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Competing for Resources and Meeting Demands: How
Nonprofits in Georgia Suburbs Fare Against Those in the Urban
Center?
Za Eng Mawi, Sophomore Michelle Wiggle, Junior
Amanda Wilsker, PhDJose Perez, MA Janita Rawls, PhD
Background
• Suburban poverty rates are growing at a rapid pace
• Atlanta seen as epicenter of suburban poverty (Berube 2015)
• Norcross used as example of suburban poverty in national publication (Semuels 2015)
• The Economist (2013) and The Politico (Burns 2014) used Cobb County as example
Research Question
Does the nonprofit sector in the suburbs have the same capacity as that in the urban center to
provide for their residents in poverty?
Literature Review• Seaman, Wilsker & Young (2014)
o Market concentration and distribution of resources at MSA level
o ⅓ of nonprofit markets in Atlanta are categorized as monopolistic
• Allard and Roth (2010)
o Resource adequacy in suburban communities surrounding Chicago; Los Angeles; and Washington D.C.
• Harrison (2008)
o Location decision - supply side variables (i.e. tax rates, agglomeration, & external economies of scale)
Cont. Literature Review
• Harrison & Laincz (2008)o Entry and Exit of nonprofit firms
• Besel & Andreescu (2003)o Interviewed surviving nonprofits from 1970so local funding
• Lakdawalla & Philipson (2005) o Nonprofit firms and changes in demand
Data
• US census data 2010
o Poverty rates per county
• 2010 core files from NCCS
o Five Metro Atlanta Counties - Fulton, Dekalb, Cobb, Clayton, Gwinnett
o Number of firms, Revenues, Contributions, Expenses (Chronicles of Philanthropy)
County Number People in Poverty
Number of NPOs
Total Revenue (millions)
Total Expense(millions)
Total Contribution
(millions)
Clayton 55,125 76 $ 327 $ 337 $ 35
Cobb 81,418 410 $ 2,190 $ 2,030 $ 134
Dekalb 126,343 653 $ 4,390 $ 4,180 $ 1,670
Fulton 151,055 1,458 $ 9,140 $ 8,790 $ 3,580
Gwinnett 109,870 448 $ 873 $ 828 $ 114
Descriptive Analysis
Descriptive Analysis
County Differences between Contribution Received and Deductions (in millions)
Clayton $ 99
Cobb $ 575
Dekalb $ 1,111
Fulton $ 2,118
Gwinnett $ 455
Categories & Exclusions
•Select Categories - Community Healthcare Clinics, Mental Health, Food Programs, Homeless Shelters, Human Services, Community Improvement, Philanthropy
•Excluded large organizations known to provide services across metro areas
Expenditures Per Person in Poverty
County Food Programs
Community Healthcare
Homeless Shelters
Human Services
Clayton $ 0.00 $ 0.00 $ 9.41 $ 274.08
Cobb $ 11.61 $ 206.68 $ 0.03 $ 298.00
DeKalb $ 17.98 $ 126.64 $ 6.59 $ 1,828.27
Fulton $ 240.12 $ 542.19 $ 168.59 $ 1,292.08
Gwinnett $ 2.83 $ 14.14 $ 4.13 $ 333.29
Conclusion
There may be a deficiency in the suburbs demonstrated by lower contributions, fewer
resources and fewer firms.
Policy Recommendations
• Incentivize nonprofit entry in suburbs
• Encourage private contributions to stay local
• Educate foundations and government agencies on suburban problems
Further Research
• Is private or public sector meeting the demand for the suburbs?
• Generalizability: does it affect other metropolitan areas?
• Looking more closely at large organizations, and how they are distributing their resources outside of the urban center.
Select CategoriesCategory Sub-Category NTEE
Health Care Ambulatory & Primary Health Care, Group Health Practices,Community Clinics
E30, E31, E32
Mental Health & Crisis Intervention
all all
Food, Agriculture & Nutrition Food Programs K30
Housing & Shelter Homeless Shelters L41
Human Services Human Services, Children & Youth Services, Family Services, Personal Social Services, Emergency Assistance
P1, P2, P3, P5, P11, P12, P19, P20, P28, P29, P30-99
Community Improvement & Capacity Building
all except Neighborhood & Block Associations
all except S22
Philanthropy, Voluntarism & Grantmaking Foundations
all all
Excluded Organizations
Category Organization
Health Care Children's Healthcare of Atlanta
Emory University
Food, Agriculture & Nutrition Atlanta Community Food Bank
Project Open-Hand Atlanta Inc.
Human Services Guardian Foundation Inc.
Philanthropy, Voluntarism & Grantmaking Foundations
The Community Foundation for Greater Atlanta
References • Allard, S. W., & Roth, B. (2010). Strained suburbs: The social service
challenges of rising suburban poverty. Brookings Institution Metropolitan Policy Program.
• Besel, K., & Andreescu, V. (2003). The role of county based funders in ‐sustaining nonprofits within rural and urbanized counties. Nonprofit Management and Leadership, 13(3), 253-266.
• Broke in the Burbs’. (2013). The Economist Newspaper: Demographics. (Jul. 20 2013 Print Edition) http://www.economist.com/news/united-states/21582019-poverty-has-moved-suburbs-broke-burbs
• Burns, Rebecca. (2014) Sprawled Out in Atlanta. The Politico Magazine. (May 8 2014 Issue) http://www.politico.com/magazine/story/2014/05/sprawled-out-in-atlanta-106500
• Harrison, T. D. (2008). Taxes and Agglomeration Economies: How Are They Related to Nonprofit Firm Location?. Southern Economic Journal, 538-557
References• Harrison, T. D., & Laincz, C. A. (2008). Entry and exit in the nonprofit
sector. The BE Journal of Economic Analysis & Policy, 8(1).
• Kneebone, E., & Berube, A. (2013). Confronting suburban poverty in America. Brookings Institution Press.
• Lakdawalla, D., & Philipson, T. (2006). The nonprofit sector and industry performance. Journal of Public Economics, 90(8), 1681-1698.
• Seaman, B. A., Wilsker, A. L., & Young, D. R. (2014, October). Measuring Concentration and Competition in the US Nonprofit Sector: Implications for Research and Public Policy. In Nonprofit Policy Forum (Vol. 5, No. 2, pp. 231-259).
• Semuels, Alana (2015). Suburbs and the New American Poverty. The Atlantic. Business. (Jan. 7 2015 Issue) http://www.theatlantic.com/business/archive/2015/01/suburbs-and-the-new-american-poverty/384259/