Approaches to the Governance of State- NGO Relationships John Shields Department of Politics and Public Administration Ryerson University Inspire 2014: International Neighbourhood House & Settlement Conference Vancouver May 6, 2014

1) Introduction 2) Historical Context The Keynesian State address the failures of the market, the state takes led role in providing for the health and welfare of Canadians (social security state)

Role of state-NGO also changed with this governance model NGOs from paternalistic charity to partners with the state The mixed social economy

Symbiotic and dynamic relationship Key features of the relationship: 1) gov’t funding core/base 2) Funding stable and long term 3) Relationship based on trust and mutual respect

4) Nonprofit role not replace the state but to compliment its social provision role 5) But relationships ad hoc and uneven Distinctive roles for nonprofits emerged: 1)To do good works/provide services to clients and community

2) Advocacy/voice 3) Mediation - social capital & social cohesion 4) citizenship

3) Contemporary Period The Neoliberal State and the Marketization of Non- profit Relationships Neoliberalism guided by idea of ‘government failure’ (need to shrink the state) Market mechanisms to guide human action (competition and individualism)

Key features of neoliberal approach: 1)NGOs to fill gaps left by shrinking state 2)Alternative Service Delivery (ASD) use to shrink the state 3)Relationship between state and NGOs structured by New Public Management (NPM)

4) New funding regime – contract/program financing Implications for state-nonprofit relationships: 1)Loss of nonprofit autonomy – ‘shadow civil service’ 2)Vertical accountability to funders over downward and horizontal accountability

3) Competitive contract bidding 4) ‘cultural takeover’ – market and contract/business culture 5) Sector economies achieved through volunteering and cheap labour 6) Sector used rather meaningly engaged with

7) Nonprofit role reduced to ‘contracted service’ function 8) Voice role transformed into ‘special interest’ – ‘advocacy chill’ 9) Mission drift/mission capture Neoliberal governance runs against place-based approaches

Ware on community values vs market values 4) New Public Governance: Prospects for Reform move to horizontal accountability and co-governance meaningful collaborative relationships (power sharing) recognize and respect advocacy voice role (example of Quebec social economy model)

Key place of funding model – sustainable and partnership based flexibilities on spending, outcome focus; longer term and stability; level and quality of dollars

5) The Turn to Austerity: Back to the Future Neoliberalism is back The UK’s Big Society