On December 3, 2014, Cuyahoga County announced the nation’s first pay-for-success initiative that will address the interrelated issues of homelessness and foster care. The initiative will provide $4 million in privately-funded housing and other supportive services to 135 homeless parents with children in the county’s foster care system. Repayments to the project’s philanthropic and other investors will be made by the county only if the initiative reduces out-of-home placements for foster children compared to the county’s current publicly-provided services.
This brief provides an overview of the initiative and its history, service array, evaluation, and financing.