U.S corporations have so much expertise, and the ability to give large commodity donations as well as cash, what is the best type of donation a corporation can make during a disaster?

Cash Is Best is Always Best

·        Professional relief agencies have established, proven standards for materials they use in the field, based upon the needs in the field.  From shelter specifications to kilo-calorie nutrition requirements, these standards must be met. Relief agencies cannot accept items simply because the donor imagines the item will meet the need.

·        Certain commodities have a proven track record in the field.  These are the supplies that professionals will rely on to help get the job done.  International disasters are not the time to wrestle with the unproven or try out experimental gadgets.

·        Time is of the essence.  In an emergency, professional relief agencies will call upon known suppliers that have a track record of being able to deliver reliable goods in a timely manner.  The confusion of sifting through miscellaneous offers once a disaster has occurred leaves relief personnel with little time to deal with the matter at hand – saving lives.

·        The demands for corporate logo placement, personnel participation and marketing/public relations opportunities that go along with a valuable corporate contribution only encumber a relief operation and it’s personnel.

·        Some items just are not needed as part of international disaster relief operations.

·        Professional relief agencies use a “Pull” system versus a “Push” system in the field.  This means that requests for specific materials generate a pull for specific materials to be sent to the site.  A “Push” system means that materials are “pushed” onto a disaster site, without any requests or need for those items. Pushing unneeded supplies into the field only serves to compound the problems of donations management.

·        Cash contributions are most immediate. They allow first responders and on the ground NGO’s and local government to obtain the most immediate materials and supplies they need as they need them.  This ability to purchase the immediate necessities also eliminates duplication and over donating of equipment, services and materials to the disaster site.

·        Transportation.  Cash is easily sent via wire transfer and does not require space on an aircraft as well as  shipping lines.  In comparison to the amount of material donations to the amount of free space available for transportation, the free space becomes is barely minimal.  Free space is at a cost, not just monetary but in time. Time is needed to collect materials, arrange for transportation and then sort and inspect the donations and as corporations know, time is money.  Storage of in-kind donations is very expensive.   

·        Economics. Obviously, a disaster disrupts the areas economy, therefore it is critical to re-establish the disaster areas local economy as quickly as possible.  Cash donations do exactly this, by purchasing locally when possible revenue for local businesses keeps circulating which means people remain employed which means the area will remain somewhat self sustaining.

The Exceptions… 

Transportation.  Offers of transportation CAN be extremely valuable to international relief agencies IF this offer is used     properly.  Many times offers of air cargo space is used for in-kind collections of used clothing, bedding, canned foods and other   items that professional relief personnel discourage.
 

Approved, Urgently Needed Materials, ALREADY in the region, already labeled in the local language, with trained personnel prepared to handle the necessary logistics arrangements and the funding to cover the costs of accepting this donation.
 

Goods and services provided through your local corporate offices in the affected country.

A note about expertise.  Most countries already have educated, well-qualified personnel who are able to participate and contribute in their country’s response and relief efforts.  NEVER assume that foreign personnel need to be sent to the site because local talent or expertise is not available.

See Guidelines for Corporations Donating Commodities

I work for the law firm (or public relations firm) of a large corporation.  I have been asked to find out how to make a large material corporate donation. What are my next steps?

The first thing you should do is contact the Center at 703-276-1914. We will first determine whether your potential donation is actually appropriate for, or needed in, the field. There are many details, such as the quantity and quality of the donation—along with requirements for transportation and warehousing. Please contact the Center, we would be delighted to work with you to find out if a match is possible! Another alternative is to go to the Center’s Registration Data Base, to provide us with the information on-line.  If the offer is not needed or appropriate for international disaster, the Center can make referral to organizations in the U.S. that may be interested in the offer.  Please follow the directions at www.cidi.org/reg_off.htm

Each time there is a large international disaster our company is asked for a donation.  We of course would like to help but how do we decide which disaster is needs our help more?

First, get the facts on the current disaster.  Educate your company about disasters.  For example  learn when hurricane season occurs or when droughts occur.   You should also consider joining CIDI's listserv where you can receive emails of situation reports on all natural disaster, civil strife or both. 

High profile disasters receive plenty of media coverage, but there are always on-going, long-term crises occurring around the world.

Next, if your company doesn't have one, create a disaster plan or a plan of how to respond, not react.  A corporation interested in contributing to an international disaster should have a disaster plan and a set of procedures that they will follow.  CIDI can assist or review a corporation’s disaster plan to offer guidance and suggestions to ensure that the corporation meets their mission and is of the greatest assistance the disaster victims. Please contact CIDI’s Private sector Specialist with any questions at 703-273-8900, ext 13.

When thinking about disaster donations, corporations need to look at the whole disaster, in terms of phases.    Sample Corporate Disaster Plan

I am understanding your message of cash is best but as a business there are greater ramifications with cash donations if we accidentally or unknowingly donate to an organization that supports terrorists.  How can we make sure we follow the anti terrorism provisions?

The Center for International Disaster Information (CIDI) provides links to InterAction’s list of responding agencies for each international emergency and Global Giving. Both of these organizations have their NGO members and partners go through rigorous financial and policy reviews to ensure that cash donations are used appropriately.  Please see www.globalgiving.com/cb/cidi for more information

Additional information on the updated anti-terrorism guidelines can be downloaded here: U.S. Department of the Treasury Anti-Terrorist Financing Guidelines: Voluntary Best Practices for U.S. based Charities or go directly to: www.treasury.gov.

For information on U.S. sanctions and a listing of sanctioned organizations can be downloaded here: U.S. Department of the Treasury Office of Foreign Assets Control: What You need to know about U.S. Sanctions or go directly to: www.ustreas.gov/offices/enforcement/ofac.

How can I be sure that I can trust these agencies to use my cash to really help disaster victims?

If you have a preferred agency with relief activities underway in the disaster-stricken country, you are encouraged to support them.  If you do not have a preferred agency (or if your preferred agency does not have a program in the country to which you would like to provide assistance), the CIDI website will offer useful information, which may help you select a satisfactory organization.

During major international emergencies, the Center for International Disaster Information (CIDI) provides a link to InterAction’s list of responding agencies for each international emergency. InterAction is a coalition of its member non-governmental organizations. In order to acquire and maintain membership, each organization must go through rigorous financial and policy reviews to ensure that cash donations are used appropriately. For additional information about InterAction, its membership and standards, please visit www.interaction.org.  CIDI has also teamed with GlobalGiving so you may direct your donations to specific projects on the front lines of disaster relief and reconstruction. This innovative program eliminates many of the obstacles faced by more traditional relief services, for more information please visit  www.globalgiving.com/cb/cidi/.

For additional information, the Center also recommends that you visit the Better Business Bureau’s site at www.bbb.com. The Bureau, along with the National Charities Information Bureau and the Council of Better Business Bureau’s foundation and its Philanthropic Advisory Service have joined to form the Wise Giving Alliance, where you can find valuable information on making informed decisions when supporting charities. The web site is located at www.give.org.  Other sites that can assist with background and additional information on agencies supplying disaster relief are: Charity Navigator at www.charitynavigator.org, Guidestar at www.guidestar.org, and the Chronicle of Philanthropy at www.philanthropy.com.

Historically, after major disasters many non-registered, unofficial "relief agencies" begin collecting cash donations they claim are destined for disaster relief victims. Some are never registered with the U.S. government as legitimate charities, though they may place advertisements in newspapers and on internet web sites. There is little follow-up to ensure that the funds these groups collect ever reach disaster victims. The Center cautions individuals and groups to make sure their donations are made to legitimate groups. If you have questions regarding these groups, be sure to request copies of this group’s audited annual reports, proof that this group has registered as a legitimate charity with the Internal Revenue Service, and proof of a track record in international disaster relief activities.

I want to be sure that my cash donation benefits the victims, not to pay the staff salaries and overhead of the relief agency. What is the appropriate range of overhead that these relief agencies should be charging?

This is a difficult question and one that we receive often. There are some relief agencies that operate with very low overhead rates, mainly because their activities focus on the collection of materials and arranging the necessary transportation for these items to disaster sites. These agencies do not require large numbers of employees to provide support on the ground. On the other hand, there are other relief agencies with higher overhead rates who send personnel to the disaster site to administer the transportation, distribution of commodities and manage relief, rehabilitation and reconstruction programs to ensure that your gift reaches those who need it most. Clearly these programs require more personnel and resources than others—and will have higher overhead rates. It is your choice which agency you would like to support. On InterAction’s list of agencies responding to different international emergencies, there are short descriptions that provide specific information about the kinds of activities they are undertaking. There is always a web site link from the CIDI to InterAction. If you wish to reach InterAction’s web site directly, go to www.interaction.org.

Can I receive some sort of report on how my cash donation to a relief agency was spent?

You may request this information from the agency to which you make your donation.

VOLUNTEERING

My company has many employees that  would like to volunteer a few days of their time as international disaster relief workers.  We have many international clients and vendors.  We don't have any experience in disaster relief, but our employees feel volunteering their time is the best way to be involved. 

The Center receives thousands of calls each year expressing the same desire to volunteer for international disaster relief assignments. The reality is that volunteers without disaster relief experience are generally not selected for relief assignments. Candidates with the greatest chance of being selected have fluency in the language of the disaster-stricken area, prior disaster relief experience, and expertise in technical fields such as medicine, communications, logistics, or water/sanitation engineering. In many cases, these professionals are already available in-country.

Most agencies will require at least ten years of prior experience, as well as several years of experience working overseas. It is not unusual to request that volunteers make a commitment to spend at least three months working on a particular disaster.

Most offers of "another body" to drive trucks, set up tents, and feed children are not accepted. Local volunteers and even disaster victims themselves are available, and benefit from, being actively involved in their own relief activities.

Keep in mind that once a relief agency accepts a volunteer, that agency is responsible for the volunteer’s well-being –i.e., food, shelter, health and security. Resources are strained during a disaster, and another person without the necessary technical skills and experience can often be a considerable burden to an ongoing relief effort.

Volunteers should also keep in mind that relief work is a profession -- and that it takes a unique individual who can work effectively in incredibly difficult conditions.

SECURITY

Our company has employees who are US citizens and are living in the country where the disaster occurred. How do I find out if they are all safe?

In this instance, your best resource is through the State Department’s Bureau of Consular Affairs. General information can be obtained from the State Department web site at www.state.gov. It is best to check the web site for information you will need before calling the State Department. For immediate assistance, the Consular Affairs phone number is 202/647-5225.

Our company needs to assess the damgaes and we were planning to travel overseas, but from what I see on the news, I’m not sure if we should still go. I understand that the airport is open, but I wonder is it still safe to travel there?

Again, the State Department is your best resource. For information regarding travel, travel warnings and other related information, please visit the Travel-related section of the State Department’s web site at www.travel.state.gov for up-to-date information regarding your destination.

CONDUCTING BUSINESS and BIDDING ON POTENTIAL CONTRACTS

I am a manufacturer of materials that I feel would be useful for disaster relief organizations. How do I get my company listed as a resource?

First, we invite you to register with the Center’s data base for offers of commodities—both for sale and/or donation. It is a resource we use when relief agencies are looking for specific materials. When they are looking for a specific commodity, they will contact your company directly—and you can work out the details. To register, simply go to the section for ‘Registration’ and complete the form for offers of commodities. Please remember that registering your offer does not guarantee that a relief agency will contact you. Agencies procure supplies based on real needs in the field and whenever possible, these agencies acquire supplies as close to the disaster site as possible to support local/regional economies and therefore significantly reduce transportation costs. Readers should note that information contained in this data base is not intended for government procurement or contracting purposes. Information that you supply in the data base is used for US government and relief agency use only.

I am interested in bidding on US government contracts to be involved in international disaster relief activities. Where do I find information?

Information regarding U.S. government contracts related to international relief and development programs can be found Business and Procurement section of the United States Agency for International Development (USAID) web site www.usaid.gov. Notices for bids are accessible through the Commerce Business Daily publication (information provided from the USAID link).

My company is interested in pursuing business opportunities in a country that has recently experienced a major disaster. What is the best resource for investigating my options?

The Commerce Department has a wonderful program for assisting U.S. companies that wish to do business abroad. For additional information, visit the Commerce Department’s web site at www.commerce.gov.

This FAQ was developed in July 2004, and contains information from the Center for International Disaster Information’s (CIDI) Guidelines for Effective In-Kind Private Sector Donations. The Guidelines are excerpts from "Managing Resource Coordination for Sudden-Onset Foreign Disasters: A Case Study Focusing on the United States’ Response to Hurricane Gilbert/Jamaica" by David Callahan, VITA, 1989. Excerpts from this document should reference CIDI as the source.