to run the heater, the heater
and cord can be removed and the top of the device which is the negative plate can be used as firewood
stove.

Costs

In as much as waste compactor needs a sturdy structure because of the pressure exerted by the jack, the
device should be made of steel or iron, whichever costs less. A breakdown of the costs of parts reveals
the following:

Automobile jack P 100.00 (approximately)

Hydraulic 89.00
Mechanical steel structure, including rod 180.00
and guide assemble
Paint 60.00
Labor 200.00
Heater and cord (optional) 50.00
TOTAL P 679.00

Other accessories are not included in the computation. The cost seems to be practical considering the
benefits which can be derived from it.

Other accessories include different designs molded into the negative plate. The design will make the
finished product more physically attractive. However, these designs are normally very costly. Prototypes
of the device have been manufactured and the results have been encouraging.

By-Products of Compacted Wastes

The device is suited primarily to agriculture wastes such as sawdust, rice, husks, and coconut husks.
Compacted agriculture waste yields a number of by-products:

1. Unheated compacted waste mixed with a little cement and starch can be used as decorative
panel.

2. Waste mixed with a little starch solution will produce a flat panel which has multi-purposes.

3. A far better result can be obtained if the wastes can be soaked first in starch solution, dried
under the sun, and then heated while being compacted. Soaking of waste in a starch solution
transforms the waste into paper mache, a little heat applied under high pressure transforms the
waste into a beautiful and sturdy paper board or decorative wallpapers.
 4. Pulverized coconut and rice husks compacted with raw rubber can be used in the recapping of
tire and when heated will result in a beautiful foam-like panel ideal for purposes of decorating
furniture.
5. Compacted sawdust treated with starch solution and then with briquette, will result in panel
briquettes. Panel briquettes, when coated with epoxy, will serve as flooring and wall materials.

6. Compacted paper mache, painted green, serves as blackboard for children.

The sample products which have not undergone intensive research were tested, to determine their
marketability. These sample products appeared marketable on account of their minimal cost and the
availability of raw materials. The initial products, however, did not pass the following tests: durability,
precision (fine finish) and strength. To be marketable, there should be a balance of these five factors. The
most important positive factor is its cost; it is however, not durable.

Maintenance of the Jack.

The only disposable part of the device is the hydraulic or mechanical jack. It is also the only part which
needs repairing. However, the parts of the jack are inexpensive. Repairing the jack requires much time
and effort. It might even be more practical to have the entire jack replaced. The jack’s life span depends
upon how it is used. If it is taken care of very well, it may last-a lifetime.

Engineer-in-Charge : Jeffrey C. Dolleson

Note: This form report is a blank form furnished by the management to be filled up with pertinent
information by the report writer.

Final Report

The final report makes use of the double report form in which the first section is non-technical;
descriptive and narrative account of the construction dealing with the problems involved and the result,
accomplished. The second section contains the engineering and technical information, costs, formulas,
size, tests, performance, and similar matters illustrations abound in the first part, tables and curves in
the second part.
Sample Final Report
(Letter Style)

The Metro Manila Strategic Mass

Rail Transit

Department of Transportation and Communication

November 19, 1999

Hon. Leandro T. Mendoza

Secretary
Department of Transportation and Communication

Dear Mr. Secretary

The second rail trainsit line, better known as the “MEGATREN’ is a 13.8 km. mass rail transit line that
passes through five (5) cities in the metropolis namely Pasig, Marikina, Quezon City, San Juan and
Manila. .

The MEGATREN is the much-awaited answer to the clamor for a convenient, fast, safe and reliable
means of transportation across Metro Manila. The transit extends from Santolan, Pasig in the east, to
Doroteo Jose, Manila in the west. It has 11 stations, one of which is the Katipunan Station, the only
underground station of Line 2. The trains are fully air-conditioned to give passengers more comfort in
travelling. Expansion of this line is available in the future and could go as far as the North Harbor in the
west and Masinag and Cogeo in the east.

The Megatren attracts a considerable share of the riding public who are currently using vehicular
transport along this high volume but slow moving transport corridor resulting to less traffic congestion
on roads, reduction in air pollution, a cleaner environment, lesser travelling time, and therefore, greater
economic benefits and a higher quality of life for passengers. The ease and convenience for a large
numbers of commuters to access the stations also produces commercial, retail, and office development
opportunities that contribute to faster urban renewal.

The project is divided into 4 contract packages.

Package 1 – Depot

This package involves the construction of a depot to house the rolling stocks and other vital facilities of
the system that include the rolling stock maintenance facilities, maintenance of way equipment and
Operations Control Center.

Package 2 – Substructure
The scope of the contract for this package covers construction of viaduct foundations and piers,
substructures of elevated stations, the Katipunan underground station and itsunderground segments.

Package 3 – Superstructure and Stations

This package covers the construction of the viaduct structures and stations including transfer stations at
the Cubao and Recto stations.

Package 4 – Systems, Vehicles

This package includes the supply of the rolling stocks, the power supply and distribution system,
signaling system comprising of Automatic Train Control (ATC), telecommunications system, the
automated fare collection system, trackworks, including contract coordination and quality
control/assurance, and system integration.

Metro Manila’s first light rail transit line which commenced commercial operations on December 1,
1984 continues to provide safe, fast, and reliable transportation services along its Taft-Rizal corridor.
Since 1989, its ridership level has gone beyond its original capacity.

Description

Due to increased ridership patronage for Line 1, this project was conceptualized with the primary
objective of expanding the LRT Line 1 capacity by 50% from a nominal carrying capacity of 18,000
passengers per peak-hour per direction to 27,000 or 235,000 additional commuters to be carried by the
system daily upon project implementation.

This objective was achieved through the procurement of seven new, air-conditioned 4-car trains and the
transformation of the existing 2-car trains to 3-car trains with corresponding modifications to the
existing vehicles, systems, facilities, and structures to support the operation of the expanded system.

Proposal
Proposals are necessary every day in industry, business, service, technology, trade and other
professions. The original proposal may come from a person, agency or company that would like
someone else to do a job that needs to be done. On the other hand, a person, agency or company that
wants additional work may offer to render service to another. In either case, a proposal is required.

A proposal is a written offer to solve a technical problem in a particular way under a particular plan of
management for a certain sum of money. In other words, it is a report which aims to convince a
“customer” that the company or person presenting it is better qualified to give the product or service
needed than all the other companies or persons who may have ideas of the plan or project.

Characteristics of a Proposal

1. It is a written offer to solve a technical problem. This is a technical proposal.

2. It is a specific plan of management. This is a management proposal.
3. It offers a certain amount of money. This is a cost proposal.
Types of Proposal

1. Solicited Proposal

This is a written response to a direct invitation to bid. They are published in business magazines,
official government publications or in the newspaper advertisements.

2. Unsolicited Proposal

This is sent to a prospective customer with the hope that the excellence of the plan proposed
will end in a contract.

Guidelines to follow in preparing a proposal:

1. Make a preliminary study

When a company receives an invitation to bid or request for a proposal, its technical staff will do
the following: Analyze the invitation to bid in detail, analyze the background information like
reports of field representatives who have visited the prospective client, company, study the
probable competition critically, present a thoroughly evaluated design or program, prepare a
plan, write the rough draft and determine the illustrations, graphic aids and layout, review and
revise, evaluate the proposal critically,

2. Discuss to the client how the crucial activities will be carried out, who will manage the project
and the schedule of the completion of the activities. (Management Proposal)

3. Present the summary of the breakdown of the cost in terms of labor and materials. (Cost
Proposal)

4. Include the necessary elements of a goal study although unlike the research proposal, the
sequencing of the parts are not fixed.

Parts of Proposal
(Vicente, et al, 2000)

Project Summary
Project Description
Introduction
Rational and Significance
Plan of Work Facilities and Equipment
Personnel Qualification
Budget Appendix
Sample 1
Proposal (Memorandum Style)

Date : November 5, 1998

To : Tommy M. Echevania
From : Ted S. Carbonel
Subject : Reduction of Fatigue Factor

OBJECTIVE
To show that a modified conveyor belt will reduce employee fatigue and back problems.

EXECUTIVE SUMMARY

The workers in Department B are sustaining reduced output because of fatigue and backaches. This
problem will be solved by raising the height of the conveyor belt to reduce unnecessary bending for these
workers.

DISCUSSION

Recently Ace Baking Consultant conducted a study comparing the production output of one department
of workers with the output of another department. These consultants found that as the workday
progressed, output of Department A stayed constant, whereas that of Department B decreased
considerably.

Employee Fatigue

The workers in Department B are sustaining reduced output because of fatigue and backaches. After
numerous observations, I have found that these workers are suffering from these health problems
because the conveyor belt, from which they pick up the products to be packed, is too low to the ground.
This poor position of the conveyor belt causes workers to bend over farther than necessary to retrieve
products. The extra bending is the cause of numerous back problems, which result in medical expenses
paid by the company. It is also the cause of increased fatigue, resulting in a lower production output rate
per 8-hour shift (see Table 1),

As you can see in Table 1, the production rate of Department B, per hour, decreased considerably toward
the lunch break, whereas the production rate of Department A stays relatively consistent. Both
departments then receive an hour break for lunch and return to work. Once again the production rate of
Department B decreases until quitting time, whereas that of Department A remains consistent.

TABLE 1

Mean Number of Units Produced per Hour in Departments A and B

Hours
Dept. 1 2 3 4 5 6 7 8
A 200 198 197 197 199 198 196
B 198 192 187 185 196 191 185
Hour 5 - Designated lunch hour, no output

Conveyor Modification

My proposal is to implement a modified conveyor belt. The proposed conveyor belt will stand 8 to 10
inches higher than the previous conveyor. This procedure can be accomplished by soldering an 8-to-10-
inch extension piece to each of the existing legs consecutively and then refastening the conveyor to the
floor. This modification of the conveyor will increase productivity by reducing stress from bending over.
The modification will also reduce medical expenses paid out by the company.

Another solution considered was to implement an adjustable conveyor belt that would automatically
adjust to a number of different heights. This solution was rejected because of its high cost. :
Sample 2
Proposal (Letter Style)

May 25, 2009

Rev. Fr. Alfredo T. Rescallar

Dean
College of Arts and Science
Holy Name University Tacloban City

Dear Fr. Rescallar:

We are very pleased to present to you our formal proposal for the supply of the following:

FORMAL PROPOSAL

One (1) Unit DUPLO DUPRINT

MODEL 5020 400,000.00

OPTIONAL ACCESSORIES:
-COMPUTER INTERFACE 70,000.00

Note: Please see enclosed brochure and specifications.

If you have any question regarding this proposal, please feel free to contact us. We shall be glad to help
you in every way we can.

Very truly yours,

Joseph Nery N. de los Reyes

Systems Representative

Noted by :

Jeffrey M. Dollescan
Manager
Inclusion in the Proposal

Fully Automatic Integrated Scanner and Mimeo Machine Offering a High Degree of Control Over
Document Presentation With High Speed, Quality Printing, Versatile, and Intelligent Alternative

MAIN FEATURES:

 fully digital processing/stencil printing

 thermal head/single drum stencil printing
 variable speed from 45 to 120 copies per min (5 steps)
 max 290mm x 410mm maximum print area
 max 297mm x 432mm original size :
 100mm x 150mm-297 x 432mm sheet size : ]
 6 colour options via drum unit exchange
 1000 sheets stocker/feeder capacity
 1000(Fine quality 64 gsm. 55kgs)
 Can use variable print paper from rough to fine quality
 Letter and photograph processing mode
 Multi exposure printing 2-up, 4-up, 8-up 0
 17 seconds processing speed (A4 size)
 400 dots per inch image resolution
 Automatic ink distribution
 Preset reduction 4 steps (70%, 81%, 86%, 94%) |
 Book lift up planets for handling three dimensional objects, books, computer print outs, maps
etc.
 “optional” automatic document feeder can be pre-programmed to print the required output.
 “optional” magnetic card control system that can be used to restrict machine usage, as well as
providing an accurate way of costing work to different departments. Up to 30 operating cards
may be used.
 Standard tape cluster unit that provides automatic collation.
 Dimension; L/1285 x W/670 x.H/663mm (open) L/620 x W/670 x H /663 Weight: 102kgs, : .
 220 volts

Terms and Conditions

PRICES :

Quotation is final for a period of twenty (20) days from receipt and subject to confirmation thereafter.
Prices quoted are inclusive of 10% Value Added Tax, these are based on FOB, Manila only. Delivery
charges from Manila and to other parts of the Philippines shall be charged to you.

DELIVERY :
Delivery will be from fifty (50) to One Hundred (100) days upon receipt of your Purchase Order. This
delivery period will be subject to modification by such contingencies as dock strikes, factory strikes,
fortuitous and other events beyond our control, like any increase in local cost arising therefrom.
Therefore, prices quoted herein are subject to the above conditions at the delivery.

INSTALLATION :

The proposed equipment will be installed by our service engineer at your premises FREE-OF-CHARGE
within Metro Manila.

For outside Metro Manila, transportation and accommodation for our service engineer who will install
the equipment shall be at your expenses.

TRAINING :
Training of your operator will be provided FREE-OF-CHARGE.

WARRANTY :

All equipment sold at PCO Office Distribution, a division of International Commercial and Trade Company
are guaranteed against any mechanical defects for a period of one (1) year from the date of delivery.
During the guarantee period, labor required to repair the unit, spare parts the need replacement
including services calls from time to time shall be provided FREE-OF-CHARGE

AFTER WARRANTY :

After the warranty period of one (1) year, these equipment are accompanied by a LIFETIME FREE
SERVICE WARRANTY which included a FREE MONTHLY CHECK~ UP AND FREE SERVICE CALLS whenever
required by customer.

The above warranty, is applicable for all installations in the whole country. For installation outside of
Metro Manila, you can call our branch office in the capital city of you province.

PAYMENTS :

C. O. D. 10 days

MODE OF DELIVERY :

Immediate upon the receipt of your purchase order.

Trusting that this proposal will merit you favorable consideration and we look forward to doing more
business with your good office.

CONFORME

BY :

DATE :
Progress Report
A progress report helps to keep the client in touch with the work being done. The main function of any
progress is to give the company, department or individual an accounting of the work that has been
done. The main objective of the report is to present information about a work done on a particular
project during a particular period of time. Progress report which is generally narrative in style and
follows the chronological order, is an internal report which serves only to inform the one in charge of
the work that satisfactory progress is being made and that the workers are carving-their keep. The
progress contains the most recent plans for the project, new developments, accomplishment to date,
special situations encountered, problems met and other similar information and future plans.

The progress report must be accurate, complete and brief. Great emphasis must be placed on brevity.
From the point of view of organization, the progress report must contain the following parts: 1)
transitional introduction 2) a section which gives complete details of progress mace during the current
period 3) a conclusion,

Introduction

In this part, the reporter must determine the nature, scope and plan of the subject matter of the report,
He summarizes earlier progress reports as a background for the present account. The introduction gives
the readers an opportunity to recall the substance of the previous reports so that he can read the
present one intelligently.

Body

The body of every progress report must bring together two elements: time and task accomplished
during that time. The fact suggests that the middle portion of the progress report can be organized
around either time or task, this part of the progress report must be complete, accurate and clear.
Remember that the report is not a personal record for the writer but an information for some particular
readers about the work done.

The detailed account of the work done may require the presentation of mass of data. The reporter
should analyze these data.

Limit yourself to the evaluative remarks about the data in the body of the report itself. It is better to put
the tables in the appendix at the end of the report and do not forget to tell the reader that the tables
are in the appendix.

Although the tables are of great convenience and sometimes a necessity, remember that they should
not be allowed to stand without an Interpretation.
Sample 1
Progress Report (Memorandum Style)

November 20, 2008

To : Ray Schweisguth
From : John F. Furlano
Subject : Progress Report on Recommendation Assignment

Purpose
This memorandum reports the progress I have made on my recommendation report during the period
November 6-20. This memorandum will cover the work I have completed to date, from the work I have
yet to complete, and problems I have encountered with this assignment.

Work Completed to Date

Writing. I have developed and organized criteria that would be required in a real-life decision on whether
to rebuild or replace an extruder. My extruder data include information on maintenance and energy
costs, output capacities, and life expectancies. I have also written the introduction and several short
paragraphs discussing my recommendation.

Visual Aids. I have finished rough drafts of both of my tables. The first table summarizes extruder
specification, such as output capacity and power requirements. The second table shows 10 year total
costs and total profit estimates on which to base a rebuild-versus-replace decision.

Work Scheduled

I have yet to decide on subdivisions for my final report; therefore, I have not yet completed an organized
rough draft. I also need to develop a good format for my two tables so they will be clear and easy to
read. I expect to complete my final report by December 1.

Problems

My first problem was that | could not find an actual example of a decision to rebuild or replace a piece
of equipment. However, after looking at several books, I was able to design my own example of such a
decision. Here are my remaining questions: 1) I know I need to explain the figures in my tables, but do I
have to explain how these figures were obtained 2) I have not decided on a table format for the Extruder
Specifications Chart because many different specifications for example, costs, power usage, output
capacity, and life expectancy are being compared in the same chart. Do I need to label the columns and
rows, or can I put the labels right after the units?
Sample 2
Progress Report (Letter Style)

4 March 1994

Hon. Alfredo S. Lim

Mayor
City of Manila

Dear Sir

In compliance with your instructions on January 30, 1994, we wish to submit our sixth progress report on
the construction of the covered walk along Victoria Street, from Muralla to Taft Avenue, as follows:

1. WHAT HAS BEEN PLANNED FOR THE PRESENT

The present plan is as follows:
Painting the black primer paint
Completion of connecting the arches and curves iron artworks
Connection of all electrical wiring, casings and protection pipes
Completion of installing all the support cables and steel bars on the roof frame.
Placing galvanized iron sheet roofs
Construction the post footings

2. WHAT HAS BEEN ACCOMPLISHED TO DATE

The work which started in the second week of December 1993, continued with the painting of the
double-post covered walk iron framework with black primer paint, which started on January 30,
1993. With not more than five laborers, they finished painting the double-post covered with iron
frame work before the end of that week.

 On February 13-19, 1994, all the arches, the curve iron artworks, and all the supports cables
angular bars, except on those locations where the trees lay across the covered walk’s path,
were placed.
 Midweek of February 13-19, 1994 the bulb casings or protectors, wire connection, bulb
sockets, protection pipes, all that concern with the connection of illumination were started
and completed on the following week. These were attended to by separate laborers of not
more than six.
 On February 20, 1994, those left-out portions of the covered walk were welded and
completed in preparation for the connection of the galvanized iron sheets.
 The galvanized iron sheets were laid starting February 24, 1994. The sheets were bored for
installing them with the use of screws. The sides of the roof were designed and painted with
orange primer paint.
  Starting the week from February 26, 1994, the base of the posts were welded with
reinforcement bars. A cement was used to construct the post footings.
 On the following days, from March 1, 1994, the constructing of the footings, connection of
the roofs, installation of electrical wiring connecting the single and the doublepost covered
walk’s electrical lines, were continued. By morning of March 4, 1994, all the work on the
double-post covered walk would have been completed except that of painting from the first
to its final coating.

3. WHAT IS PLANNED FOR THE FUTURE

Starting the next day, March 5, 1994, the schedule of work will include the following:
Painting the first coating and the final coating on both the single and the doublepost covered
walk.
Installing bulbs and connecting the electrical lines to power source

Very truly yours

John C. Vista
Supervising Engineer

Feasibility Report

A feasibility report documents the results of a feasibility study. It defines the study in terms of its
objectives and the criteria that determine whether something is feasible or not. A feasibility study is a
technical proposal although much more detailed than the ordinary proposal, once the purpose of
feasibility study has been clearly or exactly divided, a fairly logical process has been set in motion.

The objectives must be attainable and must be clearly stated. Presenting information about similar
studies conducted before will confirm the fact that the report can be done now because it was done
before and was successful. The present study may be compared with previous studies, clearly defining
the points of similarities as well as differences. The reporter can stress that the present project is much
better than the previous ones.

Below are the steps to follow after the purpose of the feasibility study has been clearly and exactly
decided in a logical process.

1. setting the purpose and scope of the study

2. gathering and checking information
3. analyzing data
4. reaching conclusion
5. arriving at a decision or recommendation

The feasibility study may have the following parts:

 1. objectives of the project
2. analysis of the progress of similar studies conducted elsewhere
3. comparisons of the project with previous ones
4. initial, actual and future plans
5. schedule of activities

Feasibility studies are conducted by experts in the field of study or in many cases, teams of experts from
several fields.

A technical writer assigned to conduct -and prepare a feasibility Study must possess not only the
technical expertise on the project involved but also the correct, analytical, interpretative and writing
skills to be able to produce the target feasibility study. He must also be familiar with the different rules
and regulations that govern the project he is to work on such as banking rules and government
regulations.

If the technical writer does not possess the sufficient knowledge about the project, he must get the
services of qualified experts to help him especially in the sensitive aspects of the projects.

When the feasibility study is completed, the results, conclusions and recommendations have to be
reported to the ultimate users.

Guidelines in Preparing a Good Feasibility Study

(Manalo and Fermin 2007)

1. Know the nature of the proposed project thoroughly. Obtain technical assistance from qualified
experts.
2. Research properly. Be equipped with statistics, data, documents and all information needed for
the study. Exhaust all available sources.
3. Be analytical. Know how to analyze, evaluate, interpret, use and discard unnecessary data.
4. Be accurate. Make estimates and projections as Close to realities as possible. Avoid statistical
improbabilities.
5. Organize your study properly.
6. Write the report observing the principles of unity, coherence and emphasis.

Sample

Date : December 15, 1994

To : Heather Haskins
From : David Ayers
Subject : Reimbursement Recommendation for S. A. D. #37

EXECUTIVE SUMMARY

The S.A.D #37 bio-mass project, at South High School, consists of converting from a heating system fired
by #2 fuel oil to one that is fired with bio-mass fuel (wood chips). I have reviewed the application and
verified all supporting financial data, I recommend approval of the reimbursement of 80% of conversion
equipment costs to SA.D. #37 }
INTRODUCTION
Background

S.A.D. #37 is currently using #2 fuel source to heat South High School. Annual consumption of 19,500
gallons of #2 fuel oil,-at a 1990-1991 price of $1.30, will result in a $23, 350 heating expense, a 31%
increase over the previous year. The directors decided to convert this fuel system to a bio-mass fuel
system to reduce the growth in fuel costs, to address problem of stack emissions that result from using
#2 oil, and to use a locally available, renewable fuel source.

Criteria

The criteria for conversion reimbursement are listed below, in descending order of importance.

1. Maximum allowable growth in first year use of bio-mass fuel is limited to 5.5%
2. Cost of bio-mass conversion equipment must be recovered within 12 years.
3. Ash disposal equipment costs should not exceed 5% of the total cost of conversion equipment.

Recommendation

The S.A.D. #37 application for conversion equipment reimbursement meets or exceeds the M.B.E.C.
criteria. 1 recommend that S.A.D. #37 be reimbursed $ 38, 000 for the bio-mass conversion at South High
School. The balance of this memorandum will discuss how the recommendation for approval satisfied
the funding reimbursement criteria outlined in CB-35-676-89.

Discussion

Out of legislative concern that Maine was growing increasingly reliant on imported fuel and its
escalating cost, the Bio-Mass Conversion Bill was enacted in 1981. The Maine Bio-Mass Energy
Conversion Commission (M.B.E.C.) was established to administer the act. The program provided 80%
capital cost reimbursement to municipalities that converted from fuel to systems that would use bio-
mass as a fuel source.

S.A.D. #37 has applied for reimbursement for its bio-mass conversion project. They have submitted all
financial data to support this request for 80% reimbursement. The criteria on which this favorable
decision is based are discussed below in descending order of importance.

Reducing Fuel Costs

The highest-priority goal is to reduce the growth of fuel costs. The maximum allowance growth in fuel
cost permitted after conversion to bio-mass fuel if 5.5%. S.A.D #37 achieved this goal by reducing its
growth in first-year bio-mass fuel costs. Table 1 shows that the growth in cost was reduced to 1.3%,
compared to a limit of 5.5% (1989: $ 19, 927) versus 1990: $ 20, 186 = 1.3%

Recovering Equipment

The second priority is the time it takes to cover conversion equipment costs with fuel savings. Savings are
based on projections of continued fossil fuel use. The maximum time allowed to recover this cost is 12
years. S.A.D. #37 will realize this goal by recovering the cost of its bio-mass conversion equipment within
the limit set. Table 1 shows that it took 9.7 years to recover the cost of conversion equipment, compared
to the limit of 12 years ($ 47, 500 equipment cost / $ 4897 projected annual saving = 9.7 years).

Ash Disposal Equipment Costs

The third priority for reimbursement is restricting of ash disposal equipment costs. The allowable limit for
such equipment is 5.0% of the cost of conversion equipment. S.A.D #37 realized this goal by keeping the
cost of ash disposal equipment under the limit set by M.B.E.C. Table 1 shows that the projected value of
4.4% was under the compared value of 5.0% ($ 2090 ash disposal equipment/$47, 500=4.4%).

TABLE 1
Comparison of M.B.E.C and Applicant Standard

Criterion M.B.E.C (maximum) Applicants Projected Value

Growth in First – Year Costs of Bio-Mass
5.5 1.3
Fuel (%)
Recovery of Conversion Equipment Costs
12.0 9.7
(years)
Comparison of Ash Disposal Equipment
5.0 4.4
Costs to Total Equipment Costs (%)

Summary

S.A.D #37 has met the standards of the M.B.E.C funding criteria. On November 28, 1994, I verified all
financial data with S.A.D #37 accountant Lynn Dickson. I recommended reimbursement of $38, 000 ($
47, 500 x .80 = $38,000)

- End of Module 3-
The instructor claims no ownership, rights, or whatsoever to the content of this module.