A state report that may determine whether Tudor Hall Village, the huge development proposed for Leonardtown, gets millions in state grants is due out in a few weeks, and officials say the news may be good.

"We have every reason to believe that it's going to be a positive report," said Robin Guyther, Leonardtown administrator and executive director of Leonardtown Recreation Inc., the nonprofit entity created to oversee operation of the proposed 18-hole golf course and a hotel and conference center that would be part of the development on Breton Bay.

Town officials are seeking between $5 million and $6 million in state funds for the golf course and a 255-room hotel and convention center.

The hotel and golf course are centerpieces of the mixed commercial and residential project. In addition to the golf course and hotel-convention complex, developers are proposing to build 593 units of upscale single-family housing and apartment-style condominiums on a 393-acre site with an undeveloped waterfront.

In April, Gov. Parris N. Glendening (D) directed the Maryland Stadium Authority to conduct a feasibility study of Tudor Hall Village and the state's proposed part of the project. The state agency has done similar studies on other entertainment-related projects that have sought state funding.

"We've been given indications that there were no problems with cost projections we made," Guyther said.

Leonardtown Recreation Inc. is proposing to issue about $40 million in tax-free bonds to finance the construction of the golf course and hotel-conference center. The quasi-public financing method has been used only once before in Maryland, when the state contributed $16 million to the construction of a hotel-golf course development near Cumberland.

The Stadium Authority's report is scheduled to be completed sometime in the next two weeks and will be submitted to the governor, state legislators and Leonardtown officials, said Eli Eisenberg, project manager for the authority. "It will be up to those officials to share the contents of that report," Eisenberg said this week.

As of Tuesday, Glendening had not received the report, his spokeswoman said.

The developers are awaiting final approval from the county's Department of Public Works before starting construction of a mile-long road through the property that will connect with state Route 5, Guyther said. Also, the developers recently sank test soil borings on the site planned for the proposed hotel-conference center, he said.

"I'm certainly hoping it won't take too long," Guyther said of the report. Guyther said he and other Leonardtown officials are hoping that a favorable report from the Stadium Authority will lead to state funding for the project.