Great news from California, adding to what has been a bumper week in SIB-world.
Meanwhile, the UK continues to debate the NGO/charity world in the aftermath of the damning National Audit Office report yesterday into the machinations of the opaque Kids’ Company charity which failed spectacularly after hoovering up some 50 million pounds ($75 million) of taxpayers’ money. While I know our British readers in NGOs are often unhappy to hear the truth – never has the third sector been more widely reviled, truly reviled – in that early adopter of modern charity, the UK. This is a sad and horrible reaction to the great work of so many good people who are overshadowed by the unaccountable placemen in some rather dubious operations (including several household names). Anyway, Fraser Nelson wades in today in his Daily Telegraph column – it’s worth reading as there needs to be a coherent response from the SIB community to move our product forward and make a better world. Yet, Nelson, who ought to be open to such ideas is seemingly unaware SIBs even exist. It’s early days but these are the sorts of influencers the movement requires…
Much happening in the sector, we’re working on some stuff behind the scenes to make a better structure too through our advisory practice. Have a great weekend, and stay optimistic, this is a world of opportunity for all.
Richmond, Calif. Readies New Type Of Social Impact Deal
Kyle Glazier – Bond Buyer
PHOENIX – California’s Richmond Community Foundation will pursue a new social impact bond vehicle with a $3 million private placement it hopes to close next month.
Officials involved in the deal said the foundation is close to finalizing the terms for nearby San Pablo, Calif.-based Mechanics Bank to purchase the entire $3 million principal. The city of Richmond is conduit issuer for the foundation.
Proceeds will be used to purchase and rehabilitate vacant homes for sale to qualified first-time homebuyers. The debt is backed by the revenue the foundation expects from the home sales.