Poster #126 - Role of Third-Parties and Intermediaries in Helping Local Governments Secure Intergovernmental Grants

• In Event: Saturday Poster Luncheon

Abstract

Intergovernmental grants serve as a vital fiscal instrument for local governments, often accounting for approximately one-third of total municipal revenues. However, the competitive nature of federal and state funding, exemplified by FEMA’s Building Resilient Infrastructure and Communities (BRIC) program, can create a significant capacity problem. Jurisdictions with the greatest infrastructure and resilience needs often lack the administrative resources, technical expertise, and personnel required to navigate increasingly complex and fluctuating application cycles. This institutional barrier ensures that grant funding is often allocated based on administrative capacity rather than actual community need. This paper empirically evaluates whether third-party intermediaries and support organizations can effectively offset these capacity constraints through technical assistance and direct grant-writing support.The empirical strategy utilizes a logistic regression (Logit) model with robust standard errors to analyze the factors associated with successful grant acquisition. The study focuses on the 2023 FEMA BRIC cycle as a primary case study, utilizing administrative data. The study is based on an initiative of the Grant Assistance Program (GAP), an initiative by the Institute of Public Administration at the University of Delaware. Given the binary nature of the dependent variable (grant award vs. no award), the Logit specification is employed to estimate the probability of success while the application of robust standard errors ensures the validity of inference against potential heteroscedasticity inherent in municipal-level data.The model incorporates several critical control variables to isolate the impact of the GAP program, including municipal population size, prior fiscal health, and historical grant-seeking performance. The results of the regression demonstrate a statistically significant positive association between participation in GAP’s technical assistance initiative and the likelihood of securing competitive federal funds. Specifically, the findings show that the intervention of third-party intermediaries significantly increases the odds of a municipality successfully navigating the competitiveness of federal grants. These results provide strong empirical evidence that institutional support can successfully mitigate local capacity constraints and level the playing field for under-resourced jurisdictions. The study contributes to the broader literature on intergovernmental fiscal relations and public management by demonstrating the tangible value of university-based intermediaries. By bridging the gap between local needs and federal requirements, these support organizations act as vital conduits for equitable resource distribution. The findings offer immediate policy implications for state-level administrators looking to enhance the competitiveness of their municipalities in a high-stakes federal funding environment.

Author

• Arqam Tariq, University of Delaware
  Presenting Author