Government Contracting and Payment Practices: Lingering Problems for Nonprofits

A newly released report, Government Contracting and Payment Practices: Lingering Problems for Nonprofits, examines the government contract and grant experience of nonprofits in 2012 and largely reaffirms the results of a similar analysis three years earlier. The report was issued by the Urban Institute in partnership with the National Council of Nonprofits. Survey findings show that nonprofits are dealing with continuing problems of governments refusing to fund the full cost of services, delaying payments, changing contract terms, and owing hundreds of thousands of dollars for work already done. While there has been some improvement since the Urban Institute's study of conditions in 2009, the impacts of state government grant and contract practices continue to be troubling for nonprofits.