The Wisconsin Department of Administration (DOA) announced recently that Sun Mountain Kegonsa has been selected to manage the state’s $25 million venture capital fund.

“I thank the committee for their time and thorough review of the proposals,” DOA Secretary Mike Huebsch said in a release. “The venture capital program is an economic development tool that we will use to bring new capital to Wisconsin investments, which ultimately supports our small businesses by giving them the resources they need to expand and provide opportunities for new Wisconsin entrepreneurs.”

The fund, which requires a 2-to-1 private investment match, was signed into law in July.

A request for qualifications for the venture capital’s fund of funds manager was released in September. A five-member review committee comprised of representatives from the State of Wisconsin Investment Board (SWIB) and DOA’s Capital Finance Office evaluated the proposals.

As previously reported, DOA is required to pay $25 million to the investment manager (Sun Mountain Kegonsa) in the fiscal year 2013-14 for investments in venture capital funds. Sun Mountain Kegonsa must set aside proceeds from its investments and make annual payments to the state’s general fund until it has paid back the state.

Sun Mountain Kegonsa is a partnership between Sun Mountain Capital, based in Santa Fe, N.M., and Fitchburg-based Kegonsa Capital Partners.