Loans receivable maturing after June 30, 1996, in the amounts of $1,234,000 and $3,613,000, are not available
for current operations and, accordingly, have been reflected as reservations of general fund balance and special
revenue fund balance, respectively. The special revenue reserved fund balance also includes $25,000,000 as of
June 30,1996, related to an intrafund loan from the Maryland Transportation Authority to the Maryland Department
of Transportation.

Portions of the general fund balance and the special revenue fund balance, in the amounts of $85,386,000 and
$42,760,000, respectively, as of June 30, 1996, representing special budgetary and nonbudgeted agency resources,
were reserved for agency activities and programs.

A portion of the general fund balance, in the amount of $519,673,000 as of June 30,1996, has been reserved for
the State Reserve Fund. The State Reserve Fund is comprised of a Dedicated Purpose Account, an Economic
Development Opportunities Program Fund, a Catastrophic Event Fund and a Revenue Stabilization Account with
balances as of June 30, 1996, of $50,000,000, $8,119,000, $313,000 and $461,241,000, respectively. The Dedicated
Purpose Account is designed to retain appropriations for major multi-year expenditures and to meet contingency
requirements. The major use of the account in the past has been the accumulation of reserves to meet the State's
commitment to make payments to insured account holders of certain State chartered savings and loans in
receivership. The Economic Development Opportunities Program Fund is to be used for extraordinary economic
development opportunities and only as a supplement to existing programs. The Catastrophic Event Fund is to be
used to respond without undue delay to a natural disaster or other catastrophic event that cannot be managed
without appropriations. The Revenue Stabilization Account is designed to retain State revenues for future needs
and reduce the need for future tax increases.

A portion of the General Fund unreserved fund balance is designated for fiscal year 1997 appropriations in the
amount of $3,095,000. Furthermore, portions of the Debt Service unreserved fund balance are designated for
payment of the debt service on the general long-term debt, Transportation debt and the Maryland Transportation
Authority bond debt in the amounts of $20,986,000, $32,860,000 and $66,170,000, respectively.

During 1996, the Maryland Stadium Authority (Authority) reclassified certain elements of property, plant and
equipment to a capital lease receivable to more properly reflect the nature of the underlying agreements. The
capital lease was entered into with the primary government during a prior year. The net book value of the assets
leased to the primary government was greater than the capital lease receivable as of June 30, 1995. This difference
($27,627,000) has been reflected as a cumulative effect of an accounting change in the financial statements of the
Authority.

Primary Government Contributed Capital —

The changes in contributed capital of the enterprise funds for the year ended June 30, 1996, are as follows
(amounts expressed in thousands):

	Economic	Development
	Insurance	Loan	State Use
	Programs	Programs	Industries	Total
Balance, July 1, 1995, as restated .............................................................................	$48,295	$481,520	$1,964	$531,779
Contributions................................................................................................................		50,269	5	50,274
Depreciation on contributed assets....... ...................................................................			(247)	(247)
Balance, June 30, 1996................................................................................................	$48,295	$531,789	$1,722	$581,806

Component Units — Proprietary Type Funds —

The changes in contributed capital of the component units, proprietary fund type for the year ended June 30,
1996 are as follows (amounts expressed in thousands).

	Maryland	Maryland	Maryland Industrial
	Food Center	Environmental	Development Financing
	Authority	Service	Authority	Total
Balance, July 1, 1995, as restated ............................................................... .	$437	$4,988	$23,750	$29,175
Contributions...................................................................................................		500		500
Depreciation on contributed assets............... .............................................	(13)	(988)		(1,001)
Balance, June 30, 1996...................................................................................	$424	$ 4,500	$23,750	$28,674

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