Also by Reinvestment Fund

Reinvestment Fund Finances Salt Lake County Pay for Success Project

Initiative to offer proven solutions to homelessness

Philadelphia, December 19, 2016 — Reinvestment Fund announced the financing of its fourth Pay for Success project today. The Salt Lake County initiative aims to offer a better program to address a long-running county problem – persistent homelessness. Local nonprofit, The Road Home, will operate the Homes Not Jail Program.

The Homes Not Jail program will provide services to improve housing stability, criminal justice and behavioral health outcomes for the persistently homeless. These are individuals who have spent between 90 and 364 days over the previous year in emergency shelter or on the streets or other homeless circumstance. Absent a different approach, they are at clear risk of remaining homeless. Complicating factors include the long waitlist for housing programs in the county, lack of Medicaid health coverage and ineligibility for housing that goes first to the chronically homeless.

Homes Not Jail will offer 315 individuals a range of housing assistance and support services including access to behavioral health treatment and employment counseling. Rental assistance through the private rental market and intensive case management are included in the six-year project.

Salt Lake County also announced a second Pay for Success initiative to address the problem of adult men who are at high risk for repeat stays in the county jail. The second program is known as REACH (Recovery, Engagement, Assessment, Career, and Housing). It will be managed by First Step House. The program goal is to provide behavioral health treatment, housing, and case management services in order to lower the rate of recidivism, help them recover stable lives and reduce costs to taxpayers.

“Every year, government spends millions of dollars on programs designed to help our neediest citizens. In most cases, whether these programs work is anyone’s guess,” said Salt Lake County Mayor Ben McAdams. “We can do better for the people we’re trying to help, as well as be careful stewards of scarce tax dollars.  Pay for Success is an innovative approach to give better outcomes and hold ourselves accountable for achieving those results.”

Together, the two initiatives form a $11.5 million project that expects to serve approximately 550 individuals in need. Support for the project has been provided by James L. Sorenson, the Gail and Larry H. Miller Foundation, the Ray & Tye Noorda Foundation, the George S. and Dolores Doré Eccles Foundation, Synchrony Bank, Zions Bank, and Ally Bank in addition to Northern Trust, QBE Insurance Group Limited, Reinvestment Fund, and Living Cities. Sorenson Impact Center provided project management, SLCO PFS 1 administered as the Community Foundation of Utah served as the financial and legal intermediary for both PFS projects and Dorsey & Whitney, Utah provided legal assistance.

“Our financing of Salt Lake County’s Pay for Success project builds on decades of experience working on housing solutions for low-income and vulnerable populations. This is the fourth Pay for Success project we have helped finance and we are delighted for the opportunity to support effective and efficient programs that benefit communities most in need,” shared Sara Vernon Sterman, VP of Strategic Investments at Reinvestment Fund.

McAdams also acknowledged the county’s successful partnership with Third Sector Capital Partners and thanked the team for its months’ long effort to help structure the initiatives.

“Communities across the country are working to address homelessness and recidivism by using data to direct resources to those most in need,” said Caroline Whistler, president of Third Sector Capital Partners. “Third Sector is proud to partner with Mayor McAdams and Salt Lake County in applying outcomes-based contracting to improve the lives of individuals facing persistent homelessness.  These Pay for Success initiatives allow the county to comprehensively address a growing social concern in a way that will create lasting impact for everyone involved but most importantly by providing homes and support to those that need it.”

To learn more about this project, visit:thirdsectorcap.org/salt-lake-county/