The study at hand examines the assumption about the influence on the welfare situation of a particular commune that is carried out by the dynamics of NGO's activity of its territory. A statistical data set from about 1000 communes in Poland has been employed. Research method involves a Data Envelopment Analysis estimation of efficiency frontier. The results of efficiency measurement in the communes indicate that the number organisations has a significant effect on the competiveness of basic administrative units. Furthermore ocation constitutes also a factor influencing the efficiency of communes - communes located around agglomerations are more efficient than other units of local administration.