Institutional Federal Compliance Report 2021

Due To/From Other Funds The following is a summary of the amounts due to other funds and due from other funds at March 31, 2019 (amounts in millions): ____________________________________________________________________________________________ STATE OF NEW YORK • 101 Due To Other Funds Federal General Total Business- Special Debt Other Governmental Type Due From Other Funds General Revenue Service Governmental Elimination Funds Activities Non-Current Total General . . . . . . . . . . . . $ —0000 $ 1,580 $ 2,370 $ 1,591 $ —0000 $ 5,541 $ 14 $ —0000 $ 5,555 Federal Special Revenue . . . . . . . . . 41 —0000 —0000 2 —0000 43 1 —0000 44 Other Governmental . . 190 148 —0000 —0000 —0000 338 130 577 1,045 Elimination. . . . . . . . . . —0000 —0000 —0000 —0000 (5,922) (5,922) —0000 —0000 (5,922) Total Governmental Funds . . . . . . . . . 231 1,728 2,370 1,593 (5,922) — 0000 145 577 722 Business-Type Activities . . . . . . . . . 350 2 —0000 52 —0000 404 145 —0000 549 Fiduciary . . . . . . . . . . . 2,721 —0000 —0000 —0000 —0000 2,721 —0000 —0000 2,721 Total . . . . . . . . . . . . $ 3,302 $ 1,730 $ 2,370 $ 1,645 $ (5,922) $ 3,125 $ 290 $ 577 $ 3,992

The more significant balances in due to/from other funds include $2.7 billion due to the General Fund to cover cash overdrafts in the short-term investment pool. These temporary interfund loans include $1.4 billion to the Federal Special Revenue Fund and $1.3 billion to Other Governmental Funds. Due from the General Fund to the Fiduciary Funds related to escheat property that is estimated to be reclaimed and paid to claimants is $2.7 billion. Due to other funds in the General Debt Service Fund includes $2.4 billion for Note 10 Commitments and Contingencies The State receives significant financial assistance from the federal government in the form of grants and entitlements. Receipt of grants is generally conditioned upon compliance with terms and conditions of the grant agreements and applicable federal regulations, including the expenditure of resources for eligible purposes. Substantially all federal grants are either subject to the Federal Single Audit Act or to financial and compliance audits by grantor agencies of the federal government or their designees. Disallowances by federal program officials as a result of these audits may become liabilities of the State. Pursuant to legislation enacted in 1985, the State entered into service contracts establishing a contin- gent-contractual obligation with respect to financings related to the DASNY Secured Hospital Program for the purpose of enabling certain financially distressed not-for-profit hospitals to gain access to the capital markets. The State service contracts obligate the State to pay debt service, subject to annual appropri- ations, on bonds in the event of shortfalls in hospital resources. The bonds mature annually through Feb- ruary 15, 2028, with semiannual interest payments.

amounts owed to the General Fund for excess personal income revenues. As explained in Note 1, the amounts reported for the SUNY and CUNY Funds are derived from their annual financial statements for the fiscal year ended June 30, 2018. Therefore, because the fiscal year-end of the SUNY and CUNY Funds differs from the State’s fiscal year-end, the total amount reported as due to other funds exceeds the total amount reported as due from other funds by $519 million. As of March 31, 2019, there are $165 million of out- standing bonds in the program with a scheduled annual debt service requirement of $38 million. Autho- rization to issue bonds under this program expired on March 1, 1998. Three of the four remaining hospitals in the State’s Secured Hospital Program are in poor financial con- dition and are included in the liability recognized by the State. During the fiscal year, the State paid $26 million, resulting in cumulative payments of $125 million under the obligation since fiscal year 2014 when the State’s contingent contractual obligation was first invoked. Of the $125 million paid, $90 million is related to those obligations outstanding at March 31, 2019. The State has recognized a liability under the guarantee of approximately $39 million based on the present value of expected debt service payments required through fiscal year 2028, net of the present value of anticipated revenues from a lease agreement on one of the properties and the estimated market value of other properties assumed by affiliates of DASNY through bankruptcy proceedings, that will be used to offset the debt service payments. This amount