STATE GOVERNMENT FINANCES
(Amounts are in thousands.  Per capita in dollars.)

                                                      Percent           Per
ARIZONA                                      1994 Distribution       capita

Population (thousands)                      4,075           -             -
Total Revenue                          11,748,570       100.0%     2,883.08
  General revenue                       9,706,807        82.6%     2,382.04
    Intergovernmental revenue           2,829,890        24.1%       694.45
    Taxes                               5,656,858        48.1%     1,388.19
      General sales                     2,494,391        21.2%       612.12
      Selective sales                     775,008         6.6%       190.19
      License taxes                       321,227         2.7%        78.83
      Individual income                 1,408,535        12.0%       345.65
      Corporation net income              303,239         2.6%        74.41
      Other taxes                         354,458         3.0%        86.98
    Current charges                       669,223         5.7%       164.23
    Miscellaneous general revenue         550,836         4.7%       135.17
  Utility revenue                          18,265         0.2%         4.48
  Liquor stores revenue                         0         0.0%         0.00
  Insurance trust revenue               2,023,498        17.2%       496.56

Total Expenditure                      10,522,311       100.0%     2,582.16
  Intergovernmental expenditure         3,577,730        34.0%       877.97
  Direct expenditure                    6,944,581        66.0%     1,704.19
    Current operation                   4,760,933        45.2%     1,168.33
    Capital outlay                        622,055         5.9%       152.65
    Insurance benefits and repayments     969,074         9.2%       237.81
    Assistance and subsidies              402,381         3.8%        98.74
    Interest on debt                      190,138         1.8%        46.66
Exhibit:  Salaries and wages            1,515,012        14.4%       371.78

Total expenditure                      10,522,311       100.0%     2,582.16
  General expenditure                   9,529,970        90.6%     2,338.64
        Intergovernmental expenditure   3,577,730        34.0%       877.97
        Direct expenditure              5,952,240        56.6%     1,460.67
  General expenditure, by function:
      Education                         3,306,759        31.4%       811.47
      Public welfare                    2,318,661        22.0%       569.00
      Hospitals                            89,071         0.8%        21.86
      Health                              467,729         4.4%       114.78
      Highways                          1,053,985        10.0%       258.65
      Police protection                    98,449         0.9%        24.16
      Correction                          383,997         3.6%        94.23
      Natural resources                   142,034         1.3%        34.85
      Parks and recreation                 28,868         0.3%         7.08
      Governmental administration         323,497         3.1%        79.39
      Interest on general debt            185,615         1.8%        45.55
      Other and unallocable             1,131,305        10.8%       277.62
  Utility expenditure                      23,267         0.2%         5.71
  Liquor stores expenditure                     0         0.0%         0.00
  Insurance trust expenditure             969,074         9.2%       237.81

Debt at end of fiscal year              3,170,472       100.0%       778.03

Cash and Security Holdings             16,737,885       100.0%     4,107.46