AUGUSTA -- The state finished the 2008 fiscal year with a General Fund surplus of $56 million, the governor's office announced today.

The state's Highway Fund also finished the fiscal year with a small surplus of $2.5 million.

Of the $56 million General Fund surplus, $47.4 million was surplus revenue, $7.1 million came from lapsed account balances and $1.5 million from other adjustments, according to the governor's office.

After all other accounting adjustments, the state will deposit $10 million of the surplus into the Budget Stabilization Fund, which will reach $128.9 million. With the Working Capital Reserve, the state has total reserves of about $169.5 million.

In addition, $935,000 of the surplus is budgeted for use in fiscal year 2009; the Contingent Account will be replenished with $350,000 and the Loan Insurance Reserve Account will receive $1 million.

The remaining $43.7 million will be used by the Department of Health and Human Services to honor the State's commitment to hospitals by increasing prospective interim payments (PIP).