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Moving to Need: The Effect of Federal Contracts on Service Provider Location

Never Brent () and Westberg Drew ()
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Never Brent: Department of Public Affairs, University of Missouri – Kansas City, Bloch 307 5100 Rockhill Rd 5100 Rockhill Road, Kansas City, Missouri64110, USA
Westberg Drew: The Stead Department of Business Administration and Economics, Coe College, Cedar Rapids, Iowa, USA

Nonprofit Policy Forum, 2017, vol. 8, issue 2, 147-164

Abstract: Place matters, particularly when one considers human services. Proximity to individuals served is particularly important in those human services dedicated to people with low mobility or elevated fears of difference. Our project aims to explore the location decisions of job placement and training nonprofits at a national level. Relying on four separate data sets - 990 data from the National Center of Charitable Statistics, federal contracting from the Federal Audit Clearinghouse, and American Community Survey data at the census tract level - we analyze nonprofit movement from 2008–2012 and assess the impact of federal contracts on the prevalence to move. This analysis finds that federal contracts played a powerful but double-edged role in redistributing job placement and training agencies. First, federal contracts seem to have helped nonprofits move to ‘better’ neighborhoods post-recession. Second, and somewhat contradictory, we also find that post-recession these same agencies were located in far worse neighborhoods than non-contracted counterparts that also moved during the recession.

Keywords: contracting; human services (search for similar items in EconPapers)
Date: 2017
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DOI: 10.1515/npf-2017-0008

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