News and Insights

2012 has been an extraordinary year for Third Sector Capital Partners and the field of Social Innovation Finance, one that will be remembered for its many firsts. Pay for Success and Social Impact Bonds have gained worldwide attention and are quickly taking root across the United States, with several tangible pilots under development.

We offer a huge thank you to every member of this growing community, each of whom has helped accelerate America’s transition to a performance-based social sector.

2012: A Year of Firsts

New York City launched the nation’s first Pay for

Cuyahoga County Partners with Third Sector Capital Partners on Pay for Success Pilot Procurement READ THE PRESS RELEASE Boston, MA and Cleveland, OH (November 2, 2012) – Cuyahoga County, OH became the first County government in the United States to release a Request for Responses (RFR) for a Pay for Success pilot. Third Sector Capital [...]

Third Sector CEO and Co-Founder George Overholser participated in a webcast hosted by the Council of Development Finance Agencies and BNY Mellon that focused on the rise of social impact bonds. Overholser was joined during this webcast by Navjeet Bal from Nixon Peabody and Deborah Burand from the University of Michigan to discuss how these [...]

Holder: New Anti-Crime Spending is “Investment” in Innovation
by Ted Guest – The Crime Report – October 2, 2012

With government funds for new initiatives scarce as a few federal fiscal year begins, the Obama administration has announced some potentially innovative spending aimed at preventing repeat criminality.

Describing what he called “investments […] designed to aid in the development, implementation, and expansion of proven strategies for intervention,” Attorney General Eric Holder told the International Association of Chiefs of Police convention in San Diego yesterday that the Justice Department is working “to improve public safety policies

Massachusetts Selects Third Sector Capital Partners
for First-in-the-Nation “Pay for Success” Contracts

Boston, MA (August 1, 2012) – The Commonwealth of Massachusetts announced today that it has selected Third Sector Capital Partners to develop its two groundbreaking Social Innovation Financing pilots, more commonly known as “Pay for Success” contracts. Massachusetts is the first state in the nation to issue a competitive process to obtain services using social innovation financing.

Third Sector will serve as lead intermediary, in partnership with New Profit Inc., for a youth recidivism initiative and as partner to the Massachusetts

“Mass. program ties nonprofits’ pay to success”
by Dan Adams – The Boston Globe – August 1, 2012

Two groups of nonprofit social service providers have been selected by the state to tackle chronic problems with homeless people and juvenile criminals under an innovative new program that will reward the agencies if they can prove their techniques work, or pay them little or even no money if they fail.

The program, called Social Innovation Financing, operates on a simple “pay for success” model, in which nonprofits must demonstrate that by keeping youth from being reincarcerated or