History

The idea for the Charity Rater began with my work in several recovery organizations after the 2004 Asian Tsunami, which included the Crisis Corps, an independent NGO (non-governmental organization), and finally the American Red Cross. Working on the tsunami recovery efforts for three years helped me see the impact of aid from all perspectives: villagers, government officials, religious leaders, aid organization staff and directors, the United Nations, and donors. Through these interactions, I discovered that donors are the key to improving aid delivery, yet they often lack the necessary knowledge to make meaningful funding decisions.

As director of the Disaster Tracking Recovery Assistance Center (D-TRAC), I oversaw the tracking of all aid projects in post-tsunami Thailand and was involved in research on the impact of the recovery efforts. As part of my work, I met with U.N. and Red Cross staff and discussed the recovery efforts in Thailand and throughout Southeast Asia. I also participated in national and international initiatives on disaster response and traveled to Indonesia, Malaysia, and Geneva where I consulted with other organizations regarding their efforts to improve aid practices regionally and worldwide.

As D-TRAC’s reputation grew, I was sought out by individual donors, philanthropists, foundations, and corporations for advice on donating to the recovery efforts. While explaining problems that occurred on the ground, I found that even experienced donors held common misconceptions about aid. Through conversations with aid agency staff and directors, I saw the impact of these misconceptions on organization decisions relating to the type of aid and distribution of aid.

As an example, after the Asian Tsunami many donors found it more appealing to fund “sexy” projects, such as boat building or orphanages which allow for great photo opportunities. Because these were easy to fund they were built in excess of local necessity. Donors need to look beyond these “feel good” projects and consider funding less "sexy" projects, such as legal assistance which helps villagers secure legal documentation for free government health care.

I learned still more about the consequences of donor decisions on aid when, upon closing D-TRAC, I became the Program Coordinator for the American Red Cross Tsunami Recovery Program in Thailand. This position gave me an insider’s understanding of the pressures, priorities, and factors affecting aid organizations' decision making processes.

After returning to the states, I dedicated myself to donor education and began writing a book and blog, both titled Good Intentions are Not Enough, aimed at helping donors understand aid and what they should do to ensure that their donations match their good intentions. The feedback I received highlighted the need for a rating system that educates donors while providing a simple way to evaluate any aid organization.

This rating system is based on industry best practices, standards, guidelines, and research. Experienced aid workers, donors, the Division of Consumer Protection, and local nonprofits were consulted in developing the system. Although the system is still in development, it is being launched early to help donors make contributions to the best organizations aiding Haitian earthquake recovery efforts. I welcome all ideas and feedback.

Saundra Schimmelpfennig