Edward Kialoa, 55, is getting a second chance in life, and he credits US Vets Hawai'i, a nonprofit organization that runs a shelter for homeless veterans in Kalaeloa.

"This is like an oasis for a lot of us," said Kialoa, a homeless Army veteran who took up residence at the shelter about six months ago. "It's incredible."

Kialoa's experience is but one of the thousands of ways, big and small, that charities help Hawai'i residents every day of the year.

From housing the homeless to caring for the sick, from hosting sports leagues to handing out school scholarships, the nonprofit groups take some of the burden off government, playing a vital role in making Hawai'i a better place to live, work and play.

Like in any industry, though, a tiny percentage of organizations or employees will attempt to bend the rules for their own gain. Charities aren't immune to misconduct and abuse. And when such misdeeds erupt into headlines, the publicity tarnishes the industry and gives philanthropy a bad name.

But the vast majority of charities abide by the regulations and keep sharp focus on their charitable missions, people inside and outside the industry say.

"The not-for-profit sector is thriving here," said Brian Schatz, executive director of Helping Hands Hawai'i. "It does incredibly important work."

That work touches on all aspects of Hawai'i life. Nonprofits are busy trying to broaden the state's economic base and create jobs. They're counseling drug addicts and abused spouses. They're teaching kids the joys of music and art. They're helping keep the environment clean and the roads safe.

And because charities typically rely on public support — through donations, grants or government contracts — to fund their operations, they realize that maintaining the public's trust is critical to their missions.

"It's extremely important," said Michael Ullman, a consultant to several charities. "As a nonprofit, you always want to stay above reproach. You don't even want to go to the edge."

To preserve that public trust, the well-run nonprofits will have systems in place to ensure that donor dollars are spent prudently and are properly accounted for, nonprofit executives say. And it's not just the big mainstream charities that have such systems.

"There are some small organizations that know where every penny goes every single day of the week," said Kelvin Taketa, president of the Hawai'i Community Foundation.

Kialoa, the homeless veteran, sees first-hand the good that charities do on a daily basis. At the US Vets shelter, where he helps out, Kialoa has a roof over his head, takes regular showers, enjoys three meals a day and has access to a host of other services.

"Right now, if it wasn't for this place, who knows where I'd be?" he said.

Reach Rob Perez at rperez@honoluluadvertiser.com.