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<TYPE>EX-99.77B ACCT LTTR
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<FILENAME>ex99-77b.txt
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                                                                  EXHIBIT 99.77B

                    REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS


To the Stockholders and Board of Directors of
Duff & Phelps Utilities Income Inc:

In planning and performing our audit of the financial statements of Duff &
Phelps Utilities Income Inc. (a Maryland corporation) for the year ended
December 31, 2001, we considered its internal control, including control
activities for safeguarding securities, in order to determine our auditing
procedures for the purpose of expressing our opinion on the financial statements
and to comply with the requirements of Form N-SAR, not to provide assurance on
internal control.

The management of Duff & Phelps Utilities Income Inc. is responsible for
establishing and maintaining internal control. In fulfilling this
responsibility, estimates and judgments by management are required to assess the
expected benefits and related costs of controls. Generally, controls that are
relevant to an audit pertain to the entity's objective of preparing financial
statements for external purposes that are fairly presented in conformity with
generally accepted accounting principles. Those controls include the
safeguarding of assets against unauthorized acquisition, use or disposition.

Because of inherent limitations in internal control, errors or fraud may occur
and not be detected. Also, projection of any evaluation of internal control to
future periods is subject to the risk that it may become inadequate because of
changes in conditions or that the effectiveness of the design and operation may
deteriorate.

Our consideration of internal control would not necessarily disclose all matters
in internal control that might be material weaknesses under standards
established by the American Institute of Certified Public Accountants. 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 caused by error or fraud 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. However, we noted no matters involving
internal control and its operation, including controls for safeguarding
securities, that we consider to be material weaknesses as defined above as of
December 31, 2001.

This report is intended solely for the information and use of management, the
Board of Directors of Duff & Phelps Utilities Income Inc., and the Securities
and Exchange Commission, and is not intended to be and should not be used by
anyone other than these specified parties.


ARTHUR ANDERSEN LLP

Chicago, Illinois
February 5, 2002



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