We have audited the basic financial statements of the Virginia Retirement System (System) as of and for the year ended June 30, 2023, and issued our report thereon, dated December 14, 2023. Our report, included in the System’s Annual Report, is available at the Auditor of Public Accounts’ website at www.apa.virginia.gov and at the System’s website at www.varetire.org. Our audit found:

• the financial statements are presented fairly, in all material respects;

• three internal control findings requiring management’s attention that also represent instances of noncompliance or other matters required to be reported under Government Auditing Standards; however, we do not consider them to be material weaknesses. 

In the section titled “Internal Control and Compliance Findings and Recommendations” we have included our assessment of the conditions and causes resulting in the internal control and compliance findings identified through our audits as well as recommendations for addressing those findings. Our assessment does not remove management’s responsibility to perform a thorough assessment of the conditions and causes of the findings and develop and appropriately implement adequate corrective actions to resolve the findings. Those corrective actions may include additional items beyond our recommendations.

RETIREMENT SYSTEM EMPLOYER SCHEDULES 
The Commonwealth and its localities have previously implemented Governmental Accounting Standards Board Statements No. 68 and 75. These standards address accounting and reporting of pension and other post-employment benefit activity by employers. Therefore, in addition to our audit of the System’s financial statements, we were separately required to audit information prepared by the System for all of the participating employers. In August 2023, the System provided actuarial valuation reports, schedules of the applicable pension and other post-employment benefit amounts, footnote disclosure information, and other financial reporting guidance to the participating state and local government employers for their fiscal year 2023 financial statements. Likewise, our office published the reports that included our audit opinions over the plan schedules and applicable pension and other post-employment benefit amounts for pension and other post-employment benefit plans administered by the System. This information is available at the Auditor of Public Accounts’ at www.apa.virginia.gov and at the System’s website at www.varetire.org.