Gettysburg, PA, May 03, 2018 (GLOBE NEWSWIRE) -- A new report from OPEN MINDS found that there are now 20 social impact bonds in progress in ten states. Total investment so far is $166 million and the maximum amount of payment that participants can earn is $238.6 million. These findings were released by OPEN MINDS in their recent market intelligence report, Social Impact Bonds: Over $166 Million In Funding & 20 Programs.
Social impact bonds (also known as pay-for-success, or social improvement bonds) are a relatively new way of financing social services that focuses on payment for outcomes, rather than the volume of services delivered. Under the social impact bond model, private investors put up funding for a social services program, which the government pays back only if the agreed upon performance measures are met. While the pay-for-success model can be applied to many different health care and social service programs, OPEN MINDS has found that of the 20 existing social impact bonds, eight are for juvenile justice and criminal justice, five are for children and families, and four are for housing. Additionally, Santa Clara County has a pilot for high-utilizers of mental health services, and Massachusetts has a workforce program for immigrants.
“While the evaluation of social impact bonds is still in progress, I expect we will see more of these types of projects in the future. There continues to be less dollars available for social services even as the population needing these services continues to rise. Payers and stakeholders want to know that quality care is being provided and that dollars are being put to the best use,” said OPEN MINDS Market Intelligence Director, Athena Mandros. “Additionally, the social determinants of health are becoming a more prominent issue and how to blend funding for these services is still being determined; social impact bonds may be one creative way for health plans and other payers to finance these services.”
A free summary (registration required) of the report can be found at: Social Impact Bonds—$100 Million More Available. The report, Social Impact Bonds: Over $166 Million In Funding & 20 Programs, is available at no charge to Premium and Elite members of The OPEN MINDS Circle and can be purchased in the OPEN MINDS shop for $495. The market intelligence report includes a state-by-state listing of social impact bonds, their initial investment, maximum payout, measures of success, and funding terms.
Learn more about becoming an OPEN MINDS Circle member online at www.openminds.com/membership.
For additional questions and inquiries, please contact Sarah C. Threnhauser, Executive Vice President, OPEN MINDS at 717-334-1329 or sthrenhauser@openminds.com.
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OPEN MINDS is a national market intelligence and strategic advisory firm focused on the sectors of the health and human service field serving consumers with chronic conditions and complex support needs. Founded in 1987 and based in Gettysburg, Pennsylvania, the 175+ associates provide market insights and innovative management solutions designed to improve operational and strategic performance. Learn more at www.openminds.com.