p o p u l a r g ov e r n m e n t
A neighborhood center receives an
allocation from the city to support
an after-school program, but without
consulting the city, it decides midyear
to spend the money on a different
In the last half of the fiscal year, a
state government agency tells a
group of its nonprofit contractors
that the quarterly payments for their
reimbursable grants will be delayed
A community loses the opportunity
to maintain rental units for low-
income housing when the nonprofit
in charge cannot justify its expendi-
tures of the six-figure grant from the
state or its failure to complete the
renovations within the projected
P O P U L A R G O V E R N M E N T
Henderson, Whitaker, and Altman-Sauer
are the project team for the Project to
Strengthen Nonprofit-Government Rela-
tionships, at the School of Government,
UNC Chapel Hill. Henderson and
Altman-Sauer are research associates.
Whitaker is a faculty member who
specializes in local public management.
Contact them at mhenderson@iogmail.
edu, or email@example.com.
Establishing Mutual Accountability
in Nonprofit-Government Relationships
Margaret Henderson, Gordon P. Whitaker, and Lydian Altman-Sauer
NEWS& OBSERVER/ JOHNROTTETThe success of a community festival like Hillsborough Hog Day is highly and immediately visible to sponsors,
supporters, and participants. The sponsor of Hog Day is the Hillsborough/Orange County Chamber of Commerce.
Among its in-kind supporters are the city and the county.
An audit reveals that an organiza-
tion’s internal financial controls
are not adequate to ensure that
designated funds will be spent in
compliance with the funders’
Governments, nonprofits, philan-
thropies, and businesses all talk about
the value of partnering to maximize the
impact of their resources. Ironically, in
day-to-day life, the ways in which
people actually work together often fail
to reflect that philosophy of partner-
ship. This article discus