The Manufacturing Modernization Pilot Investment Act is a newly proposed legislation aimed at enhancing the manufacturing sector in Nebraska by providing one-time grants to eligible manufacturing operations. The act defines eligible operations as manufacturers that have been established for at least three years, derive a majority of their revenue from manufactured goods, employ a minimum of three full-time employees, and can demonstrate private financial support for modernization projects. Grants can be awarded up to $250,000 to assist with capital investments that integrate smart technologies and improve productivity.

The act establishes the Manufacturing Modernization Pilot Investment Fund, which will be administered by the Department of Economic Development and funded through legislative appropriations and other sources. Applications for grants will be accepted from October 1 to November 1, 2025, and will be evaluated based on the order received, with the department required to approve applications within the limits of available funding. Additionally, the act includes provisions for the repayment of grant funds if an eligible operation no longer meets the established criteria. The legislation is set to take effect immediately upon passage due to the declaration of an emergency.