State of Connecticut

Reconciliation of Governmental Funds Balance Sheet
to the Statement of Net Assets    
June 30, 2009    
(Expressed in Thousands)    
Total Fund Balance - Governmental Funds   $1,366,726
     
Net assets reported for governmental activities in the Statement of Net Assets    
are different because:    
Capital assets used in governmental activities are not financial resources    
and therefore are not reported in the funds. These assets consist of:    
     
Buildings 2,880,415  
Equipment 1,542,647  
Infrastructure 14,047,034  
Other Capital Assets 2,332,376  
Accumulated Depreciation (9,788,408) 11,014,064
     
Debt issue costs are recorded as expenditures in the funds. However,    
these costs are deferred (reported as other assets) and amortized over the    
life of the bonds in the Statement of Net Assets.   74,918
     
Some of the state's revenues will be collected after year-end but are not    
available soon enough to pay for the current period's expenditures    
and therefore are deferred in the funds.   650,533
     
Internal service funds are used by management to charge the costs of    
certain activities to individual funds. The assets and liabilities of the internal    
service funds are included in governmental activities in the Statement of    
Net Assets.   (10,659)
     
Long-term liabilities are not due and payable in the current period and therefore    
are not reported in the funds (Note 17).    
     
Net Pension Obligation (2,020,664)  
Net OPEB Obligation (2,542,958)  
Worker's Compensation (459,778)  
Capital Leases (47,129)  
Compensated Absences (498,471)  
Claims and Judgments (43,690) (5,612,690)
     
Long-term bonded debt is not due and payable in the current period and    
therefore is not reported in the funds. Unamortized premiums, loss on    
refundings, and interest payable are not reported in the funds. However,    
these amounts are included in the Statement of Net Assets. This is the net    
effect of these balances on the statement (Note 17).    
     
Bonds Payable (16,488,700)  
Unamortized Premiums (613,861)  
Less: Deferred Loss on Refundings 193,825  
Accrued Interest Payable (143,345) (17,052,081)
     
Net Assets of Governmental Activities   $(9,569,189)

The accompanying notes are an integral part of the financial statements.