"There is so much goodwill in our community right now and we want to ensure that those who want to help with donations have somewhere to do so," said Chadwick.
"The picture of how Sunday's events impacted our district is constantly changing and having a fund supported by Council and the Government that can help those in need will ease a lot of anxious minds.
"The recovery period is going to be long process and ensuring our community is well supported is our top priority."
The fund would be used to address the needs of individuals, families, community organisations and/or marae and their associated facilities and infrastructure.
Work to establish the terms of reference and criteria for applications to receive the fund was under way.
Donations can be made to the bank account number below or in person at the front desk at the Rotorua Lakes Council building (1061 Haupapa St) between 8am and 5pm Monday to Friday.
Details for donations:
Account number: 02-0412-0234516-006
How: Direct Credit or in person at Rotorua Lakes Council building
The council's Civil Defence Welfare team is continuing to speak with affected residents to assess their needs.
The council was not aware of any goods that were required but we encourage people to call the council's customer centre on (07) 348 4199 if they would like to offer assistance of any sort.