Revenue Recognition
 12 Months Ended
Dec. 31, 2019
Revenue from Contract with Customer [Abstract]  
Revenue Recognition
Note 3: Revenue Recognition
Disaggregated Revenues
Presented in the table below are operating revenues disaggregated for the year ended December 31, 2019:

Revenues from Contracts with Customers
 
Other Revenues Not from Contracts with Customers (a)
 
Total Operating Revenues
Regulated Businesses:
 
 
 
 
 
Water services:
 
 
 
 
 
Residential
$
1,734

 
$
1

 
$
1,735

Commercial
639

 
—

 
639

Fire service
142

 
—

 
142

Industrial
138

 
—

 
138

Public and other
214

 
—

 
214

Total water services
2,867

 
1

 
2,868

Wastewater services:
 

 
 
 
 
Residential
119

 
—

 
119

Commercial
31

 
—

 
31

Industrial
3

 
—

 
3

Public and other
14

 
—

 
14

Total wastewater services
167

 
—

 
167

Miscellaneous utility charges
36

 
—

 
36

Alternative revenue programs
—

 
16

 
16

Lease contract revenue
—

 
7

 
7

Total Regulated Businesses
3,070

 
24

 
3,094

Market-Based Businesses
539

 
—

 
539

Other
(22
)
 
(1
)
 
(23
)
Total operating revenues
$
3,587

 
$
23

 
$
3,610

(a)
Includes revenues associated with provisional rates, alternative revenue programs, lease contracts and intercompany rent, which are outside the scope of ASC 606 and accounted for under other existing GAAP.
Contract Balances
Contract assets and contract liabilities are the result of timing differences between revenue recognition, billings and cash collections. In the Company’s Market-Based Businesses, certain contracts are billed as work progresses in accordance with agreed-upon contractual terms, either at periodic intervals or upon achievement of contractual milestones. Contract assets are recorded when billing occurs subsequent to revenue recognition and are reclassified to accounts receivable when billed and the right to consideration becomes unconditional. Contract liabilities are recorded when the Company receives advances from customers prior to satisfying contractual performance obligations, particularly for construction contracts and home warranty protection program contracts, and are recognized as revenue when the associated performance obligations are satisfied. Contract assets are included in unbilled revenues and contract liabilities are included in other current liabilities on the Consolidated Balance Sheets as of December 31, 2019.
Presented in the table below are the changes in contract assets and liabilities for the year ended December 31, 2019:
 
Amount
Contract assets:
 
Balance at January 1, 2019
$
14

Additions
27

Transfers to accounts receivable, net
(28
)
Balance at December 31, 2019
$
13

 
 
Contract liabilities:
 
Balance at January 1, 2019
$
20

Additions
62

Transfers to operating revenues
(55
)
Balance at December 31, 2019
$
27


Remaining Performance Obligations
Remaining performance obligations (“RPOs”) represent revenues the Company expects to recognize in the future from contracts that are in progress. The Company enters into agreements for the provision of services to water and wastewater facilities for the U.S. military, municipalities and other customers. As of December 31, 2019, the Company’s O&M and capital improvement contracts in the Market-Based Businesses have RPOs. Contracts with the U.S. government for work on various military installations expire between 2051 and 2070 and have RPOs of $5.4 billion as of December 31, 2019, as measured by estimated remaining contract revenue. Such contracts are subject to customary termination provisions held by the U.S. government, prior to the agreed-upon contract expiration. Contracts with municipalities and commercial customers expire between 2021 and 2038 and have RPOs of $547 million as of December 31, 2019, as measured by estimated remaining contract revenue. Some of the Company’s long-term contracts to operate and maintain a municipality’s, the federal government’s or other party’s water or wastewater treatment and delivery facilities include responsibility for certain maintenance for some of those facilities, in exchange for an annual fee. Unless specifically required to perform certain maintenance activities, the maintenance costs are recognized when the maintenance is performed.