8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page i Building the Organizations That Build Communities Strengthening the Capacity of Faith- and Community-Based Development Organizations Roland V. Anglin, Editor 2004 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page ii BUILDING THE ORGANIZATIONS THAT BUILD COMMUNITIES ACKNOWLEDGMENTS Many individuals and institutions contributed to the conception and completion of this compendium. Ryan Streeter and Cheryl Appline at HUD’s Center for Faith- Based and Community Initiatives co-hosted the capacity building summit and sup• ported the initial development of this document. At HUD’s Office of Policy Development and Research, Betsy Keeler, Joanna Ramani, Susanna Montezemolo, and Eileen Faulkner stewarded the document with leadership, vision, and a commitment to helping communities learn what can be done to help their institutions make more of an impact in the development process. Thanks also to Michael Mata for his important work in shaping the conference and the compendium. Jeff Lubell, formerly of HUD, started this conversation and steadfastly got the process going. Dr. Aida Rodriguez, chair of the Nonprofit Management program at the New School University’s Milano Graduate School of Management and Urban Policy, provided leadership, intellectual engagement, and release time for some of the academics and practitioners writing papers for the compendium. The support originated as a result of the Milano Graduate School’s efforts to explore capacity challenges to community-based development organiza• tions and document ways to overcome these challenges. The result is a cross-fertiliza- tion of inquiry that will continue beyond work on this compendium. Lastly, Rutgers University’s Edward J. Bloustein School of Planning and Public Policy, its Center for Urban Policy Research, and the dean of the school, Dr. James Hughes, provided sup• port at critical points. To all, many thanks. Opinions expressed in the articles are those of the authors and do not necessarily reflect the views and policies of HUD or the U.S. Government. 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page iii CONTENTS Foreword ..................................................................................................................v Introduction ............................................................................................................1 Section I. Defining the Issues ...............................................................................9 Limitations to Organizational and Leadership Progress in Community Development: An Overview Roland V. Anglin and Rolando D. Herts .....................................................13 Religion’s Investment and Involvement in Community-Based Economic Development: An Overview Elliot Wright ...............................................................................................27 Faith and Mortar: Religious Organizations and Affordable Housing Strategy in Urban America Xavier de Souza Briggs...............................................................................43 Supporting the Community Development Movement: The Achievements and Challenges of Intermediary Organizations Roland V. Anglin and Susanna C. Montezemolo.........................................55 Strengthening the Street Saints: Intermediaries Providing Capacity-Building Assistance to Faith-Based Organizations Amy L. Sherman .........................................................................................73 Section II. Current Research on Building the Capacity of Community Development Organizations ...............................................................................89 Replacing Passionate Leaders: The Current Challenge for Community Development Aida Rodriguez and Nina Herzog ..............................................................93 Building the Capacity of Community-Based Development Organizations: The Case of Community Development Partnerships Norman J. Glickman .................................................................................117 iii 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page iv BUILDING THE ORGANIZATIONS THAT BUILD COMMUNITIES Capacity Building: The Case of Faith-Based Organizations Michael Leo Owens .................................................................................127 Expanding Organizational Capacity: The Human Capital Development Initiative Norman J. Glickman, Donita Devance-Manzini, and Sean DiGiovanna ....165 The Role of Employee Benefits in Building a High-Impact, High- Performance Community-Based Development Organization Roland V. Anglin and Joseph McNeely.....................................................175 Learning From Adversity: The CDC School of Hard Knocks William M. Rohe, Rachel Bratt, and Protip Biswas ..................................193 Section III. Training and Capacity ...................................................................201 The Leadership Challenge: Creating an Enduring Organization Robert O. Zdenek and Carol Steinbach ...................................................205 The History and Future of Training and Education for Faith-Based and Community Development Joseph McNeely .......................................................................................211 Urban Ministry Training and Capacity-Building Programs of Faith-Based Organizations David J. Frenchak ....................................................................................235 Education and Training for Community Development Neil S. Mayer ............................................................................................249 Section IV. The Role of Performance Measures in Expanding Capacity ......271 Organizational Capacity: Issues and Concerns Regarding Performance Standards Rikki Abzug and Mary R. Watson.............................................................275 Participatory Outcomes-Based Evaluation: The Success Measures Process and Data System Virginia Seitz and Margaret Grieve ..........................................................285 Compendium Summary ....................................................................................293 iv 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page v FOREWORD Faith-based and community organizations have accomplished a great deal in building affordable housing, expanding economic opportunity, and revitalizing their communities—but we know remarkably little about how these organizations grow, become more effective, and reach the point of long-term viability. This lack of knowledge became evident as we sought to identify effective, workable models for building the capacity of faith-based and community organizations. To address this knowledge gap, in June 2003 HUD’s Center for Faith-Based and Community Initiatives and Office of Policy Development and Research jointly convened a landmark symposium: the Building the Capacity of Faith- and Community-Based Organizations Summit. We invited practitioners and academics in the grassroots community development sector to share experiences, exchange knowledge, and shed light on the complex issues involved in building the organizational capacity of community development organizations. Invited panelists presented important information and engaged in lively discussion with summit participants on the evolution of faith-based and community development. This volume presents the papers commissioned for the summit. In many ways, these papers are at once seminal and state of the art: they document current practices, and they ask questions. They also acknowledge that we have much more to learn about what it takes to effectively undertake faith-based and community development. As such they represent a solid basis for growing our knowledge about how best to support community development organizations. I know that those who attended the summit came away with new perspectives on issues relating to supporting faith-based and community organizations. My hope is that this collection of papers will help us extend these perspectives to a wider audience. Ryan Streeter Director Center for Faith-Based and Community Initiatives U.S. Department of Housing and Urban Development v 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page vi 8894 HUD Compendium-rev5/13.qxd 5/13/04 12:41 PM Page 1 INTRODUCTION The ability and capacity of community-based development organizations (primarily community development corporations) to socially and economically develop poor communities have come under greater scrutiny (Anglin 2000; Eisenberg 2000; Lehman 1994; Rohe et al. 2003). This scrutiny relates, in part, to how the communi- ty-based development movement has evolved. The community development corporation and similar community-based development organizations evolved in the 1960s to provide voice and agency to the unorganized poor (Kelly 1976; Faux 1971; Simon 2001). CDCs provided a way for representatives of poor communities to articulate demands and redress problems such as redlining, deteriorating housing, and lack of economic development and jobs. CDCs were not conceived as a replacement for government; they evolved as an intermediary force playing much the same role as other “associations”—such as trade unions, manufac­ turing associations, and teachers unions (Faux 1971; Simon 2001). In large part, their mission evolved into building a socially and economically vibrant community that attracted economic investment and created jobs, economic opportunity, and social mobility. An adjacent and no less important function