New venture capital bill takes away WEDC authority

Original legislation would have invested $24 million
New venture capital bill takes away WEDC authority

A bipartisan group of lawmakers have changed their original proposal for a venture capital fund for Wisconsin startups to remove oversight from Gov. Scott Walker’s troubled job-creation agency.

The original legislation from Republican Rep. Mike Kuglitsch, of New Berlin, would have invested $25 million in state money and additional private money in the venture capital fund overseen by the Wisconsin Economic Development Corp. The agency would have hired a fund manager to oversee the investments.

But Kuglitsch and other bill sponsors put out an amended version Wednesday that would have the Department of Administration oversee the venture capital program. The change comes weeks after an audit found a number of problems at WEDC.