Guidelines for Handling Funds Raised for Disasters

  1. Accountability for disaster funds received and expended, including overhead amounts charged to the funds, must be accomplished within ECFA’s Standards of Accountability, particularly Standard 7.1, Truthfulness in Communication, and Standard 7.2, Giver Expectations and Intent.
  2. Funds raised for a particular disaster should be spent in the geographic region impacted by the disaster and within a reasonable period of time.
  3. If a ministry accepting funds for a disaster is not an implementing ministry (e.g., the ministry will merely be forwarding the funds to another charity), ECFA believes best practices require:
    • The ministry initially receiving the gifts should, in the spirit of transparency, disclose the fact that it is not an implementing ministry.
    • Administrative overhead charges by the ministry initially receiving the gifts should not exceed the actual costs relating to handling these specific gifts (e.g., it is inappropriate to use the ministry’s overall overhead rate in determining the overhead to be charged to disaster gifts).


This text is provided with the understanding that ECFA is not rendering legal, accounting, or other professional advice or service. Professional advice on specific issues should be sought from an accountant, lawyer, or other professional.