Notes to the Financial Statements

June 30, 2014

Note 16 Capital and Operating Leases

State as Lessor
The State leases building space, land, and equipment to private individuals. The minimum future lease revenues for the next five years and thereafter are as follows (amounts in thousands):

2015    $28,909
2016    29,160
2017    28,326
2018    21,619
2019    21,265
Thereafter    93,527
Total    $222,806

Contingent revenues for the year ended June 30, 2014, were $149 thousand.

State as Lessee
Obligations under capital and operating leases as of June 30, 2014, were as follows (amounts in thousands):

  

  

Noncancelable
 Operating Leases  
Capital  Leases
2015    47,272    7,285
2016    83,444    7,044
2017    14,318    5,841
2018    5,767    5,447
2019    11,198    4,978
2020-2024    4,242    9,006
2025-2029    -    6,109
2030-2035    -    2,434
Total minimum lease payments    $166,241    48,144
Less: Amount representing interest costs       10,324
Present value of minimum lease payments       $37,820

Minimum capital lease payments were discounted using interest rates changing from 3.66 percent to 6.00 percent.

Rental payments on noncancelable operating leases charged to expenses during the year ended June 30, 2014, were $47.3 million.