Google AI


Modern Australian

Next time, we've got to handle emergency donations better

  • Written by: Debbie Wills, Lecturer in Accounting, University of Tasmania

As Australia burned over summer, many of us gave generously, donating an extraordinary A$500 million by mid-January.

Charities had to scramble, as did organisations directing us to charities. For its new year’s eve fundraiser the ABC chose the Red Cross.

Weeks later, the New South Wales state MP for Bega, Andrew Constance, a local whose electorate was in the heart of the fires, attacked the Red Cross, and also the Salvation Army and St Vincent de Paul, arguing not all of the money was getting through:

The money is needed now, not sitting in a Red Cross bank account earning interest so they can map out their next three years and do their marketing.

The Red Cross responded, conceding it was using 10% of donations for administration but noting that it was handing out A$1 million every day.

The confusion and negativity continued, with comedian Celeste Barber seeking legal advice over the fate of A$50 million she raised for the NSW Rural Fire Service.

Read more: Celebrity concern about bushfires could do more harm than good. To help they need to put boots on the ground

It was too much for the fire service to spend quickly on running expenses and buying and maintaining equipment. And it was prevented by its trust deed from passing it on to other charities.

The fallout suggests we want to be sure our money is being used to help, but we’re not sure that it is.

What can charities and donors do?

My research into the role played by reputation in donations indicates that it is important for charities to define their role clearly.

This includes stating plainly how they are meeting the reporting and other requirements imposed on them by the Australian Charities and Not-for-profits Commission and educating the public about those requirements.

We need to do our research, think carefully before donating, and watch out for scammers.

It is important to be comfortable with each charity’s mission and objectives. They cannot act outside them without running the risk of being deregistered.

We can search for information on all charities using the commission’s charity search tool www.acnc.gov.au/charity, or for smaller sets of charities using charity ranking sites such as:

The Australian Charities and Not-for-profits Commission already does a lot, but given the power, there’s more it could do.

What can Australia’s regulator do?

It could require funds raised for emergencies to be kept in trust, and reported on in more detail at regular intervals through a running statement of distribution of funds.

It could require further standardised reporting, although this would be expensive and charities are already heavily criticised for the percentage of funds used for administration.

It could also set up a one-stop shop for disaster relief.

Next time, we've got to handle emergency donations better Brian May and Adam Lambert of Queen perform at the Fire Fight Australia relief concert in Sydney, Sunday February 16, 2020. Joel Carrett/AAP

The department of foreign affairs set up one for foreign disasters that was first used for the Bangladesh-Myanmar appeal in 2017, bringing together eight Australian charities to create a single website and a single phone number that could be used to direct calls to each individual charity.

There are understandable calls to do the same thing for domestic disasters.

Some charities might not welcome combined appeals, fearing they would reduce their own visibility and impose more hurdles. But the hurdles shouldn’t be impossible to leap. A global organisation has been set up to ensure best practice.

Read more: How to select a disaster relief charity

The Advance Global Australian Bushfire Appeal set up by five charities during the bushfires shows what can be done, as does February’s Fire Fight Australia concert.

A government-certified single point of contact, backed up with specific reporting requirements, could provide a level of certainty that the public feel more comfortable with in times of emergency in the future.

Authors: Debbie Wills, Lecturer in Accounting, University of Tasmania

Read more https://theconversation.com/next-time-weve-got-to-handle-emergency-donations-better-132273

Downsizing or Upgrading Your Caravan? Here's How to Sell It Without the Hassle

Selling a caravan can feel like a major task, especially when you are unsure about its value, paperwork, or how to find a buyer. Whether you are dow...

The Best Overseas Adventure Holidays for Australians Who Love the Outdoors

Australia offers no shortage of incredible outdoor experiences, but sometimes the best way to satisfy your sense of adventure is to head overseas. A...

Cape Town Wine Shuttle: Winelands Tasting & Tours

Embark on an unforgettable journey through the picturesque Cape Winelands, where world-class wines and breathtaking scenery await. Our Cape Town Win...

Why Giant Rats Tail Grass Keeps Coming Back After Spraying

Giant Rats Tail Grass (GRT) is one of the most frustrating pasture weeds for farmers and lifestyle property owners. You spray an infested area, see th...

When Custom Cardboard Boxes Make Sense for Your Business

Custom cardboard boxes can be useful when a standard carton does not fit a product, packing method or presentation requirement particularly well. A ...

Virtual Livestock Fencing and GPS Tracking: Improving Visibility Across Cattle Properties

What Virtual Livestock Fencing Means for Modern Cattle Management Managing cattle across extensive properties requires more than knowing where anim...

Sydney Pawnbrokers Explained: How Hocking Your Car Actually Works

Sometimes you need cash, and you need it soon. If you own a car, you may already have a way to get it. That's what people mean when they say they've...

Moving Interstate from the Gold Coast to Brisbane (or Back)? What Removalists Wish You Knew First

Have you talked to anyone who’s done the move? They say the same thing: the drive up the M1 is the easy part. It's everything around it that catches...

Why the Spring School Holidays Are a Great Time to Visit Coffs Harbour

The spring school holidays are a good time to spend a few days on the Coffs Coast. The weather is starting to warm up, there is plenty to do outdoor...

What to Do When an Older Car Is No Longer Worth Keeping in Melbourne

Ever looked at another repair quote and wondered whether your old car is still worth the trouble? It is a common turning point for Melbourne motoris...

Your Baby's First Year: A Local Guide to Feeding, Sleep, and When to Get Extra Support

Ask ten parents in a Brisbane mothers' group how their baby is feeding or sleeping, and expect ten different answers.  Someone's baby sleeps throug...

Kitchen and Laundry Makeover Ideas That Don't Require a Full Renovation

Full kitchen renos are expensive — and most people don't actually need one.  They need the kitchen to stop looking like it's stuck in 2009, or they...

How Technology Is Reshaping the Modern Australian Commercial Kitchen

The commercial kitchen has always been shaped by technology. Refrigeration changed how ingredients could be stored, modern ventilation transformed k...

The Number on a Roller Blind Fabric That Nobody Explains

Somewhere in the fabric book, next to the colour name, there is a percentage. Three per cent. Five per cent. Ten per cent. Nobody explains it, most c...

What’s Trending in Men’s Jewellery This Father’s Day!

Finding a Father’s Day gift that feels personal, stylish and genuinely wearable is not always easy. While socks and novelty mugs have traditionally ...

Road Signs: Understanding Their Role in Clear and Effective Signage

Effective signage and display hardware can help businesses communicate information, promote products and organise customer or visitor movement. Road...

Bottle Label Printing: Key Factors to Consider Before Your Next Packaging Run

Effective packaging begins with understanding the product, bottle material, artwork and production requirements when planning bottle label printing. H...

Planning a Long-Distance Move With Interstate Movers Melbourne

Moving between states involves more planning than a typical local relocation. Along with packing and transporting household belongings, you need to...