Truly original thinking is unusual in a state bureaucrat who has been on the job for 36 years.  But that appears to be the case with David Bronner, head of Alabama’s public pension system.  Dan Luzadder of the New York Times brings us the story of Bronner has moved in recent years for Alabama to invest its public pension fund in revamped luxury hotels, office towers and even a cruise ship dock in Mobile, golf courses across the state, and New York City Class A office space to boot.  The result is a state pension fund, at $28 billion, that is more than fifty times as large as it was when Bronner took over in 1973.

Most pension funds for public employees just invest in stocks and bonds — and many such funds are in very deep trouble.   What Bronner and the people of Alabama have done is different — they’ve invested pension monies in their own state, bringing benefits to both.  Luzadder writes that Bronner “has invested in real estate as a way to create cultural changes in the state.”

That’s bold enough.  But even more inspiring is the fact that Bonner did all this with the endorsement of the people of Alabama.  For example, he pledged to make the investments in Mobile’s hospitality and office space sectors only after the citizens of Mobile approved a major bond issue funding new public schools.   Why?  Because, as Bonner asked, “without education, how can we attract business and industry?”  This is real entrepreneurial spirit in government.

It’s tempting to say: bring this guy to Washington.  Maybe he can fix things here too.  But Bronner appears to have worked wonders in Alabama — and he certainly wasn’t alone in his efforts.  Let’s hope his example is what it takes to spark more creativity in government in other states and the nation’s capital.

Comment RSS - You can skip to the end and leave a response. Pinging is currently not allowed.