Gov. Pillen Announces Funding Boost, New Direction for Business Innovation Act

LINCOLN, NE – Governor Jim Pillen is announcing a boost in funding, and a new direction for an initiative that has provided funding to Nebraska businesses since it was enacted in 2011. Programs under the Business Innovation Act (BIA) were placed on a brief pause during the last quarter of 2025, so that it could undergo a thorough performance review by the Department of Economic Development (DED). Today, Gov. Pillen issued a memo directing that all funding and operations be restored and strengthened.

“The BIA is an important source of funding for startups and business innovation in Nebraska,” said Gov. Pillen. “But to run government like a business, it’s important to continually assess the performance of any government program to ensure it is making good use of taxpayer dollars. We did so, and the result is that we are going to significantly enhance and strengthen this program.”

With that review completed, Gov. Pillen has directed that the requested appropriation to the Legislature for BIA programs in 2025-2027 increase from approximately $12 million to $15 million beginning in FY 2026-2027, and that future funding for the program be less reliant on general funds. Additionally, Gov. Pillen has directed that DED strengthen its public-private partnerships with organizations like Invest Nebraska, which has proven its capacity to efficiently and cost-effectively deploy BIA capital to promising Nebraska businesses.   

“We are grateful to Governor Pillen for his decision to significantly increase funding for the Business Innovation Act and to strengthen its alignment with Invest Nebraska,” said Heath Mello, president & CEO of the Greater Omaha Chamber. “The BIA has long been one of Nebraska’s most effective tools for driving innovation, entrepreneurship, and high-wage job creation. The Chamber has been proud advocates of this program since the beginning, and we have appreciated the Governor’s willingness to collaborate on this issue.”

Mello also commended Gov. Pillen’s decision to boost funding for the BIA. Based on a 2020 report authored and issued by the UNL Bureau of Business Research:
-Each $1 of BIA Funding has resulted in $5.75 in private investment
-1,108 direct jobs have been created
-The average wage of these direct jobs is $67,064
-Each $1 of BIA funding has resulted in $9.77 in revenue
-The annual economic impact of the BIA has surpassed $517 million 

“Nebraska has seen an incredible ROI with this program and this expanded commitment will only accelerate that impact,” added Mello. “This is a smart, forward-looking decision that reinforces Nebraska’s competitiveness and sends a strong signal that our state is serious about growing the next generation of innovative companies.”