Opinion No.

Mr. Larry Dickerson, Executive Secretary Arkansas State Highway Employees Retirement System P.O. Box 2261 Little Rock, Arkansas 72203

Dear Mr. Dickerson:

This is in response for your request for an opinion on the authority of the Arkansas State Highway Employees' Retirement System to make certain loans in the investment of its assets. Specifically, you indicate that the Arkansas State Highway Employees' Retirement System or ("ASHERS"), is seeking certification as an approved lender under the USDA Business and Industry Guaranteed Loan Program. You note that this certification would allow ASHERS…