113 S2691 IS: Pay for Performance Act
U.S. Senate
2014-07-30
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
1.
This Act may be cited as the Pay for Performance Act
.
2.
Social Impact Pay for Performance Contracts
Title XX of the Social Security Act (42 U.S.C. 1397) is amended—
(1)
in the title heading, by striking to States
and inserting and Projects
; and
(2)
by adding at the end the following:
C
Social Impact Pay for Performance Contracts
2051.
The purposes of this subtitle are the following:
(1)
To improve the lives of families and individuals in need in the United States by funding social
programs that achieve real results.
(2)
To redirect funds away from programs that, based on objective data, are ineffective, and into
programs that achieve demonstrable, measurable results.(3)To ensure Federal funds are used effectively on social services to produce positive outcomes for
both service recipients and taxpayers.
(4)
To establish the use of social impact pay for performance contracts to address some of our Nation’s
most pressing
problems.
(5)
To facilitate the creation of public-private partnerships that bundle philanthropic and other
private resources with existing public spending to scale up effective
social interventions already being implemented by private organizations,
non-profits, charitable organizations, and local governments across the
country.
(6)
To bring pay-for-performance to the social services sector, allowing the United States to improve
the impact
and effectiveness of vital social services programs while redirecting
inefficient
or duplicative spending.
2052.
Social impact pay for performance contract application
(a)
Not later than 1 year after the date of the enactment of this subtitle, the Secretary of the
Treasury (referred to in this subtitle as the Secretary),
in consultation with the Federal Interagency Council on Social Impact Pay
for
Performance
Contracts (established
by section 2056), shall publish in the Federal Register a request for
proposals from States or local governments for social impact pay for
performance
contract projects in accordance with this section.
(b)
Required outcomes for social impact pay for performance contract project
To qualify as a social impact pay for performance contract project under this subtitle, a project
must produce a
measurable, clearly defined outcome that results in social benefit and
Federal savings through any of the following:
(1)
Increasing work and earnings by individuals who have been unemployed in the United States for more
than 6 consecutive months.
(2)
Increasing employment and earnings of individuals age 16 to 24.
(3)
Increasing employment among individuals receiving Federal disability benefits.
(4)
Reducing the dependence of low-income families on Federal means-tested benefits.
(5)
Improving rates of high school graduation.
(6)
Reducing teen and unplanned pregnancies.
(7)
Improving birth outcomes among low-income families and individuals.
(8)
Reducing rates of asthma, diabetes, or other preventable diseases among low-income families and
individuals.
(9)
Increasing the proportion of children living in 2-parent families.
(10)
Reducing incidences of child abuse and neglect.(11)Reducing the number of youth in foster care who are emancipated from care by increasing adoptions,
permanent guardianship arrangements, reunification, or placement with a
fit and willing relative for children and youth in foster care.(12)Reducing the number of children and youth in foster care residing in group homes, child care
institutions, agency-operated foster homes, or other non-family foster
homes, unless it is determined that it
is in the
interest of the child's long-term health, safety, or psychological
well-being to not be placed in a family foster home.(13)Reducing recidivism among individuals released from prison.
(14)
Other measurable outcomes defined by the State or local government that result in positive social
outcomes and Federal savings.
(c)
Feasibility study required
The notice described in subsection (a) shall require a State or local government to submit a
feasibility study for the social impact pay for performance contract
project that
contains the
following information:
(1)
The outcome goals of the project.
(2)
A description of each intervention in the project and anticipated outcome of such intervention.
(3)
Rigorous evidence demonstrating that the intervention can be expected to produce the desired
outcomes.
(4)
The target population that will be served by the project.
(5)
The expected social benefits to participants who receive the intervention and others who may be
impacted.
(6)
Projected Federal, State, and local government costs and other costs to conduct the project.
(7)
Projected Federal, State, and local government savings and other savings, including an estimate
prepared by the State or local government of the savings to the Federal,
State, and local government, on a program-by-program basis and in the
aggregate, if the project is implemented and the outcomes are achieved.
(8)
If savings resulting from the successful completion of the project are estimated to accrue to the
State or local government, the likelihood of the State or local government
to realize those savings.
(9)
A plan for delivering the intervention through a social impact pay for performance contract model.
(10)
A description of the expertise of each service provider that will administer the intervention.
(11)
An explanation of the experience of the State or local government, the intermediary, or the service
provider in raising private and philanthropic capital to fund social
service investments.
(12)
The detailed roles and responsibilities of each entity involved in the project, including any State
or local government entity, intermediary, service provider, independent
evaluator, investor, or other stakeholder.
(13)
A summary of the experience of the service provider delivering the proposed intervention or a
similar
intervention, or a summary demonstrating that the service provider has the
expertise necessary to deliver the proposed intervention.
(14)
A summary of the unmet need in the area where the intervention will be delivered or among the
target population who will receive the intervention.
(15)
The payment terms, the methodology used to calculate outcome payments, the payment schedule, and
performance thresholds.
(16)
The project budget.
(17)
The project timeline.
(18)
The criteria used to determine the eligibility of an individual for the project, including how
selected populations will be identified, how they will be referred to the
project, and how they will be enrolled in the project.
(19)
The evaluation design.
(20)
The metrics that will be used to determine whether the outcomes have been achieved and how such
metrics will be measured.
(21)
A summary explaining the independence of the evaluator from the other entities involved in the
project and the evaluator’s experience in conducting rigorous evaluations
of program effectiveness including, where available, well-implemented
randomized controlled trials on the intervention or similar interventions.
(22)
The capacity of the service provider to deliver the intervention to the number of participants the
State or local government proposes to serve in the project.
(d)
Project intermediary information required
The feasibility study described in subsection (c) shall also contain the following information
about the intermediary for the social impact pay for performance contract
project
(whether the
intermediary is the service provider or other entity):
(1)
Experience and capacity for providing or facilitating the provision of the type of intervention
proposed.
(2)
The mission and goals.
(3)
Information on whether the intermediary is already working with service providers that provide this
intervention or an explanation of the capacity of the intermediary to
begin working with service providers to provide the intervention.
(4)
Experience working in a collaborative environment across government and nongovernmental entities.
(5)
Previous experience collaborating with public or private entities to implement evidence-based
programs.
(6)
Ability to raise or provide funding to cover operating costs (if applicable to the project).
(7)
Capacity and infrastructure to track outcomes and measure results, including—
(A)
capacity to track and analyze program performance; and
(B)
experience with performance-based contracting and achieving project milestones and targets.
(8)
Role in delivering the intervention.
(9)
How the intermediary would monitor program success, including a description of the interim
benchmarks and outcome measures.
2053.
Awarding contracts for social impact pay for performance contract projects
(a)
Timeline in awarding contract
Not later than 6 months after receiving an application in accordance with section 2052, the
Secretary shall determine whether to enter into a contract for a social
impact pay for
performance contract project with the State or local government that
submitted
such
application.
(b)
Considerations in Awarding Contract
In determining whether to enter into a contract for a social impact pay for performance contract
project with a
State
or
local government, the Secretary, in consultation
with the Federal Interagency Council on Social Impact Pay for Performance
Contracts and
the head
of any Federal agency administering a
similar intervention or serving a population similar to that served by the
project, shall consider each of the following:
(1)
The value to the Federal Government of the outcome expected to be achieved if the outcomes
specified in the contract are achieved.
(2)
The ability of the State or local government, in collaboration with the intermediary and the
service
providers, to achieve the outcomes.
(3)
The savings to the Federal Government if the outcomes specified in contract are achieved.
(4)
The savings to the State and local governments if the outcomes specific in the contract are
achieved.
(5)
The expected quality of the evaluation that would be conducted with respect to the contract.
(c)
(1)
In accordance with this section, the Secretary, in consultation with the Federal Interagency
Council on Social Impact Pay for Performance Contracts and the head of any
Federal
agency
administering a similar intervention or serving a population similar to
that served by the project, may enter into a contract for a social impact
pay for
performance
contract project with a State or local government if the Secretary
determines
that each of the following requirements are met:
(A)
The State or local government agrees to achieve an outcome specified in the contract in order to
receive payment.
(B)
The Federal payment to the State or local government for each outcome specified does not exceed the
monetary value of the outcome to the Federal Government over a period
not to exceed 10 years, as determined by the Secretary, in consultation
with the State or local government.
(C)
The duration of the project does not exceed 10 years.
(D)
The State or local government has demonstrated, through the application submitted under section
2052, that, based on prior rigorous experimental evaluations or rigorous
quasi-experimental studies, the intervention can be expected to achieve
each outcome specified in the contract.
(E)
The State, local government, intermediary, or service provider has experience raising private or
philanthropic capital to fund social service investments (if applicable to
the project).
(F)
The State or local government has shown that each service provider has experience delivering the
intervention, a similar intervention, or has otherwise demonstrated the
expertise necessary to deliver the intervention.
(2)
The Secretary shall pay the State or local government only if the independent evaluator described
in section 2055 determines that the social impact pay for performance
contract project
has met
the
requirements specified in the contract and achieved an outcome specified
in the contract.
(3)
The Secretary shall not enter into a contract for a social impact pay for performance contract
project under
paragraph
(1)
after the date that is 10 years after the date of the enactment of this
subtitle and shall not obligate any funds made available under section
2057(a) after such date.
(d)
Not later than 30 days after entering into a contract under this section, the Secretary shall
publish a notice in the Federal Register that includes, with regard to
such contract, the following:
(1)
The outcome goals of the social impact pay for performance contract project.
(2)
A description of each intervention in the project.
(3)
The target population that will be served by the project.
(4)
The expected social benefits to participants who receive the intervention and others who may be
impacted.
(5)
The detailed roles, responsibilities, and purposes of each Federal, State, or local government
entity, intermediary, service provider, independent evaluator, investor,
or other stakeholder.
(6)
The payment terms, the methodology used to calculate outcome payments, the payment schedule, and
performance thresholds.
(7)
The project budget.
(8)
The project timeline.
(9)
The project eligibility criteria.
(10)
The evaluation design.
(11)
The metrics that will be used to determine whether the outcomes have been achieved and how these
metrics will be measured.
(12)
The estimate prepared by the State or local government of the savings to the Federal, State, and
local government, on a program-by-program basis and in the aggregate, if
the contract is entered into and implemented and the outcomes are
achieved.
2054.
Feasibility study funding
(a)
Requests for funding for feasibility studies
The Secretary shall reserve a portion of the funding provided in section 2057 to assist States or
local governments in developing feasibility studies required by section
2052. To be eligible to receive funding to assist with completing a
feasibility study, a State or local government shall submit an application
for feasibility study funding containing the following information:
(1)
A description of the outcome goals of the social impact pay for performance contract project.
(2)
A description of the intervention, including anticipated program design, target population, an
estimate regarding the number of individuals to be served, and setting for
the intervention.
(3)
Evidence to support the likelihood that such intervention will produce the desired outcome.
(4)
The expected social benefits to participants who receive the intervention and others who may be
impacted.
(5)
Estimated costs to conduct the project.
(6)
Estimates of Federal, State, and local government savings and other savings if the project is
implemented and the outcomes are achieved.
(7)
An estimated timeline for implementation and completion of the project, which shall not exceed 10
years.
(8)
With respect to a project for which the State or local government selects an intermediary to
operate the project, any partnerships needed to successfully execute the
project and the ability of the intermediary to foster such partnerships.
(9)
The expected resources needed to complete the feasibility study for the State or local government
to apply for social impact pay for performance contract funding under
section 2052.
(b)
Federal selection of applications for feasibility study
Not later than 6 months after receiving an application for feasibility study funding under
subsection (a), the Secretary, in consultation with the Federal
Interagency Council on Social Impact Pay for Performance Contracts and the
head of any
Federal
agency administering a similar intervention or serving a population
similar to that served by the project, shall select State or local
government feasibility study proposals for funding based on the following:
(1)
The likelihood that the proposal will achieve the desired outcome.
(2)
The value of the outcome expected to be achieved.
(3)
The potential savings to the Federal Government if the social impact pay for performance contract
project is
successful.
(4)
The potential savings to the State and local governments if the project is successful.
(c)
Not later than 30 days after selecting a State or local government for feasibility study funding
under this section, the Secretary shall publish on the
website of the Federal Interagency Council on Social Impact Pay for
Performance
Contracts
information explaining why the State or local government was granted
feasibility study funding.
(d)
Funding restrictions; no guarantee of funding
(1)
Feasibility study restriction
The Secretary shall not provide feasibility study funding under this section for more than 50
percent
of the estimated total cost of the feasibility study reported in the State
or local government application submitted under subsection (a).
(2)
Of the total amount appropriated under section 2057, the Secretary shall not use more than
$10,000,000 to provide feasibility study funding to States or local
governments under this section.
(3)The Secretary shall have the option to award no funding under this section.
(e)
Submission of feasibility study required
Not later than 6 months after the receipt of feasibility study funding under this section, a
State or local government receiving such funding shall complete the
feasibility study and submit the study to the Federal Interagency Council
on Social Impact Pay for Performance Contracts.
2055.
(a)
For each State or local government awarded a social impact pay for performance contract project
approved by the
Secretary
under this subtitle, the head of the relevant agency, as determined by the
Federal Interagency Council on Social Impact Pay for Performance
Contracts, shall enter
into a
contract with such State or local government to pay for the independent
evaluation required under section 2053(a)(2) to determine whether the
State or local government project has
met an outcome specified in the contract in order for the State or local
government to receive outcome payments under this subtitle.
(b)
The head of the relevant agency may not enter into a contract with a State or local government
under subsection (a) unless the head determines that the evaluator is
independent of the other
parties to the contract and has demonstrated substantial experience in
conducting rigorous evaluations of program effectiveness including, where
available and appropriate, well-implemented randomized controlled trials
on the
intervention or similar interventions.
(c)
(1)Subject to paragraph (2), the evaluation used to determine whether a State or local government will
receive outcome payments
under this subtitle shall, to the extent practicable, use methodologies
based on experimental
designs using random assignment,
or, when random assignment is not feasible or appropriate, other reliable,
evidence-based research methodologies, as certified by the Federal
Interagency Council on Social Impact Pay for Performance Contracts, that
allow for the
strongest possible direct,
causal inferences.(2)In determining whether an outcome has been achieved, the evaluation methodology selected under
paragraph (1) shall not consider indirect potential savings to the Federal
Government that may be realized from increased income, employment, output,
or other economic measures derived
from multiplier effects external to the outcome metrics upon which
contract payments are based.(3)Application of Executive Order 13563Executive Order 13563 (76 Fed. Reg. 3,821; relating to regulatory review) shall not apply to the
development and selection of methodologies under this subsection.
(d)
(1)
The independent evaluator shall—
(A)
not later than 2 years after a project has been approved by the Secretary and biannually
thereafter until the project is concluded, submit to the head of the
relevant agency and the Federal Interagency Council on Social Impact Pay
for Performance
Contracts
a written report summarizing the progress that has been made in achieving
each outcome specified in the contract; and
(B)
at the scheduled time of the first outcome payment and at the time of each subsequent payment,
submit to the head of the relevant agency and the Federal Interagency
Council on Social Impact Pay for Performance Contracts a written report
that includes
the
results
of the evaluation conducted to determine whether an outcome payment should
be made along with information on the unique factors that contributed to
achieving or failing to achieve the outcome, the challenges faced in
attempting to achieve the outcome, and information on the improved future
delivery of this or similar interventions.
(2)
Not later than 30 days after receipt of the written report pursuant to paragraph (1)(B), the
Federal Interagency Council on Social Impact Pay for Performance Contracts
shall submit
such
report to each committee of jurisdiction in the House of Representatives
and the Senate.
(e)
(1)
Within 6 months after the social impact pay for performance contract project is completed, the
independent
evaluator
shall—
(A)
evaluate the effects of the activities undertaken pursuant to the contract with regard to each
outcome specified in the contract; and
(B)
submit to the head of the relevant agency and the Federal Interagency Council on Social Impact Pay
for
Performance
Contracts a written report that includes the results of the evaluation and
the
conclusion of the evaluator as to whether the State or local government
has fulfilled each obligation of the contract, along with information on
the unique factors that contributed to the success or failure of the
project, the challenges faced in attempting to achieve the outcome, and
information on the improved future delivery of this or similar
interventions.
(2)
Not later than 30 days after receipt of the written report pursuant to paragraph (1)(B), the
Federal Interagency Council on Social Impact Pay for Performance Contracts
shall submit
such
report to each committee of jurisdiction in the House of Representatives
and the Senate.
(f)
Limitation on Cost of Evaluations
Of the amount made available for social impact pay for performance contract projects in section
2057, the
Secretary may
not
obligate more than 15 percent of such amount to evaluate the
implementation and outcomes
of such projects.
2056.
Federal Interagency Council on Social Impact Pay for Performance Contracts
(a)
There is established the Federal Interagency Council on Social Impact Pay for Performance Contracts
(in this
section,
referred to as the Council
). The duties of the Council shall be to—
(1)
coordinate the efforts of social impact pay for performance contract projects funded by this
subtitle;
(2)
advise and assist the Secretary in the development and implementation of such projects;
(3)
advise the Secretary on specific programmatic and policy matter related to such projects;
(4)
provide subject-matter expertise to the Secretary with regard to such projects;
(5)
ensure that each State or local government that has entered into a contract with the Secretary for
a social impact pay for performance contract project under this subtitle
and each
evaluator
selected by the head of the relevant agency under section 2055 has access
to Federal administrative data to assist the State or local government and
the evaluator in evaluating the performance and outcomes of the project;
(6)
provide guidance to the executive branch on the future of social impact pay for performance
contract projects in
the United
States;(7)review State and local government applications for social impact pay for performance contract
projects to ensure
that
contracts will only be awarded under this subtitle when rigorous,
independent data and reliable, evidence-based research methodologies
support the conclusion that a contract will yield savings to the Federal
Government that are
equal to or greater than the size of the outlay through the contract
before such applications are approved by the Secretary;(8)certify, in the case of each approved social impact pay for performance contract project, that the
project will
yield a
projected savings to the Federal Government, and coordinate with the
relevant
Federal agency to produce an after-action accounting once the project is
complete to determine the actual Federal savings realized, and the extent
to which actual savings aligned with projected savings; and(9)provide oversight of the actions of the Secretary and other Federal officials under this subtitle,
and report periodically to Congress and the public on the implementation
of this subtitle.
(b)
(1)The President of the United States shall select 3 members of the Council, at least 1 of whom shall
be an official of the Department of the Treasury and at least 1 of whom
shall
not be an employee of the Federal Government. The President shall
designate 1 of these 3 members as the Chair of the Council. The Chair
shall serve for a term of 7 years, and the other members selected by the
President shall serve terms of 4 and 6 years. The President shall
determine which member serves 4 years and which serves 6 years.(2)In addition to the 3 members appointed under paragraph (1), the Council shall be further composed
of the following 8 members:(A)1 member selected by the President of the United States from a list of candidates provided by the
Majority Leader of the Senate;(B)1 member selected by the President from a list of candidates provided by the Minority Leader of the
Senate;(C)1 member selected by the President from a list of candidates provided by the Speaker of the House
of Representatives;(D)1 member selected by the President from a list of candidates provided by the Minority Leader of the
House of Representatives;(E)1 member selected by the President from a list of candidates provided by the Chairman of the
Committee on Finance of the Senate;(F)1 member selected by the President from a list of candidates provided by the Ranking Member of the
Committee on Finance of the Senate;(G)1 member selected by the President from a list of candidates provided by the Chairman of the
Committee on Ways and Means of the House of
Representatives; and(H)1 member selected by the President from a list of candidates provided by the Ranking Member of the
Committee on Ways and Means of the House of
Representatives.(3)The membership of the Council shall consist of individuals who—(A)are experienced in finance, economics, pay for performance finance or statistics;(B)have relevant professional or personal experience in a field related to 1 or more of the outcomes
listed in section 2052(b); and(C)are qualified to review applications for social impact pay for performance contract projects to
determine whether
the proposed metrics and evaluation methodologies are appropriately
rigorous and reliant upon independent data and evidence-based research.(4)(A)With respect to the candidate lists described in paragraph (2), the designated member of Congress
shall provide a list of candidates to the President not later than 90 days
after the date of the enactment of this subtitle, or, in the event of a
vacancy, not later than 90 days after the date upon which the vacancy
arises. If a member of Congress fails to provide a list of candidates to
the President by such date, the President may select a member of the
President's choice on behalf of such member of Congress.(B)All appointments of the members of the Council shall be made not later than 120 days after the date
of
the enactment of this subtitle. Notwithstanding the preceding sentence, if
not all appointments have been made to the Council as of such date, the
Council may operate with fewer than all 11 members until all appointments
have been made.(5)(A)The members appointed under paragraph (2) shall serve as follows:(i)2 members shall serve for 3 years.(ii)2 members shall serve for 4 years.(iii)2 members shall serve for 5 years.(iv)2 members shall serve for 6 years.(B)The Council shall designate the term length that each member appointed under paragraph (2) shall
serve by unanimous agreement. In the event that unanimous agreement cannot
be reached, term lengths shall be assigned to such members by a random
process.(6)(A)Subject to subparagraph (B), in the event of a vacancy in the Council, whether due to the
resignation of a member, the expiration of a member's term, or any other
reason, such vacancy shall be filled in the manner in which the original
appointment was made and shall not affect the powers of the Council.(B)Political party balance ruleIf the member of Congress required to provide a list of candidates under paragraph (2) to fill a
vacancy in a position in accordance with this paragraph is not of the same
political party as the member of Congress providing the list of candidates
for the original appointment to such position, the list of candidates to
fill such vacancy shall be provided instead by the member of the other
political party occupying the corresponding position in the House of
Congress or congressional committee concerned.(7)Members
of the Council appointed under this section shall not be subject to
confirmation by the Senate.(c)(1)The Council shall file a charter that meets the requirements of section 9(c) of the Federal
Advisory Committee Act (5 U.S.C. App.) with the Secretary. Such charter
shall be published on the website the Council is required to establish
under section 2058.(2)Section 10 of the Federal Advisory Committee Act (5 U.S.C. App.), other than subsections (e) and
(f), shall apply to the Council.(3)Section 11 of the Federal Advisory Committee Act (5 U.S.C. App.) shall apply to the Council.(4)Members of the Council—(A)shall not receive compensation for service on the Council; and(B)shall be allowed travel expenses, including per diem in lieu of subsistence, at rates authorized
for employees of agencies under subchapter I of chapter 57 of title 5,
United States Code, while away from their homes or regular places of
business in the performance of service for the Council.(d)The Council shall liaise, as needed, with officers or employees of each Federal agency that becomes
involved with the social impact pay for performance contract selection and
obligation
process
who are designated by the head of the agency to serve as liaison to the
Council.(e)Nothing in this section shall give the Council the authority to abrogate a contract entered into by
the Secretary under section 2053, or any payment associated with such
contract that is payable under such section.
2057.
(a)
Out of any money in the Treasury not otherwise appropriated, there is hereby appropriated
$300,000,000 to remain available until 10 years after the date specified
in section 2053(c)(3) to carry out the activities authorized under this
subtitle. Amounts appropriated under this subsection that are unobligated
as of such date shall be
rescinded on such date, except that the Secretary may retain an amount not
to exceed $6,000,000 for an additional 3 years for purposes of carrying
out functions necessary to administer contracts that were awarded under
this subtitle prior to such date.
(b)
Of the amounts made available under subsection (a), the Secretary may not use more than $3,000,000
in any fiscal year to support the review, approval, and oversight of
social impact pay for performance contract projects, including activities
conducted by—
(1)
the Federal Interagency Council on Social Impact Pay for Performance Contracts; and
(2)
any other agency consulted by the Secretary before approving a social impact pay for performance
contract project
or a
feasibility study under section 2054.
2058.
The Federal Interagency Council on Social Impact Pay for Performance Contracts shall establish and
maintain a
public
website that shall display the following:
(1)
A copy of, or method of accessing, each notice published regarding a social impact pay for
performance contract
project
pursuant to this subtitle.
(2)
For each State or local government that has entered into a contract with the Secretary for a social
impact pay
for performance contract project, the website shall contain the following
information:
(A)
The outcome goals of the project.
(B)
A description of each intervention in the project.
(C)
The target population that will be served by the project.
(D)
The expected social benefits to participants who receive the intervention and others who may be
impacted.
(E)
The detailed roles, responsibilities, and purposes of each Federal, State, or local government
entity, intermediary, service provider, independent evaluator, investor,
or other stakeholder.
(F)
The payment terms, methodology used to calculate outcome payments, the payment schedule, and
performance thresholds.
(G)
The project budget.
(H)
The project timeline.
(I)
The project eligibility criteria.
(J)
The evaluation design.
(K)
The metrics used to determine whether the proposed outcomes have been achieved and how these
metrics are measured.
(3)
A copy of the progress reports and the final reports relating to each social impact pay for
performance contract
project.
(4)
An estimate of the savings to the Federal, State, and local government, on a program-by-program
basis and in the aggregate, resulting from the successful completion of
the social impact pay for performance contract project.
(5)A copy of the Council's charter.
2059.
The Secretary, in consultation with the Federal Interagency Council on Social Impact Pay for
Performance
Contracts, may
issue regulations as necessary to carry out this subtitle.
2060.(a)The Comptroller General of the United States may audit the
activities of any State, local government, or nongovernmental entity that
receives funds under this subtitle.(b)
(1)Notwithstanding any other provision of law, the
Comptroller General shall, upon request and at such reasonable time and in
such
reasonable form as the Comptroller General may request, have access to—
(A)any records or
other information under the control of or used by any State, local
government, or nongovernmental entity that receives funds under this
subtitle;
(B)any records or
other information under the control of a person or entity acting on behalf
of
or under the authority of a State, local government, or nongovernmental
entity that receives funds under this subtitle, to the extent that such
records or
other
information is relevant to an audit under subsection (a); and
(C)the officers,
directors, employees, financial advisors, staff, working groups, and
agents and
representatives of any State, local government, or nongovernmental entity
that receives funds under this subtitle (as related to the activities on
behalf of
such State, local government, or nongovernmental entity of such agent or
representative), at such reasonable times as the
Comptroller General may request.
(2)The
Comptroller General may make and retain copies of such books, accounts,
and
other records, access to which is granted under this section, as the
Comptroller General considers appropriate.2061.
In this subtitle:
(1)
The term agency has the meaning given that term in section 551 of title 5, United States Code.
(2)
The term intervention means a specific service delivered to achieve an impact through a social impact pay for
performance contract
project.
(3)
The term Secretary means the Secretary of the Treasury.
(4)
Social impact pay for performance contract project
The term social impact pay for performance contract project means a project that finances social services using a social impact pay for performance contract
model.
(5)
Social impact pay for performance contract model
The term social impact pay for performance contract model means a method of financing social services in which—
(A)
Federal funds are awarded to a State or local government only if a State or local government
achieves certain outcomes agreed upon by the State or local government and
the Secretary; and
(B)
the State or local government coordinates with service providers, investors (if applicable to the
project), and (if necessary) an intermediary to identify—
(i)
an intervention expected to produce the outcome;
(ii)
a service provider to deliver the intervention to the target population; and
(iii)
investors to fund the delivery of the intervention.
(6)
The term State means each State of the United States, the District of Columbia, each commonwealth, territory or
possession of the United States, and each federally recognized Indian
tribe.
.3.Community Reinvestment ActSection 804 of the Community Reinvestment Act of 1977 (12 U.S.C. 2903) is amended by adding at the
end the following:(e)Social impact pay for performance contract projectsIn assessing and taking into account, under subsection (a), the record of a financial institution,
the appropriate Federal financial supervisory agency shall consider, as a
factor, investments made by the financial institution in social impact pay
for
performance
contract projects under subtitle C of title XX of the Social Security Act..