REPORT DIGEST

GENERAL ASSEMBLY RETIREMENT SYSTEM

COMPLIANCE EXAMINATION
FOR THE YEAR ENDED JUNE 30, 2019

Release Date:  April 22, 2020

FINDINGS THIS AUDIT:  2

CATEGORY:  NEW -- REPEAT -- TOTAL
Category 1:  0 -- 0 -- 0
Category 2:  1 -- 1 -- 2
Category 3:  0 -- 0 -- 0
TOTAL:  1 -- 1 -- 2

FINDINGS LAST AUDIT: 1

Category 1: Findings that are material
weaknesses in internal control and/or a
qualification on compliance with State laws
and regulations (material noncompliance).
Category 2: Findings that are significant
deficiencies in internal control and
noncompliance with State laws and regulations.
Category 3: Findings that have no internal
control issues but are in noncompliance with
State laws and regulations.

State of Illinois, Office of the Auditor
General
FRANK J. MAUTINO, AUDITOR GENERAL

To obtain a copy of the Report contact:
Office of the Auditor General, Iles Park
Plaza, 740 E. Ash Street, Springfield, IL
62703
(217) 782-6046 or TTY (888) 261-2887

This Report Digest and Full Report are also
available on the worldwide web at
www.auditor.illinois.gov

INTRODUCTION

This digest covers our Compliance Examination
of the General Assembly Retirement System for
the year ended June 30, 2019.  A separate
Financial Audit as of and for the year ending
June 30, 2019, was previously released on
January 22, 2020.   This report contains two
findings, neither of which were reported in
the financial audit.

SYNOPSIS

• (19-1) The General Assembly Retirement
System of the State of Illinois did not comply
with the ethics training provisions of the
Illinois Pension Code.

FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS

NONCOMPLIANCE WITH ETHICS TRAINING
REQUIREMENTS

The General Assembly Retirement System of the
State of Illinois (System) continues to not
comply with the ethics training provisions of
the Illinois Pension Code.

During the current year examination testing,
we determined through our compliance testing
the System did not track the ethics training
completed by its Board members and did not
submit the required annual certification of
compliance certifying ethics training was
completed by its Board members with the
Illinois Department of Financial and
Professional Regulation, Division of Insurance
(DFPR).  (Finding 1, page 10)  This finding
has been repeated since 2015.

We recommended the System finalize their draft
certification for calendar year 2019 and
submit the required annual certification to
DFPR.

The System accepted our recommendation and
stated they would submit the required annual
certification to DFPR.

OTHER FINDINGS

The remaining finding pertains to the General
Assembly Retirement System’s (System) failure
to file the Hispanic and Asian American
Employment Plan Survey.  We will review the
System’s progress towards the implementation
of our recommendations in our next compliance
examination.

ACCOUNTANT’S OPINION

The accountants conducted a compliance
examination of the General Assembly Retirement
System for the year ended June 30, 2019, as
required by the Illinois State Auditing Act.
The accountants stated the General Assembly
Retirement System complied, in all material
respects, with the requirements described in
the report.

This compliance examination was conducted by
RSM US LLP.

JANE CLARK
Division Director

This report is transmitted in accordance with
Section 3-14 of the Illinois State Auditing
Act.

FRANK J. MAUTINO
Auditor General

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