HUD – Pay for Success Permanent Supportive Housing Demonstration (2016)

Applications Due: February 12, 2016, 11:59 p.m. Eastern Time


The purpose of the Pay for Success (PFS) Demonstration is to strengthen communities’ ability to prevent and end homelessness and reduce avoidable incarceration by increasing the provision of Permanent Supportive Housing (PSH), a proven evidence-based practice. The PFS Demonstration is an opportunity to equip communities with a new financing mechanism for funding PSH projects that will prevent returns to homelessness and reduce recidivism among the reentry population. The PFS Demonstration is also a valuable opportunity to test ways of achieving greater cost-effectiveness in providing homeless assistance while expanding communities’ access to available funding for PSH.

PFS strategies are often public-private arrangements that enable a government to test or expand innovative programs while paying only for those that achieve agreed-upon target outcomes. PFS strategies are typically associated with preventive social solutions and are put in action through PFS contracts between a government (or other payor for social outcomes) and a nonprofit social service provider. PFS contracting models involve payors and service providers who agree that all or some portion of payment for services will not be paid until an agreed-upon set of outcomes or level of impact has been verified. Such payments for outcomes are known as success payments. Achievement of outcomes is typically verified by an independent evaluator agreed upon by all parties to a transaction.

Funding Title: Pay for Success Permanent Supportive Housing Demonstration

Agency Name:  U.S. Department of Housing and Urban Development (HUD)

Funding Opportunity Number: FR-5900-N-26

Funding Instrument Type: Cooperative Agreement

Express Language for Legal Aid: No

Target Population:  Reentry population/ the most vulnerable people or people who are high utilizers of health and human services systems.

Expected Number of Awards: 6

Cost Sharing or Matching Requirement: No

How to Apply:    

  • Electronic Application. Applicants must download both the Application Instruction and the Application Package from To ensure that the correct Application Package and Application Instructions are used, applicants must verify that the CFDA Number and CFDA Description on the first page of the Application Package, as well as the Opportunity Title, and the Funding Opportunity Number match the Program and NOFA to which they are applying. Applications will only be considered for the competition indicated on the submission.
  • Paper Application. Applicants demonstrating good cause including but not limited to a lack of available Internet access in the geographic area in which their business offices are located may request a waiver of the electronic submission requirement. Each Program NOFA will include instructions on how to request a waiver and receive a paper copy of the application materials.

Current Closing Date for Applications: February 12, 2016, 11:59 p.m. Eastern Time

Estimated Total Program Funding: $8,679,000

Award Ceiling: $1,300,000

Award Floor:  $0

Eligible Applicants: Private institutions of higher education Nonprofits that do not have a 501(c)(3) status with the IRS, other than institutions of higher education Public and State controlled institutions of higher education Nonprofits having a 501(c)(3) status with the IRS, other than institutions of higher education

Link to Full Information: Here

Contact Information:

Questions regarding this notice are to be directed to the Office of Strategic Planning and Management, Grants Management Division, Department of Housing and Urban Development, 451 7th Street, SW, Room 3156, Washington, DC 20410-3000, telephone number (202) 708-0667. This is not a toll-free number.

Persons with hearing or speech impairments may access this number via TTY by calling the Federal Relay Service at 1-800-877-8339.

Categories: Education Organizations, Homeless, Housing, Housing and Urban Development, Non-profit Organizations, Subgrant Possibilities

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