Photo from the Governor’s office

As expected, Gov. Scott Walker signed the venture capital bill into law today in a ceremony held at MCT, Inc. in Milwaukee.

Also known as Assembly Bill 181, this new piece of legislation assigns the Department of Administration with investing a fund of funds–a public and private mix–in Wisconsin-based businesses.

“Job creation depends on new business ventures, and the $25 million allocated for this program in the state budget will help grow private sector jobs by investing in startup companies,” Walker said in a statement. “One hundred percent of the funds from this program will go to Wisconsin-based businesses, and there are a number of measures in place to ensure accountability and transparency for the hard-working taxpayers.”

According to the Governor’s office, DOA is required to pay $25 million to the investment manager in fiscal year 2013-14 for investments in venture capital funds. The investment manager is required to contribute at least $300,000 of its own funds and at least $5 million raised from other sources.

The investment manager must also set aside proceeds from the investments and must, at least, make annual payments to the state’s general fund until the investment manager has paid the state $25 million. Following the $25 million reimbursement, the investment manager must pay 90 percent of its proceeds from such investments to the state.