ARLINGTON, VA; Jan. 21, 2015 – Accenture (NYSE: ACN) is offering to provide services and other support for state and local government “Pay for Success” (PFS) initiatives tied to U.S. federal government Social Innovation Fund (SIF) grants. The SIF Fund was created to foster a collaborative environment between nonprofits and state and local governments by offering innovative funding approaches for public sector social and human services programs. Accenture is supporting this initiative by offering services and technical guidance, including up to a total of $1 million worth of discounted services, to help nonprofit organizations and state and local government entities advance their PFS initiatives.
Pay for Success is an emerging approach leveraging Social Impact Bonds to attract philanthropic and other private funds to help achieve positive social services outcomes and reduce the need for government services in the future. The government only repays the investment when the agreed-upon outcomes are achieved. This innovative financing mechanism has the potential to attract significant new capital to address critical social needs and transform government’s approach to delivering some preventative services.
PFS initiatives at the federal government level are overseen by the White House Office of Social Innovation and Civic Participation.
“Accenture is part of the growing community spanning the public, private and nonprofit sectors focused on exploring and developing new approaches to funding government human services,” said Gary Glickman, managing director of Accenture’s Pay for Success initiatives. “Through our expertise in data infrastructure we can help lay the foundation for successful and sustainable Pay for Success initiatives, one of the emerging approaches to increasing human services funding and improving outcomes.”
In 2014, the federal government awarded $12 million to seven nonprofit organizations to provide technical assistance grants to state and local governments and nonprofit service providers interested in creating PFS projects. Accenture’s offer is designed to help state and local governments assess and develop the data infrastructure needed to support successful PFS deals. To the extent allowed under the grant agreements, Accenture’s contribution of services may assist state and local government grantees in meeting matching fund requirements.
“Accenture’s approach to Delivering Public Service for the Future strives to help government entities leverage new, innovative and transformative approaches to achieve their core mission objectives, and our work on Pay for Success is an important part of that framework,” said Pallavi Verma, managing director of Accenture’s U.S. state and local government practice.
“Accenture’s deep experience in harnessing data and analytics will contribute significantly to our collective ability to achieve better outcomes in Pay for Success projects,” said George Overholser of Third Sector Capital Partners. “We’re looking forward to working with them to help establish sustainable data infrastructures that can support Pay for Success now and in the future.”
Learn more about Accenture and Delivering Public Service for the Future.
Accenture is a global management consulting, technology services and outsourcing company, with approximately 319,000 people serving clients in more than 120 countries. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world’s most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. The company generated net revenues of US$30.0 billion for the fiscal year ended Aug. 31, 2014. Its home page is www.accenture.com.