Interorganizational relationships among nonprofits in the aftermath of welfare reform

Although it is widely acknowledged that nonprofit agencies are critical actors in the nation's social service arena, few studies to date have investigated how the 1996 welfare reform legislation affected them. This article reports on one component of a research project in southeast Michigan that explored how the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 transformed the interorganizational environment of private nonprofit social services providers. The study found that smaller agencies and those that focus on clients' emergency needs appeared to be particularly vulnerable in today's climate. Private nonprofit providers, however, are critical to the survival of low-income individuals and families, particularly TANF recipients, and to the ultimate success of welfare reform.