Cross Sector Relationships

 

Frequently Asked Questions

Frequently Asked Questions: Section II

Section I: Understanding Local Government  
Section III: Building Effective Relationships

Section II: Understanding Nonprofits

Taken from: "A Primer on Nonprofits "(And Why Working Together is Good for Government and Communities) by Gita Gulati-Partee, with contributions from Kate McGuire and Emily Crowder

What is a nonprofit corporation?

A nonprofit corporation is a private corporation that works for the public's benefit. It is separate and independent from government. Churches, day care centers, arts programs, human services, and youth centers are examples of the many nonprofits with which we come into regular contact. Nonprofits receive tax-exempt status in exchange for providing a public benefit. Nonprofits may earn revenues, but they cannot distribute profits for private gain by individuals. Since nonprofits are guided by a specific mission, staff and volunteers focus their work on providing a specific public benefit. Governments may choose to contract with nonprofits to provide community services as a way of meeting their own public responsibilities.

What roles do nonprofits play in my community? Why do they matter?

We often think of nonprofits serving needy people - and they do. But nonprofits do much more than that. They help connect the community to the arts and culture, ensure public safety, help with economic development, and provide mental health and other social services. The nonprofit sector is having a growing positive impact at local, state, and national levels. As of October 2000, North Carolina has 29,337 nonprofit organizations. The scale and scope of the nonprofit sector means that most citizens are working with, for, or though a nonprofit at some time during each week.

Local government cannot do everything. How do nonprofits help address problems in my community?

Government is generally responsible for the broad goal of serving the public at large. Nonprofits usually serve particular groups of citizens, and local governments can capitalize on that expertise by seeking information from nonprofits for program development or community problem solving. Additionally, local government can contract with nonprofits for services that the government probably cannot afford to do efficiently. Local government officials also can look to nonprofit leaders as a source of current research or specialized knowledge. In order to bring a voice or perspective for the community that might not be represented otherwise, government officials can ask nonprofits to sit on local government boards. Because of their lean structures and close connections to their client populations, nonprofits can quickly identify trends and solutions, and adjust their strategies as the needs of the community change.