Non-Profit Executives Warn Of Potential Conflicts Of Interest, Unmet Needs In Profitization of Human Services

United Cerebral Palsy Associations
Tuesday, 1 February 2000

Executives of 18 of the nation's most respected nonprofits are warning that services to people in need could be endangered as the nation moves toward giving human services contracts to for-profit organizations.

A statement signed by executives of these nonprofits calls for tighter government safeguards to protect people in need and spend public funds efficiently as the profit motive enters the human services arena. The nonprofit executives are concerned that a focus on profit margins could impede the delivery of quality services to individuals with disabilities, children, families, and older Americans.

"As a nationwide organization, we are committed to providing quality services and supports to people with disabilities and their families, " said Kirsten Nyrop, Executive Director of United Cerebral Palsy Associations. "UCP recognizes the importance of and is dedicated to developing a long lasting bond with the thousands of children and adults we serve every day. These individual relationships transcend simple fee-for-service contracts provided by for-profit organizations that are becoming increasingly commonplace."

Local, state and federal government executives, in particular, are urged to ensure that people in need are not mistreated or forgotten in the battle to reduce budgets and find the lowest contract bidder. The nonprofit executives say that can be done by holding private companies, as well as their own organizations, to standards of service. They developed a checklist of standards to guarantee the provision of human services and the appropriate use of public funds, including quality control measures such as professional standards, grievance procedures, sufficient funding, accountability for public funds, and performance evaluation standards for all publicly funded contracts.

The Profitization of Social Services statement was signed by executives of the following organizations: United Cerebral Palsy Associations; Alliance for Children and Families; Big Brothers Big Sisters of America; Boy Scouts of America; Camp Fire Boys and Girls; Catholic Charities USA; Child Welfare League of America Inc.; Girls Incorporated; Girl Scouts of the USA; Goodwill Industries Int'l; Lutheran Service in America; National Mental Health Association Inc.; National Urban League; The Salvation Army; United Neighborhood Centers of America; Visiting Nurse Associations of America; YMCA of the USA; and the YWCA of the USA.

UCP, founded in 1949, is one of the largest non-profit organizations in the country with 144 affiliates nationwide. UCP provides programs and services to advance the independence, productivity and full citizenship of children and adults with cerebral palsy and other disabilities and their families. UCP uses its funds efficiently with 85 cents of every dollar spent directly on programs and services.

For more information, or to contact United Cerebral Palsy Associations, see their website at: www.ucpa.org