Community development corporations and intermediary support: Balancing resources and control

Critics of the community development corporation (CDC) model have argued that its dependence upon external funders and sources of technical expertise limits CDC capacity by infringing on the autonomy of what should be a community-driven institution. This study empirically tests such critiques by examining the impact of support from one type of funder, the community development intermediary, on the capacity of CDCs. Using a multiple case study approach, the study analyzes and compares the relationships between three intermediaries and twelve CDCs, including three samples of four CDCs supported by each intermediary. The case study data was collected from interviews with CDC directors and intermediary staff, as well as with in-depth surveys of the CDCs. Each case compares how the intermediary builds CDC capacity to the extent to which it limits capacity with restrictions, requirements, and other controls. The study finds that intermediaries enhance most aspects of CDC capacity. In one case, the study found that intermediary support limited the political capacity of the CDCs it supports. Overall, the wide range of support that CDCs receive from intermediaries was found to far outweigh the minimal amount of control that CDCs had to yield to funders in exchange for that support.