Among the first news outlets to pick up on the recent unveiling of the $100 million Wisconsin Investment Fund were two outside of the state – the Seattle Post-Intelligencer in Washington state and U.S. News & World Report. Both ran an Associated Press story on the news within hours.

As I mentioned to those who gathered at Madison’s Forward BIOLABS for the announcement by Gov. Tony Evers and others, that’s a big reason why the public-private fund is not an end in the state’s journey to build a more vibrant technology economy, but a new and significant beginning.

Like 49 other states, Wisconsin received money through the U.S. Treasury’s State Small Business Credit Initiative, which was authorized by the American Rescue Plan Act. Each state was free to tailor its program to a large degree, and Wisconsin chose to put nearly two-thirds of its allotment into a fund that would require private venture capital firms to match the SSBCI money, dollar-for-dollar.

The result is the biggest single public-private venture capital initiative in Wisconsin’s history, and a breakthrough that builds on what came before it.

Fourteen venture firms bid with the Wisconsin Economic Development Corp. to be a part of the program and five have been selected so far; a sixth private fund participant is pending. The first five, with a total of $45 million in state commitments, are:

• HealthX Ventures, Madison, $15 million. HealthX invests largely in the digital health sector but also in other health care innovations.
• Venture Investors LLC, Madison, $12 million. Venture Investors invests primarily in health care innovation, such as therapeutics, medical devices, health IT and diagnostics.
• Serra Ventures, Champaign, Ill., $7 million. Serra Ventures invests nationally, especially in the agriculture and food technology space. Some past Serra investments have been in Wisconsin companies.
• NVNG, Madison, $6 million. NVNG (short for “nothing ventured, nothing gained”) invests broadly in Wisconsin tech sectors including health.
• Idea Fund of La Crosse, $5 million. Part of the Badger Fund of Funds network, the Idea Fund of La Crosse invests broadly in the Upper Midwest in sectors such as information technology, health IT, data analytics, supply chain, agriculture, manufacturing and financial services.

The mix reflects the overall goal of the fund, which is to build on existing and emerging technology startups, but also to move beyond the traditional research hubs to find companies and entrepreneurs in underserved places.

That’s one reason why Serra Ventures is in the mix, because it’s familiar with spotting strong deals in the agriculture and food tech space (24 current portfolio companies) and has plenty of sales or other “exits” to demonstrate market knowledge.

Another focus will be bio-health, which has long been a Wisconsin tech strength in regions such as Madison and Milwaukee, but increasingly in cities such as Eau Claire. Last year, the U.S. Economic Development Agency recognized Wisconsin as a “regional technology hub” for personalized medicine and related technologies. That could make the state eligible for up to $75 million in federal funding to accelerate growth.

While the announcement was made by Democrat Evers, it’s worth noting that Wisconsin’s efforts to build a stronger tech-based economy have been bipartisan for decades.

The enactment of investor tax credits in 2005 was led by the late state Sen. Ted Kanavas, R-Brookfield, and then-Commerce Secretary Cory Nettles, an appointee of Democratic Gov. Jim Doyle. The creation of the Badger Fund of Funds in 2013 came during the tenure of then-Gov. Scott Walker with help from both sides of the aisle in the Legislature. Changes to both the investor tax credit program (Qualified New Business Venture credits, also administered through WEDC) and the Badger fund in recent years have also required bipartisan agreement.

Within the Legislature itself, the bipartisan and informal Tech Caucus has both Republican and Democratic leaders and members, further demonstrating that economic growth need not be a partisan squabble.

The $100 million Wisconsin Investment Fund comes with no guarantees, as most young companies fail in time. Those that succeed, however, often do so on a scale that spreads prosperity well beyond company walls. Investors outside Wisconsin will notice this initiative – and perhaps bring their own expertise and money to bear.

Tom Still is president of the Wisconsin Technology Council.