POLS 355 Lecture Notes - Lecture 2: Charity Organization Society, Internal Revenue Service, Scientific Management

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18 Sep 2015
Course
Professor
Will$9/11$and$the$War$on$Terror$Revitalize$American$Civic$Democracy
The$Nonprofit$Sector$Ch.$1
Berry$@A"Voice"for"Nonprofits Ch.$1
!"#$%&'()$%&*&+,-.&!/011&+
According$to$Berry,$p.$1,$America$loves$nonprofits
Religion$and$sectarianism$
Government$has$increasing$been$a$catalyst$for$nonprofit$organization$in$
all$its$forms
Three$important$aspects$of$creating$nonprofits
Advanced$learning$through$the$church
A$private$charitable$group$based$in$a$corporate$activity
Harvard$College$is$then$founded
They$continue$to$be$important
!
Shows$that$nonprofits$emerged$from$faith$and$wealth
First$nonprofits$were$not$intended$to$serve$the$masses$but$particular$
members$
John$Harvard
23)"4$0#$&5"3(#$1&6#&$7(&861$"49&":&$7(&;"#)4":6$&'(<$"4&6#&$7(&='>
Urbanization$was$very$consequential$in$the$development$of$the$nonprofit$sector
Jane$Adams$ad$Ellen$Gates$Starr
One$of$the$first$nonprofits$to$assimilate$immigrants$to$the$ways$of$
America
Hull$House
Political$parties$were$forming$more$and$would$trade$jobs$for$votes;$spending$
public$dollars$for$votes
Young$Men's$Christian$Association$
Created$for$men$coming$from$farm$towns$to$the$cities
Provided$homes;$moral$protection
YMCA
Emergency$relief$
Community$chests
Worried$that$the$poor$would$become$dependent$on$these$nonprofits
Mainly$woman$would$raise$funds$but$created$criteria$for$you$would$get$to$
have$these$funds
Charity$organization$societies$
Deserving$poor$vs$undeserving$poor
How$should$these$nonprofits$go$about$providing$services?
A$religious$organization
Its$own$denomination$within$Protestantism$
Salvation$Army
Creation$of$foundations/philanthropic$organizations$during$this$time$period
Research$institutes/think$tanks$also$created$during$this$time
?4"@$7&0#A&B(C(/")3(#$&":&!6$6(1&D-EF,1G-*+,H
Rockefeller
Carnegie$
Vanderbilt$
JP$Morgan
These$men$began$to$use$their$financial$wealth$as$a$means$to$try$to$improve$
upon$urban$societies.
Lobbying$for$federal$tax$exemption$was$the$first$way$that$they$were$more$
influential$
Increased$role$of$rich$and$middle$class
Appeals$to$conservative$ideals
Taxes$are$inevitable$but$if$people$have$an$incentive$to$give$and$
know$they$will$get$money$back;$now$in$their$economic$interest$as$
well$as$just$moral$interest
!
Now$establishes$the$encouragement$to$help$nonprofit$organization
Government$is$now$in$the$nonprofit$scene$and$begins$to$allow$tax$exemption$
for$the$first$time
How$can$we$make$cities$better$places?
Emergence$of$the$culture$of$organization;$scientific$management$
How$nonprofit$organizations$can$work$with$government$institutions$
Libraries$are$no$longer$nonprofit$
!
Museums$and$libraries$created$during$this$period
Progressive$movement
Progressive$era$was$organized$around$improving$election;$make$
government$work$better;$trying$to$create$a$better$social$place$for$people$
in$cities
overcrowding
!
Also$concerned$about$designs$of$cities
Volunteers$for$fire$and$police
Exploitation$of$workers
Social$reform$advocacy$
Government$begins$to$encourage$to$give$"gifts$to$charity"$by$making$it$tax$
deductible
I"JJ(4&K04"#1L&M(A(40/&N0O&PO(3)$6"#1L&0#A&Q4"R4(116C(1&D-E*,1&G-*+,1H
Unemployment$period
Emergency$relief
WPA:$Work$progress$administration
!
FDR$important:$New$Deal$Remedies
Federal$government$starts$things$we$hadn't$seen$before
Social$services$from$faith$sector
Soup$kitchens$
Congregations$creating$missions
Secular$social$organizations
Growth$in$think$tanks
Inside$cities:$municipal$research$boroughs$
More$research$and$policy$institutes
1933@1945$=$Roosevelt$
Businesses$start$donating$to$the$nonprofit$organizations$because$of$federal$tax$
deduction
Classifies$types$of$nonprofit$organizations
1939$@internal$revenue$service$code
Greater$alliance$ between$public/private$alliances
N7(&?4(0$&B()4(116"#&D-*+*G-*S-H
Government$cant$and$shouldnt$provide$all$services$because$the$nonprofit$can$
do$it$better$than$the$government$
Federal$government$sends$authority/responsibility$as$well$as$$money$to$
state$governments$$for$them$to$then$distribute$to$either$
local/county/nonprofits/stay$in$the$state
Provides$goods$and$services$in$order$to$solve$"problems"
Blocks$of$money$to$be$used$for$broad$things
!
Block$grants$@Nixon$administration
Devolution
Government$should$look$at$market$based$actors$and$nonprofits$for$addressing$
needs
Believes$in$the$potential$of$nonprofits
George$Bush$senior
Began$to$see$argument$that$we$should$be$giving$grants$to$faith$related$
agencies$and$consider$idea$about$direct$funding$of$religious$congregations$
proving$social$services$
Compassionate$conservatisms
T04&"#&Q"C(4$9U?4(0$&'"<6($9&D-*VSG-*VEH&0#A&B(C"/W$6"#&D-*X,1GQ4(1(#$H
During$all$of$these$periods$non$of$these$changes$were$easy$and$there$were$always$
political$arguments
Development*of*the*Nonprofit*Sector
Tuesday,$ September$ 1,$2015
10:39$AM
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