This public-private partnership is enabling innovation despite the city’s challenging financial situation.
STANDING UP FIRST
The crisis facing black and Latino young men is serious and demands attention.
New York City’s Young Men’s Initiative is the nation’s most comprehensive effort to tackle the broad disparities slowing the advancement of black and Latino young men. Bloomberg Philanthropies’ support is increasing educational, employment, and mentoring opportunities in New York City, and finding new ways to change the trajectory of young lives.
APPLYING THE BLOOMBERG PHILANTHROPIES APPROACH TO ADDRESS DISPARITIES BETWEEN YOUNG BLACK AND LATINO MEN AND THEIR PEERS
Young Men’s Initiative at Work
BROAD DISPARITIES ARE SLOWING THE ADVANCEMENT OF BLACK AND LATINO YOUNG MEN
Though the population of men ages 18-24 is roughly divided among whites, blacks, and Latinos in New York City, their outcomes couldn’t be more different.
Across the five boroughs, black and Latino young men have a poverty rate that is 50% higher than white and Asian young men; their unemployment rate is 60 percent higher; they are two times more likely not to graduate from high school; and they are more likely to become teen fathers. Worst of all, more than 90 percent of young murder victims and perpetrators are black and Latino.
Young Men’s Initiative – Call to Action
AN UNPRECEDENTED EFFORT TO TACKLE THESE CHALLENGES, BACKED BY A SIGNIFICANT PUBLIC-PRIVATE PARTNERSHIP
Mike Bloomberg announced the Young Men’s Initiative in August 2011. The Young Men’s Initiative, or YMI, is the nation’s most comprehensive effort to tackle the broad disparities slowing the advancement of black and Latino young men. It is backed by a powerful partnership between Bloomberg Philanthropies, the City of New York, and the Open Society Foundations.
Through broad policy changes and agency reforms, this public-private partnership is investing more than $127 million in programs to connect young black and Latino men in New York City to educational, employment, and mentoring opportunities across more than a dozen city agencies.
The Young Men’s Initiative has four key areas of focus: education, the justice system, employment, and health.
Narrowing the achievement gap in educational outcomes by removing barriers, creating new strategic investments designed to inform the entire system about how to better serve black and Latino males, launching innovative programming to support young people in their educational journeys, and promoting accountability throughout the Department of Education.
THE JUSTICE SYSTEM
Improving outcomes for black and Latino males in the justice system by reforming how New York City serves its juveniles and removing barriers to the very things—employment, education, civic engagement—that will help people with criminal records turn the page in their lives.
Promoting employment by removing barriers faced by black and Latino males in the pursuit of work, transforming the culture of public housing authorities to support connections to employment, and creating public-private partnerships that provide summer jobs for young people.
Improving the health of black and Latino youth and their families by reducing barriers to engagement by fathers, making sure that young black and Latino males have access to health care services, promoting more mentoring opportunities, and taking a public health approach to violence prevention.
Young Men’s Initiative – Thoughts
ENCOURAGING RESULTS AND INNOVATIVE FINANCING
Bloomberg Philanthropies helped structure and fund the nation’s first Social Impact bond to finance a new evidence-based intervention to reduce the reincarceration rate among young people on Rikers Island (a city jail).
This innovative public-private partnership financing model unlocks a new source of capital for social change.
For this initial effort, Goldman Sachs is fully funding the intervention for youth with an investment that is structured as a loan to MDRC, a leading nonprofit organization. MDRC has contracted with the city to ensure that the intervention is successfully implemented. Bloomberg Philanthropies is backing a portion of Goldman Sachs’ loan with a $7.2 million grant to MDRC over that same four-year period, which will be held as a guarantee.
This initiative aligns with the Mayors Project goal to spread proven and promising ideas among cities. Lessons learned from the nation’s first social impact bond will be shared with other jurisdictions who are eager to test the approach.
HERE’S HOW IT WORKS:
- Private investors enter into a contract with a nonprofit intermediary to fund a program’s delivery and operations
- The nonprofit intermediary contracts with government to provide the program services
- The government commits to paying the investors back (through the intermediary) with interest if designated social outcomes are achieved that generate taxpayer savings