Outcomes Financing 101

 

What if preventing problems was paid for?

 

Our long-term goal is for provincial, territorial and federal governments to fulfil their historical and present responsibilities by funding animal care and management services and infrastructure essential to community health and safety in rural and remote First Nations.

 

An outcomes fund could help us get there.

 

The idea is straightforward: private funding pays for work upfront. A purchaser, such as a government or foundation, agrees to pay for successful results once they have been verified by a neutral third party.

 

Why would a purchaser do that? Because they want those improvements to happen, with payment tied to evidence of success. For governments, that could mean improving equitable access to essential services and making public money go further: preventing injuries and recurring emergencies could cost less than responding to them.

 

What could that look like?

 

A hypothetical Community Animal Management example:

 

Imagine a Nation identifies fewer children being bitten by roaming dogs, safer walking through the community and more reliable access to veterinary care as priorities.

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A potential purchaser wants to support improvements in community health and safety. Together, they agree which results they will work towards, how those results will be checked and what the purchaser will pay for.

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The starting point is a shared goal, grounded in the Nation’s priorities.

 

Who comes up with the solutions?
The Nation leads, drawing on local knowledge and bringing in the expertise needed. Together, they might develop a plan that includes local staff, animal-care facilities, veterinary services and rules that reflect the Nation’s priorities.

 

Who pays to get things started?
Private funders, including donors or foundations, provide money upfront. That pays for the people, facilities and services needed to put the plan into practice.

 

Who checks whether it worked?
An independent evaluator, such as a university research team, examines the results. Everyone agrees beforehand on what success means and how to check it.

 

For example: are residents experiencing safer conditions? Can families get care for their animals more reliably? What evidence shows that the work helped?

 

Who buys those results?
A government, foundation or another outcomes purchaser that has agreed to pay for them. Once the results are verified, the purchaser pays. Depending on how the fund is set up, that money could repay the upfront funding or support further work.

 

Why take this approach?
It gives Nations and partners resources to act before all the results are known, while giving purchasers evidence of what their money achieved.

 

It could also help demonstrate why governments should fund effective services and infrastructure for the long term.

 

The idea at a glance

 

1. Find shared goals and agree on what success means.

2. Fund and carry out the work.

3. Independently check the results.

4. Pay for the results achieved, as agreed.

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The Nation leads throughout. Partners use what they learn to improve the work.

 

Where are we now?

 

We are developing and testing this approach with potential partners. We do not yet have an operating outcomes fund or a committed purchaser.

 

Activities still need funding

 

A clinic visit, a planning meeting or a training session is an activity. An outcome is the change that work helps achieve, such as more reliable access to care or safer use of community spaces.

 

Both matter. Staff, travel, facilities, equipment and evaluation all need funding. An outcomes approach can combine upfront grants, ongoing service funding and payments for verified results.

 

Outcomes financing is the broader idea of linking payment to agreed results. An outcomes fund is one way to organize it. Some arrangements involve investors; others use grants or philanthropic funding.

 

What makes a fair approach?

 

The Nation decides what matters.
Local priorities and the Nation’s own decisions guide the work and the meaning of success.

 

People have a say in how their information is used.
The Nation controls how community information is collected, used and shared, with consent from the people involved.

 

The measures tell an honest story.
We need to hear residents’ experiences and consider animal wellbeing. Fewer reports do not automatically mean fewer problems: reports can increase when people trust that someone will respond.

 

We ask what actually helped.
An evaluator considers other influences on results, rather than assuming every change came from the project.

 

Everyone understands the risks.
Partners agree in advance who carries the financial risk if progress is slower than expected or results are not achieved, and how continuity of care will be protected.

 

No one is left out to make the numbers look better.
Success should never depend on choosing only easy cases, hiding unmet needs or discouraging reports.

 

Common questions

 

Does this replace grants or public funding?
No. Grants and ongoing public funding remain important. Our aim is sustained support for essential services and infrastructure.

 

Does a Nation have to borrow money?
No. Borrowing by a Nation is not a requirement. Any proposed financial responsibilities would be discussed and agreed before work begins.

 

What if the results do not meet the agreement?
Some or all outcomes payments may not be made. That is why partners need to agree beforehand who carries the risk.

 

Does every improvement have to save money?
No. Better safety, wellbeing and access have value in their own right. Any claimed savings need evidence.

 

Can I invest in an Increased ACCESS fund now?
We are inviting conversations about developing the approach. We are not offering investment in an established fund, yet.

 

Explore further

 

Read our commentary, Outcomes Financing and Community Animal Management, for more about the thinking behind a possible fund.

 

Help shape the approach

 

Interested in research, funding or delivery partnerships? We welcome a conversation.

 

Discuss a partnership
info@increasedaccess.org

 

For a broader introduction, visit Working with Us.