(a) Market value approximates cost.

(b) The Department of Transportation, (Department) on behalf of the Consolidated Transportation Refunding
Bond Sinking Fund and the County Transportation Refunding Bond Sinking Fund, has entered into federal
securities purchase agreements with banks, thereby reducing the market risk to the Department. Under these
agreements the Department is required to invest a total of $246,000,000 of Sinking Fund deposits over the first
five and one-half years of the Bond issues. The invested funds are used to purchase federal securities from the
banks at predetermined yields and ranges of maturities. Investment maturities are scheduled in accordance with
bond redemption provisions and the Department anticipates that all investments will be held until maturity. As
of June 30, 1985, investment cost exceeded market value by approximately $24,673,000; however, no decline in
investment market value has been recognized in the financial statements since the Department intends to hold
the investments until maturity.

(c) Market value approximates $561,545,000.

(d) Market value approximates $5,539,405,000.

5. Taxes Receivable:

Taxes receivable (amounts expressed in thousands), as of June 30, 1985, consisted of the following:

		Funds
		Special	Debt	Trust and
	General	Revenue	Service	Agency
Income taxes, current employee withholdings held by employers	$194,153
Retail sales and use taxes, current taxes held by collectors .........	100,691
Transportation taxes, principally motor vehicle fuel and excise ....		$37,790
Unemployment compensation taxes ..................................				$91,614
Other taxes, principally alcohol, tobacco and property .............	3,938		$5,332
	298,782	37,790	5,332	91,614
Less allowance for doubtful accounts ................................	648
Taxes receivable, net ..............................................	$298,134	$37,790	$5,332	$91,614

6. Loans and Notes Receivable:

Loans and notes receivable (amounts expressed in thousands), as of June 30,1985, consisted of the following:

			Funds
		Debt	Capital
	General	Service	Projects	Enterprise	Higher Education
Notes receivable for advances of general obligation bond
proceeds:
Political subdivisions:
Public school construction ........................		$19,746
Other ..........................................		18,357
Hospitals and nursing homes .......................		36,654
Construction mortgage loans .........................				$ 20,003
Permanent mortgage loans ...........................				825,442
Savings and loan association loans ....................				51,215
National direct student loans .........................					$26,601
Health profession loans ..............................					8,445
Shore erosion loans .................................			$10,070
Other .............................................	$471	800		122
	471	75,557	10,070	896,782	35,046
Less allowance for possible loan losses .................		103			8,292
Loans and notes receivable, net .......................	$471	$75,454	$10,070	$896,782	$26,754

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