The Early Childhood Education Project being carried out by the United Way of Salt Lake (UWSL), client of Social Solutions Global, has achieved an incredible success rate for reducing special education services for at-risk students. 109 out of 110 Utah students have avoided special education services after receiving access to high-quality preschool.
This county-level pay-for-success project is one of the earliest models in the United States to demonstrate success. This approach to securing program funding, popular in Europe, began just three years ago in the US. You can learn more about UWSL and the outcomes of their Early Childhood Education Project here.
The pay-for-success model uses social impact bonds (SIB), allowing private investors to shoulder the risk by financing new human service programs, rather than the local government. If the program fails, the local government is not responsible for making up lost funds and no taxpayer money is lost.
“We are excited to see how the United Way of Salt Lake has successfully used their Social Impact Bond,” said Greg Johnson, Chief Operating Officer at Social Solutions. “They are paving the way for nonprofits to obtain funding from private firms, demonstrating that successful measurable outcomes can be obtained without the risk of losing federal funding.”