I shudder to think what could have happened if your cat didn't have quick reflexes, and I also shudder to think what that dog could do to a small child. If I were you, I'd find out who she's running the rescue through and make sure that dog, (and probably many others) aren't being pawned off to unsuspecting families.
I love animals, I have 2 beloved dogs and a cat, a bird and a flock of chickens. I think of each as a beloved family member. That being said, a dog that is a danger needs to be kept away from those who cannot defend themselves. If a dog is placed in a home with small children, children that act like normal children, running and moving in twitchy unexpected ways-a dog that has a loose wire could kill that child just out of fun of the chase and catch.

Report that rescue, you could save the lives of many cats, small animals, children, and even the dogs, that if they wind up in the wrong home, hurt someone, can suffer a horrible fate.