North Carolina’s state treasurer holds unusual power, as one of only three nationally empowered with sole fiduciary responsibility for making investment decisions for retirement funds. Most states delegate that authority to either boards or investment teams.
In North Carolina, that means Treasurer Dale Folwell oversees more than $120 billion to pay the obligations to 875,000 active or retired state workers. It’s among the 10 largest U.S. public pension funds.
Folwell lost a gubernatorial bid in the March primary, opening the door for either Democratic Party candidate Wesley Harris or Republican Brad Briner to win the Nov. 5 treasurer’s election.
Most of the treasurer’s work involves nonpartisan matters. Beyond investments, the treasurer also chairs the State Health Plan, which provides coverage for more than 750,000 active and retired state workers and dependents. It’s the largest single healthcare payer in North Carolina, a role that Folwell has used to sharply criticize the state’s hospitals and global drug companies.
But the personal stories of the two candidates offer sharply different stories.
Harris, 38, has been a state representative from Mecklenburg County since 2019. He spent his childhood in Taylorsville; his father was a banker and his mother taught at public schools, according to his campaign website. He earned a bachelor’s degree at UNC Chapel Hill and a Ph.D. in economics from Clemson, then worked for two large accounting firms from 2015-20.
Since then, he has reported income from his legislative salary (about $14,000 per year plus $104 per diem during legislative sessions); consulting jobs and as a part-time instructor
at UNC Charlotte.
He doesn’t hold shares in any public or private companies or North Carolina real estate that exceeds $10,000, according to his Statement of Economic Interest filed with the state.
The state requires elected officials and board appointees to file such statements annually, listing their investments and debts in listing their investments and debts of at least $10,000. (It doesn’t distinguish if the filer holds or owes $10,001 or $10 million.) It also does not require filers to include their holdings in widely-held investment funds such as mutual funds, pensions or deferred compensation plans.
Harris’ report cites debts exceeding $10,000 to a bank and a credit card company.
His financial situation hasn’t changed since the January filing, he said in September. He declined to discuss his income sources and how he is saving for retirement. Instead, his campaign manager sent a statement citing his doctoral degree, consulting experience, leadership among House Democrats on budget issues and endorsements from several public-employee groups.
“Now, I’m running for Treasurer because we deserve a leader in the Treasurer’s office who will be an advocate for long-term financial planning and sound fiscal policy,” according to his website.
Briner, 47, who lives in Chapel Hill, retired in the past year from Willett Advisors, which manages the personal fortune of billionaire Michael Bloomberg, a former New York City mayor. Briner worked at Willett for 12 years after stops at Morgan Creek Capital, UNC Management and Goldman Sachs.
The Texas native attended a private school in Dallas where his mother worked after his father lost his job in the 1980s recession, according to his campaign website. He later attended Exeter, a New Hampshire boarding school, then received a full scholarship to UNC Chapel Hill. He was appointed to the university’s board of trustees last year. He also has a Harvard MBA.
Briner’s State of Economic Interest in January shows holdings of a home and other real estate in Chapel Hill; more than $10,000 in 10 publicly owned companies; and more than $10,000 in 12 “private interests” such as Florida Real Estate Value Fund II. He and his wife owe more than $10,000 to a bank.
The state treasurer’s race is among eight Council of State races that typically are closely contested but attract limited public notice. Victors in only two of the elections in 2020 received more than 52% of the vote: Folwell got 52.6%, while State Agriculture Commissioner Steve Troxler had 53.8%. Gov. Roy Cooper and Lieutenant Gov. Mark Robinson each received about 51% of the vote.
Both Harris and Briner have said they will tone down Folwell’s rhetoric related to healthcare and criticize his investment management strategy. A conservative approach has cost billions of dollars in potential gains because of strong markets, both candidates say. Folwell has emphasized the need to limit risk and cut investment fees as the best way to protect the pension funds.
The two candidates differ on whether the state treasurer should retain his fiduciary authority. Briner favors shifting away from sole authority. Harris prefers the status quo, he said during a PBS North Carolina TV broadcast in September. ■
