Also by Reinvestment Fund

TRF to Finance California’s First “Pay for Success” Project

“Project Welcome Home” will Improve Housing Stability and Supportive Services for the Chronically Homeless

Philadelphia, August 14th – The Reinvestment Fund (TRF) announced today that it will provide financing for California’s first Pay for Success (PFS) program which brings together the County of Santa Clara, California and Abode Services, a national leader in innovative housing services for homeless persons. Project Welcome Home will provide community-based clinical services and permanent supportive housing to 150-200 chronically homeless individuals who are currently frequent users of the County’s emergency rooms, acute mental health facilities and jail.

“TRF uses capital and information to advance innovative solutions to issues affecting low-income and vulnerable populations,” said Amanda High TRF’s Chief of Strategic Initiatives. “By tying repayment to impact, Pay for Success offers the opportunity for a mission-driven lender like TRF to support programs and services that are not traditionally financeable.”

TRF is providing senior financing for the project. Additional funds come from The Sobrato Family Foundation, the California Endowment, The Health Trust, Corporation for Supportive Housing, The James Irvine Foundation, and Google.org. Laura and John Arnold Foundation will provide key support for the project’s evaluation.

The primary goals of the project are to measurably improve the lives of chronically homeless individuals by connecting them to permanent supportive housing, and to reduce the degree to which they receive services from others that provide only short-term relief. Chronically homeless individuals often experience significant barriers to housing due to serious medical and behavioral health issues, financial instability, and lack of support networks. Extended periods of housing instability can result in poor health and social outcomes that lead both to tremendous suffering and higher costs for the County in the form of emergency services and incarceration.

In partnership with the County’s Office of Supportive Housing and Behavioral Health Services Department, Abode will provide chronically homeless individuals with access to community-based clinical services and permanent supportive housing using evidence-based Assertive Community Treatment (ACT) and a Housing First approach. These services are designed to end the participants’ homelessness, increase income, and provide increased access to ongoing physical and behavioral health services.

TRF’s participation in this PFS program builds from its extensive experience financing affordable housing and community services. TRF also has strong expertise in housing policy issues and analyzing inequities related to low-income and vulnerable populations. TRF recently provided $11 million in New Markets Tax Credit financing to the Drop Inn Center in Cincinnati, Ohio to renovate a former bakery warehouse and brownfield into a new homeless shelter with increased services including on-site primary health care. As part of its ReFresh initiative, TRF is also working with the Northern Community Loan Fund in California to expand its healthy food financing efforts to reach underserved communities across the state.


Program Information

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About The Reinvestment Fund
TRF is a national leader in rebuilding America’s distressed towns and cities, through the innovative use of capital and information. TRF has invested $1.5 billion in mid-Atlantic communities since 1985. A Community Development Financial Institution, TRF finances a variety of projects and activities including food access, health care, education and housing, to build healthy communities in under-invested places. TRF also provides public policy expertise by helping clients create actionable solutions and by sharing data and analysis via www.PolicyMap.com. To learn more about TRF, visit www.trfund.com.

 

Media Contacts

Kavita Vijayan, 215-574-5893, kavita.vijayan@trfund.com