RECEIVABLES

Receivables, before the allowance for doubtful accounts, consist of the following components:



	December 31,
	2016		2015

Medicare	$	20,402,000	$	14,415,000
Medicaid and other non-federal government programs	31,208,000		20,133,000
Other patient and resident receivables	20,868,000		17,451,000
	$	72,478,000	$	51,999,000
Other receivables and advances	$	1,193,000	$	1,407,000

The other receivables and advances balance include of $474,000 and $938,000 related to renovation projects to be funded by Omega at December 31, 2016 and 2015, respectively. See Note 11, "Commitments and Contingencies" for additional discussion of these receivables and leased center construction projects.

Our accounts receivable at December 31, 2016, reflects the change in ownership of the twenty-two newly leased Golden Living centers in Alabama and Mississippi. The Company has entered into an agreement with Golden Living to utilize their billing credentials in order to perform the billing of the Medicare and Medicaid receivables until the change in ownership process has been completed. This agreement allows the Medicare and Medicaid receivables to be billed and collected in the interim. Payer sources could be delayed due to setting up new agreements and credentialing with those payers.

The Company provides credit for a substantial portion of its revenues and continually monitors the credit worthiness and collectability from its patients, including proper documentation of third-party coverage. The Company is subject to accounting losses from uncollectible receivables in excess of its reserves.

Substantially all receivables are pledged as collateral on the Company's debt obligations.