partnership principles

8/14/2019 Partnership Principles

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We invite you to join other leaders in the private, public, and nonprot sectors

in arming a vision o a system that is responsive and ecient in meeting the

needs o the community, and in which the interaction between government and

human services providers refects airness and mutual accountability.


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Table o Contents

Letter . . . . . . . . . . . . . . . . . . . . .1

Introduction. . . . . . . . . . . . . . . . . .2

Process . . . . . . . . . . . . . . . . . . . .3

A Glossary o Terms . . . . . . . . . . . . .4

Partnership Principles . . . . . . . . . . .6

Opportunities . . . . . . . . . . . . . . . . 13

Endorsement . . . . . . . . . . . . . . . . 14

Acknowledgements . . . . . . . . . . . . 15

Appendix: Abridged Version

o Partnership Principles . . . . . . . . . 17


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Copyright 2010 Donors Forum. All rights reserved. Printed in the United States o America.

Sggeste Cittin: Fair and Accountable: Partnership Principles or a Sustainable Human Services System (Chicago, IL: Donors Forum, January 2010)


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1 Letter | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

January 2010

Donors Forum is pleased to present Fair and Accountable: Partnership Principles ora Sustainable Human Services System. This seminal document recommends practicesthat should be ollowed when the City o Chicago or State o Illinois contract withnonprots to provide human services. The practices are designed to help ensure that

Illinois residents have access to high-quality human services that meet their needs.

Donors Forum undertook this eort as part o its mission to strengthen Illinoisphilanthropy and the nonprot community. Central to this mission is leadership onmatters o public policy. In act, one o the ve main concepts underlying the policy

work o Donors Forum is a commitment to promoting eorts that secure adequatepublic resources and achieve equitable scal policies and practices or vital [nonprot]programs and services that sustain and enhance our communities.

While the Partnership Principlesocus on human services, the ideas have broadimplications or other services provided by nonprots and or other partnershipsbetween the public and nonprot sectors. Many o the concepts could be well appliedto other nonprot services and programs that receive government unding, including but not limited to the arts, economic development, health care, and programs that

promote volunteerism and community service.

Ensing xi beneft: In a climate o scarce resources, the Partnership Principlesare vital to ensuring that every dollar spent on human services has maximum benetor the people o Illinois. The current recession, combined with insucient investmentin human services over many years, has put the entire human services system at risk.

According to another report rom Donors Forum, Economic Outlook 2010, delays inreimbursements rom the government are posing as many problems or nonprots

which provide the bulk o human services to Illinois residents as unding cuts.

O all challenges acing nonprots, grantmakers responding to the Economic Outlooksurvey were most likely to be very concerned about the impact o delayed statepayments. To cite one grantmaker: Given the combination o increased demand orservices and reduced unding, particularly public resources, I am most concerned aboutthe possible shutdown/ailure o even the most capable, responsible organizations.

The Pblic/Nnpft Ptneship Inititive: The publication oPartnership Principlesispart o a broader initiative called The Public/Nonprot Partnership Initiative. Fundedby The Wallace Foundation, the Initiative began in the all o 2008. Activities to datehave included extensive interviews, research, analysis, and the convening o a PolicyForum representing 41 leaders and experts with an interest in human services as well aspublic and nonprot partnerships (see page 3 or more on the process and page 15 ora roster o the Policy Forum). The Initiative will continue through the all o 2011 asDonors Forum promotes understanding and adoption oPartnership Principlesby keyleaders in the private, nonprot, and public sectors.

Plese jin s in n enseent: Our communities cannot aord the real costs to

society o not having a strong human services system. We invite you to join DonorsForum (please see page 14) and many other leaders in arming a vision o a systemthat is responsive and ecient in meeting the needs o the community, and in whichthe interaction between government and nonprot providers refects airness andmutual accountability.

Bb Glves Vleie S. Lies

Chair, Board o Directors President and CEODonors Forum Donors Forum


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2 Introduction and Process | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Introduction

The Pblic Tst: Both government and nonprot providers

must uphold the public trust by exercising wisestewardship o taxpayer dollars in the development and

delivery o services. This notion o preserving the public

trust was the impetus behind the development o a set

o guidelines around nonprot governance, leadership, and

eectiveness. Titled Illinois Nonproft Principles and Best

Practices, the guidelines were rst published by Donors

Forum in 2004 and subsequently adopted by the Illinois

Attorney Generals Charitable Advisory Council.

This document, Fair and Accountable: Partnership

Principles or a Sustainable Human Services System,

builds upon the Nonproft Principlesto dene more

specically the components o mutual accountability

between government and human services providers,

and, by extension, between government and nonprot

providers o services o any kind. Whereas the Nonproft

Principlesdene the optimal operational components o

a well-unctioning nonprot organization, the Partnership

Principlesdene the contracting relationship between

government and human services providers that is essential

to a well-unctioning human services system.

Fcs: The Partnership Principlesocus on contracts

because contracts serve as a primary mechanism orimplementing policies and practices. They are directed at all

who have an interest in the strength o our communities,

and thus play a critical role in dening and reorming the

system. This includes legislators, policy makers, advocates,

human services proessionals, nonprot board leaders,

researchers, philanthropists, civic leaders, private sector

leaders, and human services consumers.

Fair and Accountable: Partnership Principles or a

Sustainable Human Services System is organized into

six main categories:

1. SErVICES: Bse n nic, t-iven sste

2. ProVIdErS:Tnspent n cpetenc-bse selectin

pcesses

3. CoNTraCT rENEwaL:Cnitine n cnit best

inteest n pence

4. PaymENT:mintining vible sste

5. rEPorTING aNd moNITorING:Pting efcienc

n ccntbilit

6. CommuNICaTIoN aNd INTEraCTIoN:Fsteing she

citents n behl the pblic g

The principles have broad implications or how resources

are allocated, presupposing a rational system driven by

dynamic community needs and an understanding o

practices that lead to positive outcomes. They call or

transparency and accountability between government and

human services providers, and also on behal o the public.

A strong human services system is critical to the well-being o a community, its residents, and society at large. Human

services not only improve the quality o lie or consumers o those services, but in doing so contribute to the saety and

vitality o communities and the State. When services are available and working well, people are able to learn, remain

healthy, and work. The hallmark o a strong human services system is that residents and communities can access high-

quality services that meet their needs. However, over the course o many years, a lack o sucient investment in human

services, exacerbated by a severe economic recession, has put the system at risk o not being able to provide high-quality

services. As a result, there are many who believe the system neither operates eectively nor supports quality overall, and

that it is time to revisit the shared commitment and responsibility that government and nonprot human services providers

have to the well-being o the people they serve.


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3 Introduction and Process | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Donors Forum is grateul or the input and review o many stakeholders in creating the Partnership Principles. The

process or developing the document included Donors Forum conducting interviews with nearly 50 City and State

ocials, human services providers, and civic and philanthropic leaders. In addition, Donors Forum convened ocus groups

o select providers and conducted research o similar eorts in Illinois and other states. Donors Forum also analyzing

studies, reports, and similar processes in other states. These eorts culminated in the convening o the Policy Forum

(see page 15) comprising 41 experts representing a wide range o perspectives, including those o human services

providers, private philanthropy, civic groups, private business, trade associations, policy advocates, and academics.

A sub-group o the Policy Forum drated the principles and practices, which were then discussed and armed by the

Policy Forum as a whole.

1 Practices recommended here refect a synthesis o many sources. Several were adopted rom other initiatives, including The Arizona Department o

Economic Securitys eorts to create a human services taxonomy (see practice 1.2.a.), Minnesotas Grants Management Business Transormation Area

Case or Change (see practice 1.2.b. and 2 .1.b.), and The Illinois Ater-School Partnerships Report and Recommendations o the Illinois Ater-School

Funding Policy Task Force (August 2008) (see 2.1.a and 5.1.a.).

Process

Timing is Everything

In ocus group o out-o-schoo-time (OST) providers convened by Donors Forum, providers strongy voiced the probem ock o ignment between the timing o grnt receipt nd progrm deivery schedues or sc yers. For instnce, summer

progrm unding cuts cross two sc yers or nonprots whose sc yers run rom Juy to June. In ddition, n

notiction o unding or grnt mounts my come ter the necessry strt dte or n eective progrm in Juy or

summer progrms or December or schoo yer progrms. Providers my need to ront od the unding with their own

resources in order to get progrms up nd running on time. This cretes csh fow probems nd my impede the opertion

o other progrms.


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4 Glossary | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Hn SevicesBy human services, we mean the

ull range o services that help

people at each lie stage maintain

or reach their ull potential.

Examples include, but are not

limited to, services related to

early childhood education and

development, child welare,

out-o-school-time and youth

services, developmental disabilities,

physical disabilities, mental health,

employment and training, sexual

and domestic violence, alcohol

and substance abuse, immigrants

and reugees, homelessness and

aordable housing, ex-oenders,

ood and nutrition, and older adults.

Hn Sevices

PvieThis term reers to any organization

that delivers human services,

including nonprot, or-prot,

and government entities. These

are sometimes reerred to as

service providers, or, more simply,

providers. Others sometimes reer

to them as vendors.

Hn Sevices SectThis term reers collectively to all

human services providers. In this

paper, it is sometimes reerred to as

the sector.

Hn Sevices SsteThe human services system is

made up o 1) the human services

sector (i.e., all service providers)

combined with 2) those who und

the sectorgovernment unders

at all levels and private unders,

including oundations, corporations,

other organizations, and individuals.

While the initiative is intended to

ocus on the relationship between

government as a under and

nonprot organizations as human

services providers, the principles

and practices should also extend to

government entities and or-prot

organizations that deliver human

services.

a Stng Hn

Sevices Sste

A Report on the Chicago Regions

Health and Human Services

Sector, sponsored by United Way

o Metropolitan Chicago and The

Chicago Community Trust (March

2007), oered characteristics o

eectiveness and eciency or the

human services sector:

Focuses on the best interest o

the community and consumers

Responds to ongoing and

emerging needs

Has measurable impact on human

lives and community issues

Provides appropriate, easily

accessible services

Sustains eorts over time

Aligns locations o services

with needs

Maximizes resources invested

in direct services

Delivers the right amount o

service in the least amount o

time to achieve outcomes

In sum, these characteristics

describe a sector that is responsive,

accountable, and ecient.

As we consider providers and

unders working together to

meet community needs, these

characteristics could be extended

to include the concept o airness,

refecting a system where the

burdens and benets are shared

by both providers and unders on

behal o the common good.

A Glossary o Terms

Mode Humn Services System

GOal: Iinois residents re be to rech their u potenti bsed on their ie stge

nd to contribute to the vitity o their community nd the stte/city.

rESPoNSIVE:

uFocuses on the best interest o the communityand clients

uResponds to ongoing and emerging needs

uFosters creativity and innovation

EFFICIENT:

uAligns service location with needs

uMaximizes resources invested in direct services

uDelivers right amount o service in least amounto time to achieve outcomes

FaIr:

uBalances nancial risk to promote stable servicedelivery

uAllocates resources according to relative need

aCCouNTaBLE:

uTransparent process or decision making aroundallocation o resources and service procurement

uHas measurable impact on human lives andcommunity issues

NnpftPvies

Pivte Philnthp

Stte n Cit

Gvenent

rESIdENTSHaVE aCCESS To

QuaLITy SErVICES THaTEFFECTIVELy addrESS

THEIr NEEdS

Government Leaders Who

Prioritize Human Services

Inormation

Sucient andFlexible Funding

Dened Best Practices,

Standards and Outcomes

Geographic and

Service Priorities

Human Capital

CollaborativeEnvironment


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5 Glossary | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Cntcting reltinshipThe City o Chicago and the State

o Illinois both pay, or contract with,

nonprot organizations to provide

human services. The contracting

relationship reers to the ways in

which human services are dened

and delivered, unding is allocated,

providers are paid, and results

are measured and reported. The

contracting relationship also reers

to how providers and government

collaborate and cooperate on these

matters. Given the signicant

numbers o contracts between

the government and nonprot

services providers, the contracting

relationship has a proound eect

on the human services system

as a whole. Thus, reorms to the

contracting relationship can be a

key driver or change, positively

aecting the human services

system overall.

GvenentThere are various levels (municipal,

township, county, state, ederal)

and numerous divisions and

departments within government

that contract with nonprot

providers to deliver human services.

Within the human services system,

government may act as both under

and service provider. Practices

vary widely between and across

levels. Contracts at lower levels

o government refect not only

their specic requirements, but

also those passed down rom

higher-level government sources

o unding. For example, a city

may contract with a nonprot

services provider using unding

the city receives rom the ederal

government. The Public/Nonprot

Partnership Initiative was created

to address the contracting

relationship between nonprot

services providers and both the City

o Chicago and the State o Illinois.

Unless otherwise stated, the term

government in this document

reers to both the City and

the State.

CnsesThe people who use the human

services. Others sometimes reer

to consumers as clients, program

participants, service recipients, or

recipients o services.

A Glossary o Terms

A Model from Arizona

By Executive Order, the Governor o arizon creted the arizon Txonomy Committee

(aTC) comprising members rom seven dierent stte gencies, oc nd region gency

representtives, United Wys, nd pnners with the councis o government, with go

to hve reevnt stte, county, city, nd oc gencies [use the txonomy] s mens o

common nguge or use in pnning, budgeting, contrcting, reporting, nd evution.

Designed to ensure consistent deivery o services on sttewide bsis, the txonomy is

iving document with n estbished process or proposing chnges nd dditions. among

its benets, n estbished txonomy nd process or using it heps the pubic nd nonprot

sectors understnd expecttions or services provided, promote best prctices, nd compre

outcomes.

Source, Arizona Department o Economic Security https://egov.azdes.gov/cmsinternet/main.aspx?menu=48&id=656&e

kmensel=15074e5e_48_0_656_1; viewed November 4, 2009.


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6 Principles | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Partnership Principles or a Sustainable Human Services System

The authors o Illinois 1970 Constitution recognized that

the state had a responsibility to meet this need. Among

other intentions, Illinois established its Constitution to

provide or the health, saety and welare o the people;

eliminate poverty and inequality; assure legal, social

and economic justice; [and] provide opportunity or the

ullest development o the individual. Though the

State provides some services directly, government works

primarily with and through nonprot human services

organizations to achieve these aims.

To create the human services system that can best serve

the needs o Illinois residents, this document, Fair and

Accountable: Partnership Principles or a Sustainable

Human Services System, establishes principles and

practices to inorm the working relationship o the partners

in service provision and to maximize the quantity and

quality o services delivered.

PrEamBLE

In order to ensure that Illinoisans reach their ull potential and contribute to the vitality o their communities and

beyond, residents must have access to quality human services that eectively address their needs.

It is understood that human services programs are

established based on a wide variety o actors, including

ederal and state policies and laws, community priorities,

and local and cultural needs and practices. In addition to the

adoption o the ideas outlined in the Partnership Principles,

a constellation o actors is necessary to succeed:

Government leaders who make human services a priority

through policy and budget decisions

A quality workorce to deliver services and administer

the system

An understanding o what services are needed,

where they are needed, and in what amounts

Best, inormed, and promising practices;

quality standards; and dened outcomes

Sucient and fexible unding

Access to inormation

A collaborative environment

Step by step, practice by practice, we must strive or

this ideal system together, adopting and implementing

the principles and practices to ensure an ecient human

services system that is air, responsive, and accountable

to the people o Illinois.

Payment Delays Cause Big Problems

according to survey in te 2009, deys in government unding posed s mny concerns or nonprots s did cuts in

government unding. Resuts were pubished inEconomic Outlook 2010, the most recent in series o reports tht Donors

Forum hs issued since 2002 bout the economy. The 2010 report shows tht 40 percent o nonprot respondents experienced

deys in receiving government pyments during 2009; most requenty, rom the Stte (91 percent o those ected by te

pyments). In 2009, 36 percent o respondents reported deys, compred to 27 percent in 2007 nd ony 20 percent in 2006.

O those ected by te pyments rom the Stte, 97 percent indicted tht the deys hve cused csh fow probems, nd

75 percent reported witing onger this yer thn st. Nonprots most requent responses hve been to increse their ines

o credit, tke out short-term ons, nd/or reduce spending nd services.


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1.1 Contracted services are based on a

comprehensive and transparent planning process

that denes and prioritizes services.

1.1.a. Planning includes local and regional input.

1.1.b. Planning is coordinated across service and

unding areas.

1.1.c. Planning is conducted at a minimum o every 10

years based on the most recent census data, and

no more requently than every ve years.

1.1.d. Public unding is allocated across services,

geography, and populations based on existing and

emerging needs, service gaps, and disparities.

1.2 Contracted services balance best practices and

good stewardship o public dollars with given

resources.

1.2.a. There is a system to uniormly describe services

and identiy consistent terminology or use in

budgeting, contracting, reporting, and evaluating.


1

1.2.b. Government and service providers participate

in a ormal process to identiy, dene, and

communicate best, inormed, and promising

practices or contracted services.

1.2.c. In determining contracted services, governmentconsiders short- versus long-term benets to

consumers and communities, given available

resources.

1.2.d. Contracted services are assessed according

to the relative benets to the consumers

and communities, the number o potential

beneciaries, and the severity o need.

1.2.e. Where communities do not have the

inrastructure to deliver the necessary level or

types o services, public dollars may be invested

in building the capacity o providers to delivereective services.

1.2.. Government invests in innovative services and

service models in order or providers to achieve

desired results.

CoNTraCTEd SErVICES: Bse n nic, t-iven sste

In order to eectively meet the needs o communities and their residents, the human services system must be dynamic

and responsive to demographic changes as well as to emerging and changing needs. From inormation gathered through

a comprehensive planning process, a blueprint should be developed or which services are needed where, and in what

amounts. Such a process should be coordinated across service and unding areas, and it should refect a partnership

between government and human services providers. While ederal, state, county, township, and municipal laws mandate

particular services or dened populations, local communities and geographic regions can provide inormation to help

prioritize which services are most needed beyond what the law requires. In some cases, communities or providers may

not have the capacity to deliver the determined level or types o services, and it may be in the best interest o the people

served as well as more cost eective or government to invest in building the inrastructure and capacity o providers to

support eective services. Overall, the ocus should be on contracting or services that are eective in achieving consumer

outcomes and that support the interests o the public good.

It Would be Amazing

When one eder in rge orgniztion ocused on chidren sked st to review the principes, they highighted sever o them

s prticury promising, greeing, I you coud ccompish 1.2 tht woud be mzing.


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2.1 There is a transparent and streamlined

decision-making process or theprocurement o human services.

2.1.a. Government establishes grant criteria and

contract award processes in advance and

adheres to request or proposal (RFP) processes.

2.1.b. Government consistently applies standards

and policy to determine contract awards across

providers.

2.1.c. Potential bidders receive adequate notice o

unding opportunities and deadlines.

2.1.d. Each request or proposal includes explicitguidance on eligibility qualications or service

providers, and all qualied, interested providers

have the opportunity to apply.

2.2 Contracts are awarded to providers that

best demonstrate an ability to achievedesired outcomes through delivery oquality services.

2.2.a. Criteria or selecting providers include

experience with service delivery, utilization o

appropriate best practice or innovative models,

and a track record o delivering the agreed-upon

outcomes.

2.2.b. Selected providers demonstrate specic

experience with, or knowledge o, the target

population, community, or region; community

and consumer support; and cultural competency.


2CoNTraCTEd ProVIdErS: Tnspent n cpetenc-bse selectin pcesses

To ensure that consumers receive the most eective services, contract bidding processes should be open to all qualied

providers, and services procured rom those providers must demonstrate providers ability to achieve consumer outcomes,

based on clear criteria and objective scoring systems.

Reporting is Burdensome and Costly

Providers tod Donors Forum tht ck o unied reporting system cross stte gencies mens service providers, regrdess

o the number o contrcts with the stte, must report the sme or simir dt to mutipe gencies in mutipe ormts nd

systems. Becuse these systems dont et providers retrieve their own dt, mny providers then invest in nd mintin

seprte orgniztion dtbse in order to merge inormtion, trck progress towrd their own budget nd pnning gos,

report to the bord, nd pn or the uture. at the sme time, it seems stte gencies do not hve the mechnisms required

to trck connections between their unding strems cross service providers, issue common RFPs, or seek opportunities to

stremine the reporting process.


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3.1 Contract renewal is based on provider

perormance and demonstration o continued

ability to deliver contracted services.

3.1.a. There is a system or dening and measuring

acceptable and excellent perormance, including

consumer satisaction.

3.2 Decisions to conduct open bidding processes

rather than contract renewals consider

investments required to apply or, start up,

deliver, administer, and evaluate services.

3.2.a. The renewal process minimizes duplicative

paperwork by allowing providers to certiy where

there are no changes to corporate legal and

organizational status.

3.3 When contracts are not renewed, the transition

process takes the best interests o consumers

and communities into account.

3.3.a. Timerames or government communication

about the non-renewal o a contract allow or

coordination between terminated and new

providers to provide continuity o care orconsumers.


3CoNTraCT TErmS aNd rENEwaLS: Cnitine n cnit best inteest n pence

The opportunity and process or contract renewal should be based on serving the best interest o consumers and

communities. I delivering or administering a service requires a signicant investment o resources and time, contract

renewal will allow or more service continuity and more money to pay or direct services or the consumer, rather than or

the costs incurred (e.g., or new buildings that must meet specic codes or or the purchase o special computer systems)

when a new provider is engaged. As long as a provider is demonstrating positive outcomes and meeting other agreed-

upon contractual requirements, it benets not only the provider and government, but also the consumers, to renew the

contract. However, it is also in the best interest o consumers or government to terminate contracts with providers that

ail to meet standards o satisactory perormance. In those cases, government and providers have a responsibility to

consumers to provide or continuity o care when transitioning to new providers.

A Model for System Development

[P]erhps most impressive rom poicy stndpoint is how ery eduction in Iinois works s system. Iinois hs

strong coordinting body ced the Ery lerning Counci, which is responsibe or cobortion between the three princip

ery eduction progrms in the stte: the edery unded Hed Strt progrms, the stte-unded Preschoo or a, nd

chidcre voucher progrm.The stte so hs quity rting system to provide prents inormtion bout progrm quity,

nd is buiding strong ery eduction dtbse with sttistics on providers, the progrms they oer nd how much demnd

exists or vibe sots. Under the edership o the counci, ech o these components work together to provide n rry o

ery eduction opportunities tht re o high-quity nd igned with curricu nd stndrds in the eementry grdes.

Christina Satkowski, All Eyes on Illinois. The Early Ed Watch Blog, New America Foundation. Entered February 17, 2009. Viewed November 3, 2009.

http://www.newamerica.net/blog/early-ed-watch/2009/all-eyes-illinois-10144


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4.1 Payment is based on the ull cost o ecient

service delivery consistent with agreed-upon

quality standards.

4.1.a. Payment or services is set in a air and

transparent ashion with clear methodology or

assessing the ull costs o service delivery and

with the opportunity or providers to provide

input on the methodology.

4.1.b. Baseline payment may be adjusted to refect

dierences o geography and consumer

population characteristics, to the extent that they

impact the cost to deliver service.

4.1.c. Payment may be adjusted to refect a level o

quality or perormance above a dened baseline.

4.1.d. Rates are adjusted annually to refect changing

costs o service delivery.

4.1.e. Services and other requirements to receive

payment, and payment terms, are established at

the beginning o the contract and renegotiated

only in accordance with pre-established

parameters and timerames.

4.2 Contracted providers do not bear nancial risk o

late payment.

4.2.a. Payments to providers adhere to agreed-upon

timerames.

4.2.b. Government pays interest on late payments.

4.3 Payment mechanisms maximize ederal dollars or

the State o Illinois and local municipalities.


4PaymENT amouNT aNd TImING: mintining vible sste

Timely payment at sucient amounts or quality service delivery is critical to an eective system that meets consumers

needs. Nonprot human services providers ace rising costs, and are required to provide the same or higher levels o

service, incorporate higher quality standards, and carry out ununded mandatesall with unding that does not increase at

a rate to match these demands. At the same time, government aces a structural decit and cash fow constraints, which

create chronic shortalls in revenue that are passed along to the human services providers. The cumulative impact over

a number o years has been to weaken the human services inrastructure, reducing the quality, range, and accessibility

o services or consumers. A nancially viable human services sector is critical to the quality o lie, productivity, and

economic vitality o the state o Illinois. In order to maintain a set o healthy, high-perorming nonprot providers,

government should bear the nancial responsibility o compensating providers in a timely manner, and or mid-term

contract changes. The ull cost o services, eciency, and acceptable level o service quality are concepts that should be

considered together to determine the amount o payment or services and whether the payment mechanism should be

ee-or-service, grant-based, cost-reimbursement, or consumer vouchers.

Rising Costs and Flat Funding

Service providers tod Donors Forum tht they ce

rising costs, yet re required to provide the sme or

higher eves o service, incorporte higher quity

stndrds, nd crry out ununded mndtes, or

unding tht does not increse t rte to meet these

demnds. at the sme time, government ces budget

nd csh fow constrints tht crete the chenges

which re pssed ong to the humn service providers.


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5

5.1 Reporting and monitoring systems emphasize the

level and ecacy o services or consumers.

5.1.a. Providers and government agree in advance

and adhere to evaluation methods, which may

include assessments by sta and consumers

as well as other perormance measures, and

providers report on these annually.

5.1.b. Providers and government agree in advance to

program activity measures that provide pertinent

inormation about the services.

5.2 Reporting, billing, and monitoring systems are

ecient and standardized across services and

government agencies.

5.2.a. Reporting requirements are scaled to the amount

o unding provided.

5.2.b. Compliance requirements related to nancial

management are consistent with generally

accepted accounting standards.

5.2.c. Government monitoring procedures or nancial

and organizational compliance are standardized

and accepted across government agencies, with

the objectives to reduce paperwork and eliminate

redundant monitoring.

5.3 Technology eciently serves the inormation

needs o government and service providers,

including the input, reporting, and analysis o

service and billing inormation.

5.3.a. Government agencies use common systems or

provider reporting and billing to avoid duplicate

entry.

5.3.b. Government reporting systems allow providers

to access the data that they, the providers, have

reported to the government.

5.3.c. Government reporting systems allow interace

with provider inormation systems.

5.3.d. Government invests in current technology

including its own systems, systems that

government requires providers to use, and the

related costs o providers systems.

rEPorTING aNd moNITorING: Pting efcienc n ccntbilit

There are two primary kinds o reporting and monitoring or government contracts: one is related to program and service

delivery, and the other to organizational issues, including nancial and legal status. Human services providers must

be accountable or the services they deliver, and government must institute ecient data collection and compliance

monitoring processes. The emphasis should be on service quality and consumer outcomes. Government should direct

more attention toward meeting the human services needs o consumers, rather than on managing service providers.

Service providers should spend more resources and attention on meeting the human service needs o consumers,

rather than on paperwork.

Consolidation Could Reduce Costs

[I wish] we coud consoidte dtbses to crete

eciency.We hve to enter mes or chid cre into

dierent systems or dierent unders even though its

the sme vribe.

Multi-service provider


16/24


6


6.1 Government and providers are proactive and

responsive in their communications around all

aspects o the contracting relationship, including

opportunities and problems.

6.1.a. Government seeks input rom providers about

potential contract changes and requirements, as

well as realistic timerames to implement theseactivities.

6.1.b. Government provides inormation about contract

changes, requirements, and deadlines within

reasonable timerames to provide or thoughtul

planning and to minimize negative consequences

or consumers.

6.1.c. Government engages providers in developing

and implementing quality standards, outcome

measurements, and reporting and billing

systems.

6.1.d. Specic individuals within the government and

provider structures are designated as contacts

or the other party or problem solving and other

communication.

6.1.e. In addition to inormal communication, there are

specic mechanisms that provide opportunities

or regular dialogue between government and

providers.

6.2 Government coordinates human services

contracting activities across departments and

agencies in order to enhance eciency and

eective service delivery or consumers.

6.3 Government regularly makes inormation on

human services and their results availableto the public.

CommuNICaTIoN: Fsteing she citents n behl the pblic g

Mutual accountability and an environment that encourages open communication are critical or government and providers

to ulll their shared commitment to the public good. Communication and interaction that oster partnership can lead to

more inormation shared about consumers and communities, a better understanding o their needs, smoother transitions,

higher-quality services, and more creative and eective solutions to problems. Government agency advisory committees

create one opportunity to build mutual commitment toward these end results. In addition to communication between

government and providers, government agencies should coordinate planning, monitoring, and other activities in order to

streamline processes and strengthen results. Finally, transparency and accountability to the public should be a priority and

partially ullled when government communicates inormation to the public about human services and their impact on

consumers and communities.

Providers Would Like an Opportunity to Talk

about the rustrtion o not hving common

understnding o services, n out-o-schoo-time provider

points out, [The pubic unding ws] so regimented.

It woudnt ow ny fexibiity in how service ws

deivered. We were tking dierent nguges with no

opportunity to tk bout how things rey work, nd

cn work.


17/24

13 Opportunities | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Evene:

u Endorse the Partnership Principles. By completing

and submitting the orm on page 14 your name or

your organizations name will be included as a public

supporter o the principles on a continuously updated

list that will be posted on the Donors Forum website.

u Make this a living document. Log on to the Donors

Forums website (www.donorsorum.org) to express

your interest in working on a particular area or to

recommend additional practices.

Sevice Pvies:

u Host a candidate orum in your community to help

ocus attention on the issues residents ace locally and

to highlight the importance o a strong human services

system in addressing those challenges.

u Start a conversation with your local legislators about

ways that the principles and practices could be

addressed, and what the implications may be or

human services in your community.

Legislts, othe Electe ofcils, nLegisltive St:

u Develop or support legislation that is consistent with theprinciples and practices in the Partnership Principles.

u Rerain rom decisions and actions that confict with

principles and practices in the Partnership Principles.

u Encourage a culture that is responsive, accountable,

ecient, and air.

Opportunities or Engagement

Exective Bnch:

u Seek ways to streamline and standardize processes

across government agencies.

u Create an integrated approach to comprehensive

community planning or human services.

Gvenent agencies:

u Identiy opportunities or administrative changes to

policies and practices and allocate sta resources to

implement the principles and practices in the

Partnership Principles.

u Create and maintain mechanisms such as advisory

councils and encourage open dialogue with serviceproviders.

avctes, Clitins, n Netks:

u Identiy particular principles and practices o interest to

your stakeholders, and mobilize resources to dene and

advocate or solutions that urther their implementation.

Fntins n othe Pivte Fnes:

u Recognize that private philanthropy is a key component

in the human services system, join the dialogue, and

support systems change.

The challenge o reorming the human services system may seem daunting, and there are any number o barriers that

stand in the way o change. However, the growing and shiting needs o the people o Illinoisas well as the severe

nancial challenges aced by government and nonprot human services providersdemand a change in the status quo.

In order or the human services system to deliver high-quality services that achieve positive results or consumers and

communities, all stakeholders in the human services system should take action to support and create a system that is

responsive, accountable, ecient, and air. We invite you to join in the dialogue and make a commitment to work

toward the implementation o Fair and Accountable: Partnership Principles or a Sustainable Human Services System.


18/24

14 Endorsement | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Endorsement o Fair and Accountable: Partnership Principles for a Sustainable Human

Services System

We believe that a strong human services system is critical to the well-being o a community, itsresidents, and society.

We acknowledge that government entities and human services providers must work

together in order or consumers and communities to access high-quality services that meet

their needs.

We recognize the contracting relationship between government entities and human

services providers as a mechanism to improve the human services system.

We supportFair and Accountable: Partnership Principles or a Sustainable Human Services

System and pledge to work, on behal o the people o Illinois, toward the implementationo the Partnership Principlesin order to help create a human services system that is

responsive, ecient, accountable, and air.

Organization

Name/Title

Date

Return a signed copy o this orm to:

Public/Nonprot Partnership Initiative

Donors Forum

208 S. LaSalle St., Suite 1540

Chicago, IL 60604

Fax 312-578-0103

Or go to www.donorsorum.org to submit an endorsement online.


19/24

15 Acknowledgements | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

Chi: L Thll

President and Chie Executive Ocer

United Way o Metropolitan Chicago

Frank Anselmo

Chie Executive Ocer

Community Behavioral HealthcareAssociation o Illinois

Joseph A. Antolin

Executive Director

Heartland Human Care Services

Lori Baas

Executive Director

Christopher House

Linda Baker

Faculty

Paul Simon Institute at

Southern Illinois University

Margaret A. Berglind

President and CEO

Child Care Association o Illinois

John Bouman

President

Shriver Center

Sarah Bradley

Chie Operating Ocer

Ounce o Prevention Fund

Debbie Bretag

Executive Director

Housing Options or the Mentally

Ill (Was with the Illinois Center or

Violence Prevention/Illinois Ater-

school Partnership while servingon the Policy Forum)

Catherine Brown

Senior Director o

Communities Program

McCormick Foundation

Cynthia Canary

Director

Illinois Campaign or Political Reorm

Laura Eilts

Community Involvement Leader-

MidwestDeloitte Touche

Ricardo Estrada

Executive Director

Erie Neighborhood House

Karen Freitag

Executive Director

Southern Illinois Regional

Social Services

Bob Glaves

Executive Director

Chicago Bar Foundation

Amy K. Gudgeon

Senior Consultant

Fiscal Management Associates

Mark Ishaug

President and CEO

AIDS Foundation o Chicago

Tom Johnson

President

Taxpayers Federation o Illinois

Colleen Jones

Chie Operating Ocer

Metropolitan Family Services

George Jones Jr.

Executive Director

Ada S. McKinley Community Services

Jim Kales

President and CEO

Aspire o Illinois

Suzanne Doornbos Kerbow

Associate Director

Polk Bros. Foundation

Candace King

Executive Director

DuPage Federation onHuman Services Reorm

Tuyet Le

Executive Director

Asian American Institute

Jim Lewis

Senior Program Ocer

The Chicago Community Trust

Valerie S. Lies

President and CEO

Donors Forum

Annika K. Little

Senior Vice President

Bank o America Charitable Foundation

Trinita Logue

President and CEO

IFF

Ralph Martire

Executive Director

Center or Tax and

Budget Accountability

Steven McCullough

President and CEO

Bethel New Lie

Dale Morrissey

Chie Executive Ocer

Developmental Services Center

Meredith L. OConnor

Executive Vice President

Jones Lang LaSalle

Kelley Pasatta

Program Manager

Chicago Metropolis 2020

Cheryl D. Polk

Executive Vice President

United Way o Greater St. Louis

Elizabeth Powers

Proessor

Institute o Government and

Public Aairs at University o Illinois

Sylvia Puente

Executive Director

Latino Policy Forum

Allen A. Rodriguez

Senior Vice President

Charter One Bank

Carol Ronen

Former State Senator

Illinois General Assembly

Nancy B. Ronquillo

President and CEO

Childrens Home + Aid

Bill Steinhauser

President and CEO

Bethany or Children & Families

Sylvia M. Zaldivar-Sykes

Executive Director

Lake County Community Foundation

Acknowledgements

FuNdING

The Public/Nonprot Partnership Initiative was unded by The Wallace Foundation. Donors Forum thanks

The Wallace Foundation or its vision and generosity in supporting this work.

PoLICy Forum


20/24

16 Acknowledgements | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

dns Fs Pblic/Nnpft Ptneship Inititive Te:

Valerie S. Lies

President and CEO, Donors Forum

Laurel OSullivan

Senior Director o Public Policy, Donors Forum, and Director o

the Public/Nonprot Partnership Initiative

Debra A. Hass

Director o Research or the Public/Nonprot Partnership Initiative

Nancy Kim Phillips

Director o Policy Forum or the Public/Nonprot Partnership Initiative

Eitil Sppt:

Editor: Celeste Wroblewski

Vice President

External Relations

Donors Forum

Designer: Barbara Ciurej

Copy editor: Janet Franzpies

This Pblictin

Cpies this pblictinmay

be downloaded on Donors Forums

website (.ns.g).

Printed copies are available

by emailing Donors Forum at

[email protected]. Please

include your name, title, name o

organization, complete address,

and number o copies requested.

Acknowledgements

abt dns F

Donors Forum is the premier resource or networking and education, inormation and

knowledge, and leadership on behal o philanthropy in Illinois. As a nonprot membership

association o grantmakers, individual donors, and advisors, Donors Forum advances

philanthropy by serving its members and by promoting an eective and inormed

nonprot sector.

Donors Forum oers hundreds o resourcestraining, events, research, a website,

publications, advocacy, and moreto promote philanthropy and a strong nonprot

sector in Illinois. Please go to www.donorsorum.org or more inormation.

Strengthening Illinois philanthropy and the nonproft community


21/24

17 Appendix | Fair and Accountable: Partnership Principles or a Sustainable Human Services System

CoNTraCTEd SErVICES: Bse n nic, t-iven sste

1.1 Contracted services are based on a comprehensive and transparent planning process that denes and

prioritizes services.

1.1.a. Planning includes local and regional input.

1.1.b. Planning is coordinated across service and unding areas.

1.1.c. Planning is conducted at a minimum o every 10 years based on the most recent census data, and no

more requently than every ve years.

1.1.d. Public unding is allocated across services, geography, and populations based on existing and emerging

needs, service gaps, and disparities.

1.2 Contracted services balance best practices and good stewardship o public dollars with given resources.

1.2.a. There is a system to uniormly describe services and identiy consistent terminology or use in budgeting,

contracting, reporting, and evaluating.

1.2.b. Government and service providers participate in a ormal process to identiy, dene, and communicate

best, inormed, and promising practices or contracted services.

1.2.c. In determining contracted services, government considers short- versus long-term benets to consumers

and communities, given available resources.

1.2.d. Contracted services are assessed according to the relative benets to the consumers and communities,

the number o potential beneciaries, and the severity o need.

1.2.e. Where communities do not have the inrastructure to deliver the necessary level or types o services,public dollars may be invested in building the capacity o providers to deliver eective services.

1.2.. Government invests in innovative services and service models in order or providers to achieve desired

results.

CoNTraCTEd ProVIdErS: Tnspent n cpetenc-bse selectin pcesses

2.1 There is a transparent and streamlined decision-making process or the procurement o human services.

2.1.a. Government establishes grant criteria and contract award processes in advance and adheres to request or

proposal (RFP) processes.

2.1.b. Government consistently applies standards and policy to determine contract awards across providers.

2.1.c. Potential bidders receive adequate notice o unding opportunities and deadlines.

2.1.d. Each request or proposal includes explicit guidance on eligibility qualications or service providers, and all

qualied, interested providers have the opportunity to apply.

2.2 Contracts are awarded to providers that best demonstrate an ability to achieve desired outcomes through

delivery o quality services.

2.2.a. Criteria or selecting providers include experience with service delivery, utilization o appropriate best

practice or innovative models, and a track record o delivering the agreed-upon outcomes.

2.2.b. Selected providers demonstrate specic experience with, or knowledge o, the target population,

community, or region; community and consumer support; and cultural competency.

Abridged Version o Fair and Accountable: Partnership Principles for a Sustainable Human Services System

1

2

Donors Forum (www.donorsorum.org) developed Fair and Accountable: Partnership Principles or a Sustainable Human

Services System with the involvement o dozens o thought leaders in Illinois. The Partnership Principlesare intended to

promote air, responsive, transparent, and accountable partnerships between nonprot providers o human services in

Illinois and their government unders.


22/24



CoNTraCT TErmS aNd rENEwaLS: Cnitine n cnit best inteest n pence

3.1 Contract renewal is based on provider perormance and demonstration o continued ability to deliver

contracted services.

3.1.a. There is a system or dening and measuring acceptable and excellent perormance, including consumer

satisaction.

3.2 Decisions to conduct open bidding processes rather than contract renewals consider investments requiredto apply or, start up, deliver, administer, and evaluate services.

3.2.a. The renewal process minimizes duplicative paperwork by allowing providers to certiy where there are no

changes to corporate legal and organizational status.

3.3 When contracts are not renewed, the transition process takes the best interests o consumers and

communities into account.

3.3.a. Timerames or government communication about the non-renewal o a contract allow or coordinationbetween terminated and new providers to provide continuity o care or consumers.

PaymENT amouNT aNd TImING: mintining vible sste

4.1 Payment is based on the ull cost o ecient service delivery consistent with agreed-upon quality

standards.

4.1.a. Payment or services is set in a air and transparent ashion with clear methodology or assessing the ull

costs o service delivery and with the opportunity or providers to provide input on the methodology.

4.1.b. Baseline payment may be adjusted to refect dierences o geography and consumer population

characteristics,

to the extent that they impact the cost to deliver service.

4.1.c. Payment may be adjusted to refect a level o quality or perormance above a dened baseline.

4.1.d. Rates are adjusted annually to refect changing costs o service delivery.

4.1.e. Services and other requirements to receive payment, and payment terms, are established at the beginning

o the contract and renegotiated only in accordance with pre-established parameters and timerames.

4.2 Contracted providers do not bear nancial risk o late payment.

4.2.a. Payments to providers adhere to agreed-upon timerames.

4.2.b. Government pays interest on late payments.

4.3 Payment mechanisms maximize ederal dollars or the State o Illinois and local municipalities.

rEPorTING aNd moNITorING: Pting efcienc n ccntbilit

5.1 Reporting and monitoring systems emphasize the level and ecacy o services or consumers.

5.1.a. Providers and government agree in advance and adhere to evaluation methods, which may include

assessments by sta and consumers as well as other perormance measures, and providers report on

these annually.

5.1.b. Providers and government agree in advance to program activity measures that provide pertinent

inormation about the services.

3

4

5


23/24



5.2 Reporting, billing, and monitoring systems are ecient and standardized across services and government

agencies.

5.2.a. Reporting requirements are scaled to the amount o unding provided.

5.2.b. Compliance requirements related to nancial management are consistent with generally accepted

accounting standards.

5.2.c. Government monitoring procedures or nancial and organizational compliance are standardized and

accepted across government agencies, with the objectives to reduce paperwork and eliminate redundant

monitoring.

5.3 Technology eciently serves the inormation needs o government and service providers, including theinput, reporting, and analysis o service and billing inormation.

5.3.a. Government agencies use common systems or provider reporting and billing to avoid duplicate entry.

5.3.b. Government reporting systems allow providers to access the data that they, the providers, have reported to

the government.

5.3.c. Government reporting systems allow interace with provider inormation systems.

5.3.d. Government invests in current technology including its own systems, systems that government requires

providers to use, and the related costs o providers systems.

CommuNICaTIoN: Fsteing she citents n behl the pblic g

6.1 Government and providers are proactive and responsive in their communications around all aspects o thecontracting relationship, including opportunities and problems.

6.1.a. Government seeks input rom providers about potential contract changes and requirements, as well as

realistic timerames to implement these activities.

6.1.b. Government provides inormation about contract changes, requirements, and deadlines within reasonable

timerames to provide or thoughtul planning and to minimize negative consequences or consumers.

6.1.c. Government engages providers in developing and implementing quality standards, outcome measurements,

and reporting and billing systems.

6.1.d. Specic individuals within the government and provider structures are designated as contacts or the other

party or problem solving and other communication.

6.1.e. In addition to inormal communication, there are specic mechanisms that provide opportunities or regular

dialogue between government and providers.

6.2 Government coordinates human services contracting activities across departments and agencies in order to

enhance eciency and eective service delivery or consumers.

6.3 Government regularly makes inormation on human services and their results available to the public.

6

.ns.g/gptnes


24/24

208 South LaSalle Street

Suite 1540

Chicago, Illinois 60604

Phone: 312-578-0090

Fax: 312-578-0103

Toll-ree

Phone: 888-578-0090

Fax: 877-572-0106

Library

Phone: 312-578-0175

Fax: 312-578-0158

TTY: 312-578-0159

[email protected]

www.donorsorum.org

Strengthening Illinois philanthropy and the nonproft community

partnership principles

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