I. New York City's Nonprofit Universe is Large and Dynamic

New York City has 27,474 registered nonprofit organizations, of which 9,078 file annual reports to the IRS. These 9,078 žreporting pub-lic charitiesÓ include 8,034 that operate pro-grams and 1,044 that provide support to non-profits that operate programs. The žoperat-ingÓ charities deliver information, products, and services to the public. Although they are only a share of the total nonprofit universe, they are what we commonly think of when we refer to nonprofits. They include hospitals, universities, day care centers, dance compa-nies, and the entire gamut of organizations serving people on a nonprofit basis.

The 1,044 žsupportingÓ public charities collect funds and provide the financial support to operating organizations. These include United Way and Catholic Charities. The City also has 4,762 grant-making private founda-tions. The remaining 13,634 nonprofits include smaller nonprofits, religious groups, neighborhood, civic, and cultural organiza-tions with revenues too small to file annual financial statements with the IRS (and about which little is known) and ten large special-ized organizations that are not appropriate for inclusion in this study. This report refers to the group of 9,078 žreporting public charitiesÓ as žthe nonprofit sectorÓ (see Figure 1). The number of nonprofit organizations grew by almost 57% during the 1990s (by 21% between 1990 and 1995 and by 29% between 1995 and 2000). Expenditures grew even faster (by 64% in year 2000 dollars). Budgets grew most rapidly in the education, housing devel-opment, and health sectors and least rapidly among public benefit and human service organizations.