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REPORT DIGEST GENERAL ASSEMBLY RETIREMENT SYSTEM, STATE OF FINANCIAL AUDIT For the Year Ended: June 30, 2009
Release Date: February 16, 2010
State of Office of the Auditor General WILLIAM G. HOLLAND AUDITOR GENERAL
To obtain a copy of the
Report contact: Office of the Auditor
General (217) 782-6046 or TTY (888)
261-2887 This Report Digest and the
Full Report are also available on the worldwide web at http://www.auditor.illinois.gov
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INTRODUCTION This digest covers our
financial audit of the General Assembly Retirement System, State of Illinois
(System) for the year ended June 30, 2009.
A report on the results of our compliance attestation examination for
the year ending June 30, 2009 is being issued separately. UNDERFUNDING OF THE SYSTEM
The actuarial accrued
liability was valued at $245.2 million at June 30, 2009. The actuarial value of assets (at smoothed
value) totaled approximately $71.6 million at June 30, 2009. The method for determining the actuarial
value of assets was changed beginning with the June 30, 2009 valuation. The method was changed from the market
value to a smoothed value where the actuarial investment gains or losses for
each year are recognized in equal amounts over the ensuing five-year period. The difference between the
actuarial accrued liability and the actuarial value of assets of $173.6
million reflects the unfunded liability of the System at June 30, 2009. The System had a funded ratio (at smoothed
value) of 29.2% at June 30, 2009. When
using the market value (valuation method used June 30, 2008) the System would
have had a funded ratio of 22.5% at June 30, 2009. AUDITORS' OPINION Our auditors state the June 30, 2009
financial statements of the System are fairly presented. ____________________________________ WILLIAM
G. HOLLAND, Auditor General WGH:AKS:pp SPECIAL ASSISTANT AUDITORS BKD
LLP were our special assistant auditors for this audit. {Financial data is summarized on the reverse page} |
GENERAL ASSEMBLY
RETIREMENT SYSTEM, STATE OF ILLINOIS
FINANCIAL
AUDIT
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STATEMENT OF CHANGES IN
PLAN NET ASSETS |
FY 2009 |
FY 2008 |
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ADDITIONS: Contributions -
Participants...................................... Contributions
– Employer / Appropriations................... Total Contributions............................................... Increase
/ (Decrease) in Fair Value of Investments......
Investment Income – Net of Management Expenses...... Interest Earned on Cash
Balances............................... Total
Revenues................................................. DEDUCTIONS: Benefits............................................................... Refunds................................................................
Administrative Expenses......................................... Total Expenses................................................ Revenue Over / (Under) Expenses......................... |
$ 1,697,575 8,856,422 $ 10,553,997 (16,141,323) 1,411,133 67,905 $ (4,108,288) $ 15,857,219 71,589 276,722 $ 16,205,530 $(20,313,818) |
$ 1,772,860 6,809,800 $ 8,582,660 (6,734,639) 1,893,640 132,702 $ 3,874,363 $ 15,258,621 147,804 244,170 $ 15,650,595 $(11,776,232) |
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INVESTMENT SUMMARY – (All investments held in the |
JUNE 30, 2009 |
JUNE 30, 2008 |
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Foreign Obligations........................................................................... Corporate Obligations....................................................................... Common Stock & Equity Funds
(including Commingled Funds)........... Preferred Stock............................................................................... Foreign Equity Securities.................................................................. Hedge Funds................................................................................... Real Estate Investments................................................................... Private Equity.................................................................................. Money Market Instruments............................................................... Infrastructure Funds......................................................................... Bank Loans..................................................................................... Forward Foreign Currency
Contracts................................................
Total Investment Portfolio............................................................ Other ISBI Assets Less
Liabilities..................................................... ISBI Net Assets........................................................................ Investments owned by other
retirement systems, SERS & JRS........... General Assembly Retirement System
Investments....................... |
$ 665,018,889 33,237,090 668,047,761 2,945,702,917 334,285 1,482,594,431 880,939,190 875,929,700 450,491,810 235,126,490 305,969,947 197,259,098 (5,594,545) $ 8,735,057,063 (51,002,791) $ 8,684,054,272 (8,636,360,519) $ 47,693,753 |
$ 852,045,701 113,005,430 1,058,164,332 4,241,685,933 5,094,532 1,984,314,463 598,985,402 1,332,081,349 524,628,589 307,481,504 209,975,518 202,137,983 (72,622) $11,429,528,114 (114,474,953) $11,315,053,161 (11,243,129,218) $ 71,923,943 |
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ADMINISTRATIVE
EXPENSES |
FY 2009 |
FY 2008 |
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Retirement, Insurance & Social Security............................................ Contractual Services........................................................................ Electronic Data Processing............................................................... Printing............................................................................................ Telecommunication.......................................................................... Travel............................................................................................. Commodities.................................................................................... Operation of Automotive Equipment..................................................
Provision for Depreciation................................................................ Total
Administrative Expenses................................................... |
$117,817 60,722 88,043 2,682 1,910 999 608 303 648 663 2,327 $276,722 |
$107,733 52,785 71,960 4,313 2,097 982 830 218 450 880 1,922 $244,170 |
FUNDING PROGRESS
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JUNE 30,
2009
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JUNE 30,
2008
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Actuarial Accrued
Liability................................................................. Actuarial Value of
Assets................................................................... Unfunded Actuarial
Accrued Liability.................................................. Funded Ratio..................................................................................... |
$245,226,299 71,573,865 $173,652,434 29.2% |
$235,780,071 75,405,943 $160,374,128 32.0% |
EXECUTIVE
SECRETARY
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During Engagement Period: Tim Blair, Acting Currently:
Tim Blair, Acting |
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