CT SB00854

Repeals and replaces Section 4-68aa of the general statutes effective July 1, 2014 to establish a framework for outcome-based performance contracts between the state and social innovation investment enterprises.

Defines key terms including "savings" (reduction in state expenditures), "social innovation investment enterprise" (entity coordinating preventive social programs by nonprofits), and "outcome-based performance contract" (agreement establishing performance standards with investor returns contingent on meeting those standards).

Requires the Secretary of the Office of Policy and Management to obtain approval from the joint standing committees on human services and appropriations before entering outcome-based performance contracts, with a 30-day review period and a committee of conference process if committees do not concur.

Mandates outcome-based performance contracts include specific provisions such as conditioned payments based on quantifiable outcomes, ascending-scale returns tied to performance benchmarks, independent evaluation of achievement, and fiscal analysis of projected governmental savings.

Establishes a "social innovation account" within the General Fund to receive appropriations and gifts/grants, with moneys used to provide payments to social innovation enterprises and investors in accordance with outcome-based performance contracts.