Representation Effect in Nonprofit Government Grants: AI Webinars and Grant Applications

• In Event: AI Adoption in Public Management and Leadership

Abstract

Government grants serve as a primary revenue source for nonprofits, yet access to these opportunities remains inequitable across organizations of different sizes and fields. The grant application process is often burdensome, but it can be especially onerous for smaller nonprofits, those led by individuals from racial and gender minority groups, or those dedicated to supporting these communities. Existing research indicates that government grant allocations and procedures tend to favor nonprofits with bureaucratic structures and predominantly white, professional-managerial values. As a result, some qualified nonprofits may be reluctant to apply for government grants despite their eligibility. This study examines whether these structural inequalities in the grant process can be mitigated through representation in grant webinars, where potential applicants receive information, learn about expectations, and interact with government grant managers. Using AI-generated video vignettes, this study experimentally tests the effects of race, gender, and occupational representation on four key outcomes in the context of state government grant opportunities for community development and human services nonprofits: 1) Willingness to apply for grants, 2) Follow-up Engagement preferences (AI chatbots vs. human managers) 3)Understanding of the grant process, and 4) Perceived legitimacy. Preliminary analysis shows the pattern that participants report a higher willingness to apply and perceive greater legitimacy in the grant process, while demonstrating a lower willingness to engage with AI chatbots with representation. This study contributes to the expanding theoretical implications of representative bureaucracy in the grant relationship between government and nonprofits, as well as practical implications of strategies to enhance equity in accessing government grants, and whether AI technology can benefit such change in local/state government.

Author

• Jongmin Lee, Indiana University
  Presenting Author