Government Funding of Nonprofit Organizations: The Case of the Community Support Centre of Essex County

Nonprofit organizations are not something new. While their popularity has risen in recent times, the conceptualization of the institutions occurred long ago. Government funding of nonprofit organizations is a topic that has been discussed and analyzed for decades in many different forms. This paper looks at literature written on the subject and is specifically interested in the reasons why the government at all levels provides funding for nonprofits. The literature suggests that there are two prevailing reasons: Governments fund nonprofits based on the interests of a particular political agenda. Governments fund nonprofits for cost reduction purposes. This paper will test the aforementioned reasons on a nonprofit organization, the Community Support Centre of Essex County (CSC), through a case study evaluation in order to prove or disprove their validity. It is evident that while the outlined reasons have standing, there are other factors including the size and influence of a nonprofit that play a role in proving reasons A and B to be true