State of Connecticut

Notes to the Financial Statements

June 30, 2010

Note 7 Receivables - Noncurrent

Noncurrent receivables for the primary government and its component units, as of June 30, 2010, consisted of the following (amounts in thousands): 

    Primary Government
   Governmental    Business-Type    Component
   Activities    Activities    Units
Accounts    $-    $-    $16,584
Loans    256,463    622,817    169,174
Total Receivables    256,463    622,817    185,758
Allowance for Uncollectibles    (2,706)    (2,810)    (11,291)
Receivables, Net    $253,757    $620,007    $174,467

The Clean Water fund (business-type activities) loans funds to qualified municipalities for planning, design, and construction of water quality projects. These loans are payable over a 20 year period at an annual interest rate of 2 percent and are secured by the full faith and credit or revenue pledges of the municipalities, or both. At year end, the noncurrent portion of loans receivable was $538.4 million.

The Connecticut Higher Education Supplemental Loan Authority (a component unit) makes loans to individuals from the proceeds of bonds issued by the Authority. The loans bear interest rates ranging from 0 percent to 9.7 percent. At year end, the noncurrent portion of loans receivable was $106.7 million.