Massachusetts Gov. Deval Patrick’s administration is seeking proposals for social-impact bonds, says The Boston Globe.
In the approach, also known as “pay for success,” social entrepreneurs, charities, and other private entities will design and finance programs to address to social ills. If the programs meet performance goals, the state would adopt them and repay the original investment.
The Patrick administration issued a call Wednesday for proposals to address chronic homelessness and provide support for former juvenile offenders. The state said the effort could be expanded to other areas if the initial programs succeed.
Jay Gonzalez, head of the state’s Executive Office of Administration and Finance, said Massachusetts hopes tap some of the $100-million in federal funds President Obama has proposed spending on pay-for-success pilot programs.