If the Retirement Systems of Alabama does not bring in sufficient income from its investments to pay retirement benefits for public employees, the state is obligated to make up the difference in tax revenue.
In the last decade, RSA investments have not produced as much as hoped. Thus, Gov. Robert Bentley and Republican leaders in the state Legislature are growing concerned that they might have to divert money from their projects into the retirement funds or, heaven forbid, find new sources of revenue.
Some of those Republicans are hinting that the solution to the RSA’s investment woes would be to get rid of David Bronner, the RSA’s CEO.
That would be a big mistake.