Purpose: Dynamic capabilities are an intended strategy for implementing changes in public sector organizations to execute the organizations' tasks effectively. The paper's main objective is to identify the dynamic capabilities affecting e-administration functioning and the determinants of the capabilities' formation, aimed at establishing and then verifying a conceptual model. Design/Methodology/Approach: The proper study was focused on Polish Public Administration entities that provide electronic administrative services. The sample consisted of 634 entities. The data collection was conducted with the use of the CAWI method. The verification of the assumptions was conducted through a series of confirmatory factor analyses using the modeling of structural equations based on the SEM-CB and SEM-PLS methods. Findings: As a result of the conducted research, it was ascertained that dynamic capabilities (especially knowledge absorption and application) affect e-administration effects and that culture, structure, and technology affect dynamic capabilities. The contextualization of dynamic capabilities allowed for broadening the knowledge on the conditions of their use and the possibilities of their impact on e-administration effects. Originality/value: Despite assigning many potential benefits to dynamic capabilities, the knowledge about their impact on the effects of e-administration functioning is surprisingly narrow. The obtained results lead to conceptual transparency concerning the dependency between dynamic capabilities (knowledge absorption, conversion, and application) and the effects of e-administration functioning, considering the dynamic capabilities' determinants.