Social Impact Bonds Spread in the U.S. With Help of Harvard Lab
"Six states are moving to develop so-called social impact bonds, marking a broad expansion of an experiment that taps private investors to fund capital-hungry social programs," reports Michael A. Fletcher. "Connecticut, Illinois, New York, Ohio, South Carolina and Colorado won a competition initiated by Harvard University and the Rockefeller Foundation, which will provide them technical assistance with developing bond programs."
"The concept of social impact bonds was virtually unknown until a couple of years ago. Now it is capturing the attention of government leaders eager to find ways to fund programs that they believe would reduce future expenses," says Fletcher. "Among the most popular targets are programs aimed at reducing chronic homelessness and prison recidivism and boosting early childhood education and child health."
“'Social impact bonds have traveled from concept to execution faster than any other social innovation in recent history,' said Kippy Joseph, associate director for innovation at the Rockefeller Foundation, which helps support the SIB lab at Harvard."