USA Accounting for church holding fundraisers

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I have a question. A church hosted a non church fundraiser for someone with a medical condition. The church stated that $1200 was collected but before disbursing the funds the money had to be made "legal". The family who the fundraiser was for ended up receiving a check for $119. What accounting functions occur when making fundraising money legal and does a church keep that large of a portion?
 

kirby

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Only way this makes sense is if the church collected $1,200 but had roughly $1,080 in costs to raise that money.
Otherwise you could say the family was not "prayed for" but "preyed on."
 

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