ArthurAndersen
Report of Independent Public Accountants on Compliance
and on Internal Control Over Financial Reporting Based on
an Audit of Financial Statements Performed in Accordance
With Government Auditing Standards
To the Board of Trustees of the
Oklahoma Public Employees Retirement Plan:
We have audited the financial statements of the Oklahoma Public Employees Retirement Plan (the
"Plan"), administered by the Oklahoma Public Employees Retirement System which is a component unit
of the State of Oklahoma, as of and for the year ended June 30, 2000, and have issued our report thereon
dated September 22, 2000. We conducted our audit in accordance with auditing standards generally
accepted in the United States and the standards applicable to financial audits contained in Government
Auditing Standards (1994 Revision), issued by the Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the Plan's financial statements are free of
material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,
contracts and grants, noncompliance with which could have a direct and material effect on the
determination of financial statement amounts. However, providing an opinion on compliance with those
provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The
results of our tests disclosed no instances of noncompliance that are required to be reported under
Government Auditing Standards.
Internal Control Over Financial Reporting
In planning and performing our audit, we considered the Plan's internal control over financial reporting in
order to determine our auditing procedures for the purpose of expressing our opinion on the financial
statements and not to provide assurance on the internal control over financial reporting. Our consideration
of the internal control over financial reporting would not necessarily disclose all matters in the internal
control over financial reporting that might be material weaknesses. A material weakness is a condition in
which the design or operation of one or more of the internal control components does not reduce to a
relatively low level the risk that misstatements in amounts that would be material in relation to the
financial statements being audited may occur and not be detected within a timely period by employees in
the normal course of performing their assigned functions. We noted no matters involving the internal
control over financial reporting and its operation that we consider to be material weaknesses.
However, we noted other matters involving the internal control over financial reporting that we have
reported to the Board of Trustees of the Oklahoma Public Employees Retirement System, in a separate
letter dated September 22, 2000. The Oklahoma Public Employees Retirement System serves as the
administrator of the Plan.
This report is intended solely for the information and use of the Board of Trustees and management and is
not intended to be and should not be used by anyone other than these specified parties.
Oklahoma City, Oklahoma,
September 22, 2000
^W^*W_U-^
