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GAO examined the statement of accumulated plan benefits and net assets available for benefits of the Civil Service Retirement System as of September 30, 1984, and the related statements of changes in net assets available for benefits and of changes in actuarial present value of accumulated plan benefits for the year then ended.

GAO found that the retirement system complied with the terms and provisions of laws and regulations for the transactions tested that could have materially affected the financial statements. GAO identified two situations which did not materially affect the 1984 financial statements but needed attention: (1) the Office of Personnel Management (OPM) was not correctly computing the amount of the federal payment to the retirement system for interest on the unfunded liability; and (2) the Department of the Treasury did not issue new debt from the end of September to October 13, 1984, due to the debt-ceiling limitation. Although GAO did not determine the extent of noncompliance: (1) OPM agreed to recalculate its computations and include any required adjustment in its next request for the annual payment to the retirement system; and (2) Treasury's noninvestment of the retirement system's assets and the amount of interest lost only pertain to fiscal year 1985.