Bill Text: NY S04613 | 2019-2020 | General Assembly | Introduced

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Bill Title: Relates to creating the "New York state social impact bond initiative".

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2020-01-08 - REFERRED TO FINANCE [S04613 Detail]

Download: New_York-2019-S04613-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          4613
                               2019-2020 Regular Sessions
                    IN SENATE
                                     March 15, 2019
                                       ___________
        Introduced  by  Sen.  PARKER -- read twice and ordered printed, and when
          printed to be committed to the Committee on Finance
        AN ACT to amend the state finance law, in relation to creating the  "New
          York state social impact bond initiative"
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. Short title. This act shall be known and may  be  cited  as
     2  the "New York state social impact bond initiative".
     3    §  2.  The state finance law is amended by adding a new article 5-G to
     4  read as follows:
     5                                  ARTICLE 5-G
     6                NEW YORK STATE SOCIAL IMPACT BOND INITIATIVE
     7  Section 69-p. Legislative intent.
     8          69-q. Definitions.
     9          69-r. The New York state social impact bond task force.
    10          69-s. The duties and responsibilities of the task force.
    11          69-t. Social impact bond issuance.
    12    § 69-p. Legislative intent. It is the intent  of  the  legislature  to
    13  establish  a  statewide  pilot  program  modeled after the New York city
    14  social impact bond project to lower recidivism and improve the lives  of
    15  sixteen to eighteen year olds in New York's correctional facilities. The
    16  first  statewide  program of its kind in the United States, this program
    17  will create financing arrangements that aim to increase  funding  avail-
    18  able for preventative services through public-private partnerships.
    19    §  69-q.  Definitions.  "Social  impact  bond"  shall mean a financial
    20  arrangement between one or more  government  agencies  and  an  external
    21  organization that can be either a nonprofit or a for-profit entity.
    22    §  69-r.  The  New York state social impact bond task force. 1.  There
    23  shall be hereby established a permanent task force on the New York state
    24  social impact task force.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10628-01-9
        S. 4613                             2
     1    2. The task force shall have the goals of: (a) increasing  the  impact
     2  of  state funds granted or contracted to nonprofits and for-profits; (b)
     3  improving efficiency in the grant and contracting systems and  processes
     4  between  state government and nonprofits and for-profits for the purpose
     5  of  creating  a partnership to lower recidivism and improve the lives of
     6  sixteen to eighteen year olds in New York's correctional facilities.
     7    3. The task force shall consist of at least thirteen members: (a)  one
     8  of  whom  shall  be  appointed  by  the governor, who shall serve as the
     9  chair; (b) one of whom shall be appointed by the assembly  speaker;  (c)
    10  one  of whom shall be appointed by the assembly minority leader; (d) one
    11  of whom shall be appointed by the senate majority  leader;  (e)  one  of
    12  whom  shall  be appointed by the senate minority leader; (f) one of whom
    13  shall be appointed by the department of education; (g) one of whom shall
    14  be appointed by the department of criminal justices services; (h) one of
    15  whom shall be appointed by the comptroller; (i) one  of  whom  shall  be
    16  appointed  by  the  department  of  health;  (j)  one  of  whom shall be
    17  appointed by the department of labor; (k) one of whom shall be appointed
    18  by the office of mental health; (l) one of whom shall  be  appointed  by
    19  the office of children and family services; and (m) one of whom shall be
    20  appointed  by  the department of financial services.  Additional members
    21  may be appointed from state agencies as deemed necessary by  the  gover-
    22  nor.
    23    4.  Appointment of all members of the task force shall be completed no
    24  later than ninety days following the effective date of this article.
    25    5. The task force shall hold  its  first  meeting  no  more  than  one
    26  hundred fifty days following the effective date of this article.
    27    6. The task force shall meet at least five times each calendar year.
    28    7.  The  task  force  may  employ  additional  staff  or contract with
    29  consultants, including independent research organizations.
    30    § 69-s. The duties and responsibilities of  the  task  force.  1.  The
    31  members of the task force shall develop a public-private partnership and
    32  implement  a comprehensive, statewide social impact bond initiative with
    33  the purpose of: increasing the funding available for preventive services
    34  to lower recidivism and delinquency to improve the lives of  sixteen  to
    35  eighteen year olds, in or released from any type of correctional facili-
    36  ty.
    37    2.  The  public-private partnership as set forth in this section shall
    38  include  state  agencies  and  bodies  representing  juvenile   justice,
    39  corrections,  reentry,  recidivism, social services, education, economic
    40  development, and other relevant entities. The public entities within the
    41  partnership shall collaborate with  community  based  organizations  and
    42  relevant  private  sector  entities  such  as foundations, corporations,
    43  associations, and institutes to achieve such purposes.
    44    3. The members of the task force shall ensure that the  initiative  as
    45  set forth in this section shall include but not be limited to:
    46    (a) creating a geographic statewide inventory of juvenile services and
    47  other  relevant  corrections and justice services for the targeted popu-
    48  lation. The inventory shall:
    49    (i) define target programs and population;
    50    (ii) identify government agencies  that  service  the  targeted  popu-
    51  lation;
    52    (iii)  identify  the  potential nonprofit and for-profit organizations
    53  that service or may wish to service the targeted population;
    54    (iv) identify already existing targeted programs;
        S. 4613                             3
     1    (v) provide a baseline assessment of juveniles in the state  in  terms
     2  of  percentage of households with juveniles; and provide updates to such
     3  data annually; and
     4    (vi) acquire data on the cost of intervention and the ability to quan-
     5  tify cost savings;
     6    (b)  building  and facilitating a partnership that includes but is not
     7  limited to representatives of  business,  kindergarten  through  twelfth
     8  grade  education,  health care, mental health services, social services,
     9  libraries, higher  education,  community-based  organizations,  juvenile
    10  justice and local governments;
    11    (c)  developing a plan for achieving its goals with specific recommen-
    12  dations;
    13    (d) identifying such additional  public-private  partnership  projects
    14  that achieve the goals as set forth in this article.
    15    4.  The task force shall file annual reports to the governor's office,
    16  the speaker of the assembly, and the leader of the senate no later  than
    17  June first.
    18    5. The reports shall include, but not be limited to:
    19    (a) the activities of the task force;
    20    (b) the impact of the partnership on reducing juvenile delinquency and
    21  recidivism;
    22    (c) the impact of the partnership on the economy of the state; and
    23    (d)  any  recommendations  for  legislation, policy changes, or ad hoc
    24  commissions on further improving the social impact bond initiative.
    25    § 69-t. Social impact bond issuance.  1.  The  comptroller  may  issue
    26  bonds in accordance with the provisions set forth in this article.
    27    2.  The  comptroller  shall select an independent assessor in order to
    28  determine if the outcome has been achieved as agreed.
    29    3. The comptroller shall establish clear contractual terms when draft-
    30  ing a social impact bond agreement that binds all parties  to  predeter-
    31  mined outcomes, measurement methodologies, timeframes, and payment terms
    32  as set forth by the task force and independent assessor.
    33    4.  Each  social  impact  bond  agreement  shall  at minimum cover the
    34  following:
    35    (a) the responsibilities of both parties, including detailed  expecta-
    36  tions  establishing  a  working  relationship between the government and
    37  external organization;
    38    (b) the timeframe for the agreement and the population to be served;
    39    (c) the outcomes and how they will be measured;
    40    (d) the outcome payments, how they will be calculated and how and when
    41  they will be disbursed;
    42    (e) circumstances under which either party can terminate the agreement
    43  and mechanisms for an orderly dissolution of the social impact bond;
    44    (f) methods for resolving disputes between the parties; and
    45    (g) the external organization shall have the responsibility for struc-
    46  turing contracts with investors and service providers.
    47    § 3. This act shall take effect one year after it shall have become  a
    48  law.