Zeiger introduces human services ‘pay for success’ bill


Rep. Hans Zeiger has introduced legislation which would engage private investors, philanthropists, human service providers, and state government in new partnerships to address major public policy issues.

House Bill 2337 would create the Washington Social Investment Committee to develop an implementation plan for a new public-private “pay for success” human services investment model.

The bill is scheduled for a public hearing in the House Early Learning and Human Services Committee on Monday, Jan. 27, at 1:30 p.m.

“The old bureaucratic models of solving problems have too often fallen short; we need to embrace creativity and innovation as we seek to address some of the most difficult issues before us,” said Zeiger, R-Puyallup. “It is time we engage the private sector in solving some of our biggest public problems.”

State and local governments across the country — Minnesota, Massachusetts, Utah, New York City and elsewhere—are adopting innovative “pay for success” programs, often called Social Impact Bonds. Social Impact Bonds allow private investors to fund projects focused on homelessness prevention, adult and juvenile recidivism reduction, early childhood development, mental health, disease prevention and more.

The Washington Social Investment Committee created under House Bill 2337 would develop a financing model and implementation plan for at least one pilot program that could be funded through private investments. “Potentially, investors could receive a return based on the success of the program in solving a problem and reducing costs to the state,” Zeiger said.

House Bill 2337 has strong bipartisan support in its sponsorship with more than 20 legislators signing on to the legislation.


Washington State House Republican Communications