York Mellon, dated as of September 1, 2007, as amended and supplemented. The MDTA’s rate covenant coverage for 2024 as defined by the Trust Agreement was 2.62 times versus a 1.00 requirement. Deferred Inflows of Resources In addition to liabilities, the Statement of Net Position reports a separate section for deferred inflows of resources. The MDTA has four items that qualify for reporting in this category – the deferred service concession arrangement, pensions, leases, and refundings. Deferred inflows of resources decreased by $30.9 million, or 21.2%, in 2024 compared to 2023. The decrease is primarily attributable to a reduction in deferred pension inflows mostly resulting from the amortization of the MDTA’s actual and expected experience and changes in pension plan assumptions. A portion of the decrease was also due to the $1.8 million amortization of the service concession arrangement for the two travel plazas that the MDTA owns along I-95, $0.4 million reduction in lease inflows associated with resource sharing and property lease agreements, and $0.2 million prior year recognition of a deferred gain on refunding. (See Note 5 for additional information concerning service concession arrangements, Note 7 for additional information concerning leases, and Note 8 for additional information concerning pensions.) Total Net Position
Net position includes net investment in capital assets, restricted net position (restricted for debt service and capital expenses), and unrestricted net position. In 2024, the MDTA’s net position increased by $510.2 million, or 9.2%, compared to 2023. The $262.5 million increase in the MDTA’s net investment in capital assets was associated with the investment of net operating revenues in capital assets that exceeded depreciation. The net $301.5 million increase in restricted assets was due to an agreement with the Federal government for funding for the Key Bridge which restricted unspent insurance proceeds. These increases were partially offset by a $53.9 million decline in unrestricted assets. The MDTA’s unrestricted net position declined as cash reserves were used for investment in capital assets.
Net Position For the Fiscal Years Ended June 30 (In Millions)
$7,000
$6,000
$401.5 $503.7
$100.1 $557.6
$5,000
$4,000
$3,000
$5,155.0
$4,892.5
$2,000
$1,000
$0
2024
2023
Fiscal Year
Restricted Unrestricted
Net Investment in Capital Assets
38 | Maryland Transportation Authority | Management’s Discussion And Analysis
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