Comprehensive Annual Financial Report Fiscal Year Ended June 30, 2000 GENERAL PURPOSE FINANCIAL STATEMENTS -

State of Connecticut

Fiduciary Funds

Trust and Agency Funds are maintained to account for assets held by the State in a trustee capacity or as an agent for individuals, private organizations or other funds. These Fiduciary Funds include expendable trust, nonexpendable trust, pension trust, investment trust, and agency funds. Significant Trust and Agency Funds of the State are described as follows:

Trust Funds

Employment Security:
to account for the collection of unemployment insurance premiums from employers and the payment of unemployment benefits to eligible claimants.

Special Assessment:
to account for assessments levied on employers and used to pay principal and interest on unemployment compensation debt.

Retired Teachers' Health Benefits Plan:
to account for resources used to provide health benefits to retired teachers and their beneficiaries. The plan is administered by the Teachers' Retirement Board.

Second Injury and Compensation Assurance:
an extension of the Worker's Compensation Act, the fund is currently used to pay claimants whose injuries are made more severe because of a pre-existing condition, and in cases where an injured worker receiving worker's compensation subsequently undergoes an incapacitating relapse.

Clean Water:
to account for resources used to provide loans to municipalities to finance waste water treatment projects.

Soldiers', Sailors', and Marines':
to account for the principal and interest earned on investments of this fund. Interest earned has been earmarked by the General Assembly for the benefit of resident veterans to provide such things as food, wearing apparel, medical or surgical aid, care and relief or funeral benefits.

Pension:
See notes 9 and 10 for a description of the Pension Funds.

External Investment Pool:
to account for the portion of the Short-Term Investment Fund that belongs to participants that are not part of the State's financial reporting entity.

Agency Funds

Securities Held for Others:
to account for securities that are held by the State Treasurer for insurance companies and individuals under insurance and escheat laws of the State.