Internet campaigns can raise a lot of money quickly, but survivors who don’t have a strong online presence might miss out.

A Maui wildfire fundraiser created by three local volunteers within days of the disaster has now distributed nearly $780,000 to displaced families.

While that’s a small portion of the tens of millions raised via online fundraising campaigns, the Help Maui Rise fund has drawn praise for its transparency and a commitment to disbursing donations more equitably by using data.

The fund has also managed to avoid the ethical and legal traps that can befall community-driven efforts through a partnership with the nonprofit arm of the GoFundMe fundraising platform.

The fund is worthy of recognition, according to Sally Ray, director of domestic funds for the , a nonprofit that advises communities on disaster recovery and manages several recovery funds. “Whenever there’s a focus to try to spread those dollars to everyone and make it an equitable recovery 鈥 and they’re trying to prove that 鈥 I applaud them,” she said.

The Help Maui Rise fund has distributed around $775,000 in cash to wildfire survivors, and has tracked all its giving publicly.
The Help Maui Rise fund has distributed around $777,000 in cash to wildfire survivors, and has tracked all the recipients through an online spreadsheet. It began as an effort to share direct links to verified fire survivor fundraisers on Instagram. (Screenshot/Help Maui rise/2024)

Ray said larger charities need to do a better job of getting funds to people who may be marginalized by age or language and not connected digitally. “There’s a need to make sure that everybody who is affected recovers from the disaster, and to be honest with you, our systems are not set up for that to be the case,” she said.

Well-managed locally focused efforts can be effective at distributing funds “but there needs to be accountability whenever you’re talking about donor dollars to support recovery,” Ray said.

Inequities In Donation Distribution

Digital fundraisers driven by social media have quickly become ubiquitous after disasters, according to Hudson Wells, executive director of , the charitable wing of the fundraiser site GiveSendGo. GiveSendGo has only 4% of the online fundraising market, but still raised an estimated $200,000 for fire survivors, with Wells’ nonprofit arm raising another $25,000.

The more-established GoFundMe.com platform, with over 30% of the online fundraising market, hosted hundreds of Maui fire campaigns, generating over $65 million in donations. With thousands of potential recipients featured online after a disaster, the most compelling stories on social media often end up driving donation choices, Wells said. 

Those without a strong social media presence, like kupuna, can often be marginalized.

The velocity of digital fundraising also creates risks from bad actors and well-intentioned people who aren鈥檛 set up to handle the funds they raise. 鈥淎nyone can go on a fundraising site and set up whatever campaign they want until it鈥檚 seen to be incorrect or something like that,鈥 Wells said.

While larger fundraisers like GoFundMe have strict rules and requirements for their campaigns, “I would say those independent ones where you’re sending money to PayPal or whatever, it is awfully difficult to track those dollars, for sure,” Ray said.

Oversight of the online fundraisers varies depending on which state they operate in, but there are tax pitfalls if fundraisers distribute amounts .

Sally Ray is the Director of Domestic Funds at the Center for Disaster Philanthropy.
Sally Ray is the director of domestic funds at the Center for Disaster Philanthropy. Ray said that there will always be a place for local organizations that can provide effective community support after disasters. (Center for Disaster Philanthropy/2024)

Online emergency fundraisers in Hawaii will be more tightly regulated by the state attorney general after the passage of . After January 2026, campaigns will be required to register, file regular reports and the AG will have more power to investigate how funds are solicited, handled and distributed.

The new legislation was driven in part by campaigns like which raised nearly a million dollars in the weeks after the Aug. 8 fires and is currently being audited by the Tax and Charities Division of the Department of the Attorney General.

The campaign founders, Maui real estate agent Eric West and his son Colton, initially said the money would be distributed as direct aid to survivors through a charity they would establish. 

That charity never materialized, and Eric West said he instead distributed over $750,000 to Maui churches and spent nearly $50,000 on direct support, supplies and other costs. Some of those disbursements have been confirmed, but all told there鈥檚 $160,000 to $175,000 unaccounted for.

That initial false representation is what drew the attention of the attorney general. Public Information Officer Toni Schwartz with the Attorney General’s Office said last week the department won’t comment on audits or pending cases.

West also didn鈥檛 respond to voicemail and text messages seeking comment. 

Regardless of legislation, Ray warns would-be fundraisers that “if you step into this space, you’re always going to risk being audited, accused of fraud, accused of inappropriate use of funds; so you need to be prepared for that and build your systems in a way that minimizes risk as much as possible.”

Donors should generally give to trusted charities in good standing, Ray said, “But I also know that there are some valid organizations that stand up quickly after a disaster and then go on to be a really strong community support in that space,鈥 she said.

The Help Maui Rise fund has tracked all of its donations in a public Google document.
The Help Maui Rise fund has tracked all of its donations in a public Google document. Many of the recipients come from non-English speaking backgrounds. The transparency about how funds are distributed helps create trust with donors.(Screenshot/Help Maui Rise/2024)

Partnering Up For Leverage

Help Maui Rise founder Kenna Reed, a photographer from Oahu, said the fund was 鈥渞ooted in this skepticism in myself and in others about who it was OK to donate to, and how much money you would donate to an organization would go to people who actually needed help.鈥

Reed said initially she began sharing links to individual wildfre fundraisers from her Instagram account because “there was so much talk about how there were no government officials there, and people just so desperately needed help, they needed cash.”

When people started asking her to repost appeals, Reed saw a need to try and verify recipients and create a public list of displaced families in need. 聽Another volunteer, Gabby Pascual, offered to create a Google sheet to share the list more widely and a week later there were 900 displaced households on it.

The online spreadsheet also provided transparency by allowing donors to see which recipients had received .

A flowchart from the Help Maui Rise fundraiser.
The Help Maui Rise has distributed nearly $800,000 in grants as well as directing donors to vetted displaced households. It was able to use the nonprofit wing on GoFundMe as a fiscal sponsor. (Screenshot/Help Maui Rise/2024)

Reed and Lahaina photographer Sam Feyen also set about verifying people through social media, personal outreach and mutual contacts. A couple of weeks in, GoFundMe reached out offering to help the volunteers review potential recipients. “That took the vetting process to a new level,” Reed said.

Then, GoFundMe pointed Reed to a relatively new program that with the platform’s registered 501(c)3 nonprofit GoFundMe.org. That fiscal sponsorship enabled Help Maui Rise to create its and accept tax-deductible donations from businesses and foundations. (Donations to non-charity fundraisers are usually not tax deductible.)

The pairing also gave Reed and the others support with security, compliance and legal cover. 鈥淚 think as GoFundMe has realized how serious I was about continuing this, they became a lot more serious about making sure we were doing things in the best way possible,鈥 she said.

As of April 8, $777,000 from the fund had been distributed through grants of $400 to $900 to more than 1,600 qualified households, GoFundMe spokesperson Alex White confirmed last week. GoFundMe distributed the Help Maui Rise funds using its own data to award the larger grants to households that had received lower levels of online support.

While recipients of the grants have to apply, the Help Maui Rise volunteers held workshops on Maui and created resources in Spanish, Tagalog and Ilokano to assist non-English speakers and older people fill out the application. No costs or salaries have been deducted from the fund, Reed said.

She hasn’t heard from the Tax and Charities Division.

Reed initially imagined that the fund would only exist for a couple weeks, 鈥渂ut as time went on it became apparent that people weren鈥檛 going to step in at the level that was needed.鈥 Now it鈥檚 10 months in, and she doesn’t feel comfortable walking away from it. “I see how alone some families feel, and they don’t feel anyone’s advocating for them,” Reed said.

Now Help Maui Rise has a system that can be used to help distribute funds for other organizations looking for a more equitable model, Reed said, and she has no intention of winding it down. 鈥淧ersonally I鈥檓 very frustrated with how much money is just sitting there not helping anyone.鈥

The Center for Disaster Philanthropy is a financial supporter of Civil Beat.

Civil Beat鈥檚 coverage of Maui County is supported in part by a grant from the Nuestro Futuro Foundation.

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