Nonprofit construction projects stall

March 6, 2009

An estimated $166 billion in "shovel-ready" construction projects have been shelved by U.S. nonprofits as a result of the credit crunch, says a study by the Center for Civil Society Studies at Johns Hopkins University.

More than four in 10 U.S. nonprofits report they have construction projects waiting to get underway, says the study, "‘Shovel-Ready' but Stalled: Nonprofit Infrastructure Projects Ready for Economic Recovery Support."

And about a tenth of nonprofits say they have multiple stalled building projects.

These projects have the potential not only to create jobs, but also to fortify local communities as they weather the downturn, the study says.

"As Congress, the president and state governments begin making concrete plans for allocating the economic-recovery funds recently enacted by Congress, they would do well to consider the considerable backlog of worthy projects stalled at the country's nonprofit organizations," said Lester Salamon, director of the center.

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