Rikers Island SIB
SIB Details
| Location | United States, New York |
| Commencement date | 1 August 2012 |
| Savings area | Recidivism |
| Bond Amount | US$9.6m |
| Bond terms (years) | 4 years |
Intervention Program
| Program description | Adolescent Behavioural Learning Experience (ABLE): Preventative education and counselling. |
| Treatment duration | Unclear. |
| Target population | 16-18 year olds released from prison. |
| Intervention cohort | Target Population members released from Rikers Island Prison. Up to 17,800 individuals over 4 years (9,240 minimum for contractual agreement). |
Outcome Measurement
| Metric | Recidivism bed days (RBD), which is the number of days youths spend in jail after their initial release, measured after 12 months and 24 months in the community. |
| Counterfactual | Historical comparison group that did not participate in program and matched for a range of factors. Adjusted for system level shifts using 19-20 yo cohort trends. |
| Outcome Calculation and Target | % reduction in RBD relative to counterfactual. Target 10% reduction. |
Contracting parties
| Government Agency | City of New York – Dept of Corrections |
| Service Provider | Osborne Association & Friends of Island Academy |
| Intermediary | MDRC |
| Evaluator | Vera Institute of Justice |
Investor details
| Investors | Goldman Sachs |
| Returns | Returns vary with RBD reduction: <8.5% – 25% principal lost (no govt payment) 8.5% – 25% principal lost (govt payments commence) 10% – breakeven (0% IRR) 11% – 1.2% IRR 12% – 1.5% IRR 13% – 1.9% IRR 16% – 3.3% IRR 20% – 5.1% IRRIRR figures estimated based on 4 year loan. Max profit is US$2.2m. |
| Capital protection | 75% principal protection provided by Bloomberg. |
Case Study
| Comments | Not a SIB that is targeted at a broad investor base. |
Download the Rikers Island SIB case study (PDF, 211KB)
