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Purpose of bill: To add to the growth of human service social enterprises, increase their fiscal
stability, and to create new jobs and revenue streams.
Social enterprises are quickly becoming a new and innovative model for human service
providers to create jobs for the people they serve and others, provide important job training
opportunities, and develop new revenue sources to support their missions. These social
enterprises strengthen the fibers of the state’s safety net by adding to the fiscal stability of
community-based nonprofit organizations.
This legislation seeks to provide support for human services social enterprises that are
developing products or services needed by the Commonwealth. This legislation defines a
human services social enterprise as “an activity or program that a) produces goods or services
as a means of creating jobs for participants in, or revenues to further, social service programs as
those programs are defined in section 1 of chapter 118G and b) is operated by an organization
that is established for nonprofit purposes…”
Award contracts valued at less than $25,000 to human service social enterprises.
State budget pressures will challenge proper funding for providers. Development of a SE will
provide greater opportunity for innovation and diminish dependency on state funds.
Concurrently, clients/consumers will learn new job skills and gain work readiness.
January 2011