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Denver seeking $8.7M to house the homeless

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Posted at 7:20 AM, Jan 12, 2016
and last updated 2016-01-12 09:20:27-05

Denver officials on Tuesday will unveil long-awaited details of a novel $8.7 million "social impact bond" contract that would draw on private dollars to house and rehabilitate 250 of its most chronically homeless.

In the proposed arrangement, investors providing startup money to the city could earn back as much as $11.7 million — including up to $3 million in bonuses — or they could lose out on full repayment.

It all would depend on how well the program keeps participants out of jail, the emergency room, detox and other costly services in the next five years — saving the city millions of dollars a year. Each client would get housing and a case manager along with mental health or drug counseling, if needed.

A City Council committee on Tuesday morning will get its first look at Denver's negotiated arrangement with a contracting team to be led by the Corporation for Supportive Housing and Enterprise Community Partners, both nonprofits.

But some details will remain shrouded until the council receives the final contract in coming weeks, before its likely vote on the deal Jan. 25.

Read more about who would pay for the program from our partners at The Denver Post.