Testing Nonprofit State Culture: Its Impact on the Health of the Nonprofit Sector

Abstract

Government monitors, regulates, and funds nonprofit organizations, making it is a key player in the health of the nonprofit sector in the United States. However, not all states treat nonprofits similarly. Prior work identified three types of state nonprofit culture (Pettijohn, S. L., and E. T. Boris. 2017. State Nonprofit Culture: Assessing the Impact of State Regulation on the Government-Nonprofit Relationship. Grand Rapids, MI: ARNOVA Presentation.), or a unique set of attitudes and beliefs that shape the operating norms between state government and nonprofits. This article analyzes whether differences among state nonprofit culture are measureable in the government-nonprofit relationship. Using data from the Urban Institute's 2013 Nonprofit-Government Contracting and Grants survey, we find there are significant differences in the government-nonprofit funding relationships, which means nonprofits operating in certain state nonprofit cultures face different types and degrees of risk to their organization's overall health.