The Department of Housing and Urban Development (HUD) and the Department of Justice (DOJ) have released a funding notice Pay for Success (PFS) Supportive Housing Demonstration. The program is a grant opportunity which offers up to $1.3 million per project in awards to create supportive housing. This PFS is designed to locate projects for formerly incarcerated individuals among other populations.
Pay for success programs are contracts between the service provider and the government in which agreed on outcomes are compensated with success payments when results are achieved. The HUD notice is below.
In 2010, the Obama Administration released Opening Doors: Federal Strategic Plan to Prevent and End Homelessness, in which federal partners set goals to end veteran and chronic homelessness by 2015, and end family and youth homelessness by 2020. However, there were still 84,291 individuals identified as chronically homeless in the United States in 2014. These individuals are persons with disabilities who experience long-term homelessness, and who typically cycle in and out of a variety of crisis services, including hospital emergency departments and inpatient stays, psychiatric centers, jails, and prisons. This cycling between services not only has negative impacts on health and well-being, but also incurs high costs to the public. Permanent supportive housing (PSH) is a proven solution to chronic homelessness, not only helping to increase housing stability and improvements in health, but also lowering public costs by stopping the revolving door between crisis services.
DOJ and HUD are partnering to advance Pay for Success (PFS), one promising model for financing services that can attract additional, non-traditional sources of funding. The Consolidated Appropriations Act, 2014 (Pub. L. 113-76) and the Consolidated and Further Continuing Appropriations Act, 2015 (Pub. L. 113-235) authorized DOJ to make funds available for a PFS initiative implementing the PSH model for a population continuously cycling between the criminal justice system and homeless services. DOJ and HUD entered into an interagency agreement that designates HUD as the agency responsible for implementing the PFS Demonstration, and through this NOFA, HUD is making $8,679,000 available.
Funding Opportunity Number: FR-5900-N-26 Opportunity Title: Pay for Success Competition ID: FR-5900-N-26 CFDA No.: 14.273 OMB Approval Numbers: 2506-0207 exp. 12/31/2015 Opening Date: October 15, 2015 Deadline Date: February 12, 2016 Grants.gov apply
CONTACT INFORMATION: Questions regarding the PFS Demonstration NOFA are to be directed to the Office of Special Needs Assistance Programs, HUD Headquarters, telephone number (202) 402-4350 (this is not a toll-free number) or Marlisa.M.Grogan@hud.gov. Questions regarding the 2015 NOFA General Section should be directed to the Grants Management Office (202) 708-0667 (this is not a toll-free number). Persons with hearing or speech impairments may access this number via TTY by calling the Federal Relay Service at (800) 877-8339. Questions concerning the General Section should be directed to the Office of Strategic Planning and Management, Grants Management and Oversight Division at (202) 708-0667 (this is not a toll-free number). Persons with hearing or speech impairments may access these numbers via TTY by calling the toll-free Federal Relay Service at 800-877-8339.
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