Q. If one is approached during Purim by people collecting for matonos laevyonim for the local needy and also for the Aniyei or poor of Eretz Yisroel, what should he choose?
A. Rambam (H. Matonos Aniyim 7: 13) based on Sifri (Devarim 15) rules that the needy of one’s city take precedence over others. However, Poskim disagree if that includes also the impoverished of Eretz Yisroel. Bach (Y.D. 251) maintains that the local poor prevail, while Peas Hashulchan, Maharam Galanti (76) and others disagree and opine that the Israeli destitute preempt, since besides the mitzva of tzedaka, they are also involved in Yishuv Eretz Yisroel.
Teshuvos Vehanhogos (Y.D. 2: 470) explains that the priority to the resident impoverished applies when one faces them. He also mentions other factors and conditions. See also Y.D. 3: 283
Horav Shlomo Miller’s Shlit’a opinion is that in principle, one should give first to the local needy.
Rabbi A, Bartfeld as advised by Horav Shlomo Miller and Horav Aharon Miller Shlit”a