§1397n–2 Awarding social impact partnership agreements

Summary

The Secretary must decide within 6 months after getting an application whether to make a social impact partnership agreement with a State or local government. Before deciding, the Secretary talks with the Federal Interagency Council on Social Impact Partnerships and with other federal agencies that run similar programs. The decision will weigh things like the Commission’s recommendations, how valuable the expected results are to the federal government, how likely the partners are to reach those results, the expected savings for federal and state or local budgets, how good the project’s evaluation will be, and whether the government can keep the program going if it works. The Secretary may make an agreement only if several rules are met: the State or local government must promise to produce specific outcomes that an independent evaluator will verify; federal payments for each outcome must not exceed that outcome’s value to the federal government over up to 10 years; the project cannot last more than 10 years; prior strong studies must show the intervention can work; parties should have experience raising private funds if needed and delivering the services. Payments are made only after the independent evaluator confirms results. Within 30 days of signing, details of the project must be published publicly. The Secretary can give another federal agency the authority and funds to run the agreement. At least 50 percent of federal payments must go to projects that directly help children.