97011.5.
(a) Upon appropriation of funds by the Legislature for deposit in the Social Innovation Fund, which is hereby created in the State Treasury, for the purposes of this section, the board shall award a grant in an amount of not less than one million dollars ($1,000,000) and not more than ten million dollars ($10,000,000) to each county selected pursuant to Section 97010.5 for the purposes of entering into a pay for success or social innovation financing contract. The total amount of the grants awarded pursuant to this section shall not exceed twenty-six million dollars ($26,000,000). Any unused state moneys shall revert to the General Fund.(b) Each county contract described in subdivision (a) shall include all of the following:
(1) A requirement that the payment be conditioned on specific outcomes based upon defined performance targets.
(2) An objective process by which an independent evaluator, selected by the county, will determine whether the performance targets have been achieved. This process shall include defined performance metrics and a monitoring plan.
(3) A calculation of the amount and timing of payments that would be earned during each year of the agreement if performance targets are achieved as determined by the independent evaluator.
(4) A determination by the county that the contract will result in significant performance improvements including reduction in rearrests, an increase in the number of jail days avoided, improved housing placement and stability, or other
beneficial impacts to the community, if the performance targets are achieved.
(5) A requirement that an amount equal to a minimum of 100 percent of the Social Innovation Financing Program grant awarded to the county be matched by other county, federal, private, or philanthropic funds. The board may adopt regulations allowing in-kind contributions in lieu of monetary contributions for this purpose.
(6) A clear description of the recruitment and selection process, as applicable, for participants in the social program.
(c) Up to 15 percent of the grant funds awarded pursuant to subdivision (a) may be used by the counties for administrative expenses related to the development of the pay for success or social innovation financing contract. The remainder of the grant shall be contributed toward payments, as stipulated in
the contract.
(d) If, after receiving a grant pursuant to subdivision (a), a county does not enter into a contract for which the grant was awarded, the county shall return all moneys awarded by the board pursuant to this section, to the state.
(e) (1) Up to 2 percent of the funds appropriated by the Legislature for purposes of this section may be used by the board to award microgrants to counties to support the development of the proposal described in Section 97010.5.
(2) The intent of the microgrant is to incubate new outcome-based contracting partnerships.
(3) A county board of supervisors interested in being considered for a microgrant pursuant to this subdivision shall submit a brief synopsis of their project including all of
the following:
(A) A summary of the challenges targeted by the project.
(B) A list of critical project partners.
(C) A description of the analysis to be conducted during the proposal development process and the source of data to be used in that analysis.