REPORT DIGEST
TEACHERS’ RETIREMENT SYSTEM
COMPLIANCE AUDIT
For the Year Ended:
June 30, 2003
Summary of Findings:
Total this audit 0
Total last audit 0
Repeated from last audit 0
Release Date:
March 11, 2004
State of Illinois
Office of the Auditor General
WILLIAM G. HOLLAND
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 TDD (217) 524-4646
This Report Digest is also available on
the worldwide web at
http://www.state.il.us/auditor
INTRODUCTION
This digest covers our compliance audit of the System for the year ended June 30, 2003. A financial audit covering the year ending June 30, 2003 was issued separately.
There were no material findings of noncompliance disclosed during our audit tests. We commend the System for maintaining effective internal controls.
SUBSEQUENT EVENT
On April 7, 2003, Governor Rod Blagojevich signed House Bill 2660 into law as Public Act 93-0002. This new law authorized the state of Illinois to issue $10 billion of General Obligation Bonds for the purpose of making contributions to designated retirement systems, which included the Teachers’ Retirement System.
On July 2, 2003, the Teachers’ Retirement System received an allocation of $4,330,373,948 from the pension bond obligation proceeds. The Teachers’ Retirement System Board of Trustees approved allocating the pension obligation bond proceeds as follows: 41% to an S&P 500 Index Fund, 31% to a Daily Aggregate Bond Index Fund, 18% to a MSCI EAFE Index Fund and 10% to a Monthly Collective Small Cap Index Fund.
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WILLIAM G. HOLLAND, Auditor General
WGH:RPU:pp
SPECIAL ASSISTANT AUDITORS
McGladrey & Pullen LLP were our special assistant auditors for this audit.
{Financial Data and Activity Measures are summarized on the reverse page.}