CAPITAL!

CAPITAL!

Pittsburgh

has a funding

problem.

In FY2025, Innovation Works — southwestern Pennsylvania's Ben Franklin Technology Partners regional center — disbursed only 25 cents of every state innovation dollar directly to founders, down from 42 cents in FY2023. The remaining 75 cents funded salaries, overhead, and intermediary services that AI now delivers for $200/month.

the standard

A 75% direct-to-founder disbursement mandate for all state innovation appropriations. Intermediaries can continue to exist, but public dollars must flow primarily to the entrepreneurs building companies, not the organizations claiming to support them.

A 75% direct-to-founder disbursement mandate for all state innovation appropriations. Intermediaries can continue to exist, but public dollars must flow primarily to the entrepreneurs building companies, not the organizations claiming to support them.

the stakes

Governor Shapiro has proposed $100 million for "Innovate in PA 2.0" in the FY2026 budget. The Pennsylvania General Assembly faces a June 30 constitutional deadline. Secretary Rick Siger has recused himself from all Innovate PGH decisions due to prior board service during a period of material financial control weaknesses. The appropriation structure remains negotiable.

25¢

In some Pennsylvania innovation programs, the ratio of dollars that actually reach founders versus dollars that sustain the apparatus is less than a penny on the dollar. The capital infrastructure is the problem.

25¢

In some Pennsylvania innovation programs, the ratio of dollars that actually reach founders versus dollars that sustain the apparatus is less than a penny on the dollar. The capital infrastructure is the problem.

1/4

Building a frontier tech company in Pittsburgh costs a fraction of what it costs in San Francisco or New York. The economics are not the problem.

1/4

Building a frontier tech company in Pittsburgh costs a fraction of what it costs in San Francisco or New York. The economics are not the problem.

2

CMU. Pitt. Carnegie Mellon's robotics and AI programs rank among the top in the world. The ideas are not the problem.

2

CMU. Pitt. Carnegie Mellon's robotics and AI programs rank among the top in the world. The ideas are not the problem.

the methodology

the method

Direct Capital Ratio = direct grants to founders (IRS Form 990 Schedule I) ÷ total state appropriations (Federal Audit Clearinghouse single audits). All data is public. The math is transparent. The conclusion is unavoidable.

the framing

This is a structural critique, not a personal attack. The intermediary model was designed for 1983. It is obsolete. Reform is not about blame — it is about efficiency, accountability, and ensuring scarce public resources reach the founders who create jobs and tax base.

State Representative Joe Shaffer, a first-term legislator and former founder, has publicly engaged with the campaign and offered to push for policy solutions. DCED official Jen Gilburg has acknowledged the feedback.

the ask

Adopt the 75% direct-to-founder standard as a condition of the $100M appropriation. Make Pennsylvania a national model for efficient, accountable innovation funding in the AI era. Let the forensic data — not politics — drive the policy.

Join the cause

Join the cause

Join the cause