STATE GOVERNMENT FINANCES: 1998


                                                    Amount          Percent            Per
Alabama                                     (in thousands)     Distribution         capita

Population (thousands)                               4,352                                
Total Revenue                                   14,843,951           100.00       3,410.84
  General revenue                               12,433,410            83.76       2,856.94
    Intergovernmental revenue                    4,021,037            27.09         923.95
    Taxes                                        5,739,128            38.66       1,318.73
      General sales                              1,570,650            10.58         360.90
      Selective sales                            1,422,930             9.59         326.96
      License taxes                                434,433             2.93          99.82
      Individual income tax                      1,793,561            12.08         412.12
      Corporate income tax                         248,803             1.68          57.17
      Other taxes                                  268,751             1.81          61.75
    Current charges                              1,894,474            12.76         435.31
    Miscellaneous general revenue                  778,771             5.25         178.95
  Utility revenue                                        0             0.00           0.00
  Liquor stores revenue                            141,878             0.96          32.60
  Insurance trust revenue                        2,268,663            15.28         521.29
                                                                                          
Total expenditure                               13,728,431           100.00       3,154.51
  Intergovernmental expenditure                  3,419,845            24.91         785.81
  Direct expenditure                            10,308,586            75.09       2,368.70
    Current operation                            7,575,449            55.18       1,740.68
    Capital outlay                                 755,486             5.50         173.60
    Insurance benefits and repayments            1,107,068             8.06         254.38
    Assistance and subsidies                       668,076             4.87         153.51
    Interest on debt                               202,507             1.48          46.53
Exhibit: Salaries and wages                      2,522,557            18.37         579.63
                                                                                          
Total expenditure                               13,728,431           100.00       3,154.51
  General expenditure                           12,475,614            90.87       2,866.64
    Intergovernmental expenditure                3,419,845            24.91         785.81
    Direct expenditure                           9,055,769            65.96       2,080.83
  General expenditure, by function:                                                       
    Education                                    5,362,196            39.06       1,232.12
    Public welfare                               3,027,120            22.05         695.57
    Hospitals                                      948,312             6.91         217.90
    Health                                         554,980             4.04         127.52
    Highways                                       882,080             6.43         202.68
    Police protection                              102,178             0.74          23.48
    Correction                                     257,214             1.87          59.10
    Natural resources                              180,408             1.31          41.45
    Parks and recreation                            20,222             0.15           4.65
    Governmental administration                    318,143             2.32          73.10
    Interest on general debt                       202,507             1.48          46.53
    Other and unallocable                          620,254             4.52         142.52
  Utility expenditure                                    0             0.00           0.00
  Liquor stores expenditure                        145,749             1.06          33.49
  Insurance trust expenditure                    1,107,068             8.06         254.38
                                                                                          
  Debt at end of fiscal year                     4,166,572           100.00         957.39
                                                                                          
  Cash and security holdings                    23,466,316           100.00       5,392.08