DonnaB

So many wonderful suggestions, I thank you very much. I presented them to our quilt group today, and we voted on having a silent auction, with raising the money for partly to Hospice, and some to our club for a nice memorial, and hopefully a badly needed 10 x 12 shed with a nice plaque on outside for our lost friend. Anything that doesn't auction off we will use to make Charity quilts in her name. We do plan to keep some of the tools and mats in our group supplys. We also will probably keep one of her kits to make a raffle quilt next year. Her dh already has so many quilts that she made I don't think he'd want another. I was really happy that our group voted to raise funds with this, rather than just expect to be given her quilting things. No gimmie, gimmie, gimmie in this group.

OHSue

In my weaving guild when someone passes we sell off all of her / his stuff. We sell it at rock bottom prices so it's not difficult to acquire stuff, and then we offer the money back to the family, usually they tell us to keep it for the guild, but we have also made donations at the request of the family.
We call them dead weavers sales and all joke about who is going to the the best one.

jlong

This past Saturday I was invited through an open invitation on Facebook, to a sale of a quilter's stash. She had recently died and her daughters were selling it to quilters. All the fabric had the yardage on it and it sold for $3 a yard. Fat-quarters sold for $.50 and books for $5. Everyone bought something.
You could decide how you would use the money that you make. It could stay in group or go to a charity or community project.