A new concept, however worthy, is not likely to pass the first time it’s introduced.

This past summer, I read about social impact bonds.

These bonds seek to align the interests of investors with a desirable social outcome.   Typically, when the government contracts with a nonprofit, it makes payment based upon the volume of services delivered.  With a social impact bond, the bondholders pay the service provider and are reimbursed by the government only if the desired outcomes occur.

These programs originated in the United Kingdom, where they decreased recidivism rates.  Other states are experimenting with social impact bonds, with Massachusetts leading the way.

I introduced a bill that would require the State Board of Education to issue requests for proposals for social impact bonds.  I had attended a conference about pre-kindergarten services where these bonds were discussed.

I didn’t expect House Bill 517 to pass but hoped that the public hearing tomorrow would prompt the Ways and Means Committee to create a study group.

This weekend, I learned that a colleague already had that idea.

Delegate Waldstreicher’s legislation would establish a task force.  His bill is before the Appropriations Committee, which can pass his bill or include language in the budget bill to achieve the same objective.

I’ve withdrawn my bill and will testify beside Del. Waldstreicher.