STATE GOVERNMENT FINANCE

STATE GOVERNMENT FINANCE

Bill Newton

Acting Director of Finance

December 14, 2009

TABLE OF CONTENTSI. Economic Data

1. Alabama Economic Index2. U.S. & Alabama Monthly Unemployment Rates3. Change In Household Employment4. Alabama Unemployment Rate by County

II. Financial Condition1. State General Fund Revenues2. General Fund and Stimulus Funds3. Number of State Employees4. Education Trust Fund Revenues5. ETF & Stimulus Funds6. Total Bonded Indebtedness7. Alabama Trust Fund Corpus

TABLE OF CONTENTS (Continued)

III. Benefit Trends1. Retirement Funding Ratios

2. Employer Retirement Rates

3. Employer Insurance Rates

4. TRS Retirement Funding Ratios

5. TRS Employer Retirement Rates

-10.0%

-8.0%

-6.0%

-4.0%

-2.0%

0.0%

2.0%

4.0%

6.0%

8.0%

Jan-89

Jul-89

Jan-90

Jul-90

Jan-91

Jul-91

Jan-92

Jul-92

Jan-93

Jul-93

Jan-94

Jul-94

Jan-95

Jul-95

Jan-96

Jul-96

Jan-97

Jul-97

Jan-98

Jul-98

Jan-99

Jul-99

Jan-00

Jul-00

Jan-01

Jul-01

Jan-02

Jul-02

Jan-03

Jul-03

Jan-04

Jul-04

Jan-05

Jul-05

Jan-06

Jul-06

Jan-07

Jul-07

Jan-08

Jul-08

Jan-09

Jul-09

Alabama Economic IndexThree Months Moving Average

Year Ago Basis

U.S. and ALABAMA MONTHLY UNEMPLOYMENT RATES(seasonally adjusted)

3.0%

4.0%

5.0%

6.0%

7.0%

8.0%

9.0%

10.0%

11.0%

12.0%

AL US

-200

-150

-100

-50

0

50

100

Change in Household Employment

STATE GENERAL FUND REVENUES

-

200.00

400.00

600.00

800.00

1,000.00

1,200.00

1,400.00

1,600.00

1,800.00

2,000.00

2002 2003 2004 2005 2006 2007 2008 2009

Fiscal Year

In M

illio

ns

GENERAL FUND & STIMULUS FUNDS FY 2010

GF

Stimulus Funds

NUMBER OF STATE EMPLOYEES(IN EXECUTIVE BRANCH)

32,630

33,714

34,428

33,717

32,932 32,984

34,131

35,029

35,296

34,978

31,000

31,500

32,000

32,500

33,000

33,500

34,000

34,500

35,000

35,500

Dec 00 Dec 01 Dec 02 Dec 03 Dec 04 Dec 05 Dec 06 Dec 07 Dec 08 Nov 09

EDUCATION TRUST FUND REVENUES

-

1,000

2,000

3,000

4,000

5,000

6,000

7,000

2002 2003 2004 2005 2006 2007 2008 2009

Fiscal Year

In M

illio

ns

ETF & Stimulus FundsFY 2011

ETF

Stimulus Funds

TOTAL BONDED INDEBTEDNESS

1,305.43

2,129.46

1,504.69

1,355.25

1,192.95

2,083.19

2,454.31

2,621.59

3,985.04

3,474.37

817.57

850.62820.96

904.78

1,546.49

1,472.04 1,302.35

1,849.75

2,676.57

2,589.96

2,679.54

3,685.62

1,195.89

776.98810.07

1,420.73

1,770.93

1,647.191,537.39

1,442.651,381.35

1,442.61 1,461.03

2,685.10

-

500.00

1,000.00

1,500.00

2,000.00

2,500.00

3,000.00

3,500.00

4,000.00

4,500.001

97

6

19

77

19

78

19

79

19

80

19

81

19

82

19

83

19

84

19

85

19

86

19

87

19

88

19

89

19

90

19

91

19

92

19

93

19

94

19

95

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

07

20

08

20

09

Fiscal Year

In M

illio

ns

ALABAMA TRUST FUND CORPUSAt Fiscal Year-End

400.60460.17 472.14

571.53677.65

751.53864.29

984.881,125.99

1,246.06

1,401.95

1,672.57

2,411.50

2,631.26

2,906.90

3,125.443,241.63

3,034.32

399.90

333.31

2,215.452,213.08

465.95455.22 501.16

-

500.00

1,000.00

1,500.00

2,000.00

2,500.00

3,000.00

3,500.00

1985

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

*2002

2003

2004

2005

2006

2007

2008

2009

Fiscal Year*The Alabama Heritage Trust Fund was transferred into the Alabama Trust Fund on 12/06/01.

In M

illio

ns

RETIREMENT FUNDING RATIOS

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

TRS

ERS

EMPLOYER RETIREMENT RATES

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

TRS

ERS

EMPLOYER INSURANCE RATES

0

200

400

600

800

1,000

1,200

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

PEEHIB

SEIB

TRS RETIREMENT FUNDING RATIOS

0.00%

20.00%

40.00%

60.00%

80.00%

100.00%

120.00%

FY1997

FY1998

FY1999

FY2000

FY2001

FY2002

FY2003

FY2004

FY2005

FY2006

FY2007

FY2008

TRS RETIREMENT FUNDING RATIOS

50.00%

60.00%

70.00%

80.00%

90.00%

100.00%

110.00%

TRS RETIREMENT FUNDING RATIOS

50.00%

60.00%

70.00%

80.00%

90.00%

100.00%

110.00%

TRS EMPLOYER RETIREMENT RATES

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

TRS EMPLOYER RETIREMENT RATES

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

TRS EMPLOYER RETIREMENT RATES

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%