Pension funds as venture capital

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Officials in the Iron Range town of Cohassett consider a loan tonight intended to prevent the eviction of a St. Paul-based manufacturer of a product called "Stonite". The new company has run out of money and has yet to produce the granite-like product. The plan would provide $300,000 in short term financing from the Iron Range Resources and Rehabilitation Board and the Minneapolis Police Association. Minneapolis police and firefighter pension funds have each already invested $5-million in the project, and that has raised questions about whether public pension plans should invest in high-risk projects. Minnesota Public Radio's Perry Finelli reports.

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Digitization made possible by the State of Minnesota Legacy Amendment’s Arts and Cultural Heritage Fund, approved by voters in 2008.

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