Third Sector Testifies at California Hearing on Social Innovation Finance

Third Sector recently testified at an informational hearing on social innovation finance (SIF) held by the California state legislature. The hearing, What is the Role of Social Innovation Financing in California?: Are we ready for Social Impact Bonds, was called by the Business, Professions & Economic Development Committee and the Select Committee on Procurement. Senators Curren Price and Ted Lieu chaired the hearing.

Invited by the California legislature to share information about Third Sector’s experience developing and implementing SIF projects around the country, Caroline Whistler, Third Sector Co-Founder & Partner, testified about the Massachusetts’ juvenile justice

Cuyahoga County Partners with Third Sector Capital Partners on Pay for Success Pilot Procurement READ THE PRESS RELEASE Boston, MA and Cleveland, OH (November 2, 2012) – Cuyahoga County, OH became the first County government in the United States to release a Request for Responses (RFR) for a Pay for Success pilot. Third Sector Capital [...]

Massachusetts Selects Third Sector Capital Partners
for First-in-the-Nation “Pay for Success” Contracts

Boston, MA (August 1, 2012) – The Commonwealth of Massachusetts announced today that it has selected Third Sector Capital Partners to develop its two groundbreaking Social Innovation Financing pilots, more commonly known as “Pay for Success” contracts. Massachusetts is the first state in the nation to issue a competitive process to obtain services using social innovation financing.

Third Sector will serve as lead intermediary, in partnership with New Profit Inc., for a youth recidivism initiative and as partner to the Massachusetts

“Mass. program ties nonprofits’ pay to success”
by Dan Adams – The Boston Globe – August 1, 2012

Two groups of nonprofit social service providers have been selected by the state to tackle chronic problems with homeless people and juvenile criminals under an innovative new program that will reward the agencies if they can prove their techniques work, or pay them little or even no money if they fail.

The program, called Social Innovation Financing, operates on a simple “pay for success” model, in which nonprofits must demonstrate that by keeping youth from being reincarcerated or

Third Sector Capital Partners Advances Pay for Success in Cuyahoga County, OH READ THE PRESS RELEASE Third Sector Capital Partners held three public presentations July 9th through July 11th on advancing Pay For Success initiatives in Cuyahoga County, Ohio. The presentations advanced a strategy laid out in the Western Reserve Plan, Cuyahoga County Executive Ed FitzGerald’s vision for improving [...]

“Investors May Fund Social Programs:
State Exploring ‘Pay For Success’; Profits Would Be Tied to Cost Savings”
by TODD WALLACK – Boston Globe – June 27, 2011

Massachusetts could be among the first states in the country to raise money for social services by offering investors the chance to earn profits on programs they establish.

The approach is known as “social impact bonds” or “pay for success.” It is based on the idea that if programs backed by investors succeed in reducing, for example, the number of inmates in prison or the homeless population, governments will realize big savings, which they can tap