Promoting performance in multilevel governance and delivery of homelessness services

Abstract The current study contributes to practice in interagency performance management through a study of the system of federal grants awarded by the Department of Housing and Urban Development to local Continuum of Care (CoC). The mixed methods design synthesizes a multivariate analysis of the relationship between grantee performance and funding levels, a national survey of CoCs and follow‐up interviews with CoC administrators. Findings reveal little association between reported improvements in system‐level performance and annual funding amounts awarded to CoCs. Nevertheless, interviews reveal that the system has fostered commitment to use of data and performance management practices. The study suggests that intergovernmental performance systems should address issues of capacity and be more attuned to the context in which grant recipients work to attain measurable goals. In particular, the value of the performance system is less a carrot/stick relationship between principals and agents, and more a communicative opportunity for federal entities and localities regarding local achievements and constraints.