SS16084 Entrenched Rough Sleeping Social Impact Bond (East Kent)

SS16084 Entrenched Rough Sleeping Social Impact Bond (East Kent)
Kent County Council (KCC) has secured funding from the Department for Communities and Local Government (DCLG) to commission a Social Impact Bond (SIB) to drive innovative approaches to tackling entrenched rough sleeping.
There is a growing recognition that if long term social needs are to be addressed in a difficult financial climate, it is critical to ensure services are more focused on the social outcomes they seek to achieve through exploring a range of flexible delivery models.
SIBs are designed to help reform public service delivery and are designed to improve the social outcomes of publicly funded services by making funding conditional on achieving results. Investors pay for the project at the start, and then receive payments based on the results achieved by the project
This programme is centrally funded by the DCLG who have set the outcomes and associated payment rates to release funds on a payment-by results basis when outcomes are achieved. All requirements and outcomes can be found in the Outline Specification.
KCC is procuring a service based on achieving these outcomes, giving the service Providers ultimate flexibility to innovate in delivery in order to best achieve the predetermined results. Once outcomes are achieved, and reported back by KCC, funding is released down to Service Providers, who in turn repay any Investor/s.
Providers must either fund this Payment by Results model through third party investment or with their own reserves. Any Providers proposing to fund the model must evidence and demonstrate both the necessary upfront start-up costs and overall sustainability. Both these options are evaluated at this initial stage.
The ¬target Cohort Size of Entrenched Rough Sleepers (ERS) is anticipated as 155; this is the number identified in 2015/16 within the four local authority areas of East Kent. This number is not necessarily fixed, it is an estimate for service delivery, and may change as service users are engaged with by the successful Provider.
The service is expected to commence in October 2017 with referring ERS into the programme within the first 12 months of delivery (October 2018). The average funding received for an ERS is £9,000 with a maximum of £19,000. The final date to report outcomes is the third quarter of 2020. The Total Outcome Payment is £1,455,692.
KCC is inviting Providers to express an interest in this opportunity to access the Outline Specification, Rate Card and associated Outcomes and a Pre-Qualification Questionnaire. These documents contain all submission requirements necessary to proceed to the next stage.