diff --git a/dotnet/src/Experimental/Process.LocalRuntime/LocalStep.cs b/dotnet/src/Experimental/Process.LocalRuntime/LocalStep.cs
index 3d6ee8b21cf7..abc4659125d8 100644
--- a/dotnet/src/Experimental/Process.LocalRuntime/LocalStep.cs
+++ b/dotnet/src/Experimental/Process.LocalRuntime/LocalStep.cs
@@ -255,6 +255,7 @@ protected virtual async ValueTask InitializeStepAsync()
             }
 
             stateObject = (KernelProcessStepState?)Activator.CreateInstance(stateType, this.Name, this.Id);
+            stateType.GetProperty(nameof(KernelProcessStepState<object>.State))?.SetValue(stateObject, Activator.CreateInstance(userStateType));
         }
         else
         {
diff --git a/dotnet/src/IntegrationTests/Processes/ProcessTests.cs b/dotnet/src/IntegrationTests/Processes/ProcessTests.cs
index cd98a9321ad0..5d7800490827 100644
--- a/dotnet/src/IntegrationTests/Processes/ProcessTests.cs
+++ b/dotnet/src/IntegrationTests/Processes/ProcessTests.cs
@@ -329,7 +329,7 @@ await context.EmitEventAsync(new()
     /// </summary>
     private sealed class FanInStep : KernelProcessStep<StepState>
     {
-        private StepState? _state = new();
+        private StepState? _state;
 
         public override ValueTask ActivateAsync(KernelProcessStepState<StepState> state)
         {