Former University of Maryland guard Adrian Branch has signed a one-year, $85,000 contract with the Cleveland Cavaliers.

Branch said the Cavaliers plan to use him at guard and small forward.

Branch averaged 16.4 points per game during his four-year collegiate career with the Terrapins.

The former DeMatha star was drafted in the second round last year by the Chicago Bulls but was cut in preseason. He played last year with the Baltimore Lightning of the Continental Basketball Association, where he averaged 25 points per game . . .

The state of Utah and Salt Lake County each have pledged a one-time donation of $70,000 for the fiscal year beginning July 1 to help the Utah Jazz defray expenses at the Salt Palace, Salt Lake County Commission Chairman Bart Barker said.

Automobile dealer Larry H. Miller announced Tuesday he would acquire full ownership of the club from co-owner Sam Battistone. He said an earlier informal commitment of the $140,000 subsidy was a vital factor in his decision to reject a lucrative offer from Minnesota investors to move the Jazz to Minneapolis-St. Paul . . .

Minneapolis businessmen Marv Wolfenson and Harvey Ratner signed a three-year agreement for a pro basketball team to play at the Hubert H. Humphrey Metrodome. The Metropolitan Sports Facilities Commission would pay $430,000 to equip the dome for basketball games, but the money would not be spent unless Wolfenson and Ratner secure an NBA franchise.