Code of the District of Columbia

§ 2–211.02. Authorization of pay-for-success contracts.

Notwithstanding any other law, the Mayor may enter into pay-for-success contracts. Each contract shall include:

(1) A requirement that payment from the District be conditioned on the achievement of specific outcomes based on defined performance targets;

(2) An objective process by which an independent evaluator will determine whether the performance targets have been achieved;

(3) A detailed scope of the social service intermediary’s service under the contract;

(4) A calculation of the amount and timing of payments to the social service intermediary during each year of the contract if performance targets are achieved as determined by the independent evaluator;

(5) A requirement that the social service intermediary create a social impact funding instrument to obtain the funds required for the social program;

(6) A sinking fund requirement under which the Mayor shall request a multiyear appropriation for every fiscal year that the contract is in effect, in an amount equal to the expected payments that the District would ultimately be obligated to pay in the future based upon service provided, if performance targets were achieved pursuant to the terms of the contract;

(7) A process for the District to review payments made by the social service intermediary through reporting requirements pursuant to the contract; and

(8) A determination by the Mayor that the contract will result in significant performance improvements and budgetary savings to the District across all impacted areas if the performance targets are achieved.


(Feb. 26, 2015, D.C. Law 20-155, § 1133, 61 DCR 9990.)