Government Revises Disaster Recovery Funding Framework

The Federal Government has revised its proposed Disaster Recovery Funding Framework following consultation with councils and disaster-affected communities.

In a joint announcement on Friday 9 October, Treasurer Jim Chalmers and Minister for Emergency Management Kristy McBain said the changes would give communities more certain funding after disasters.

Under the revised framework, the Commonwealth will keep the current cost-sharing arrangements, providing up to 75 per cent of disaster recovery funding when certain criteria are met. Councils will also retain the ability to claim costs under Counter Disaster Operations, and funding activation thresholds will be revised.

The framework, first announced in June, responds to recommendations from the Independent Review of Commonwealth Disaster Funding, led by Andrew Colvin AO APM.

Mr Chalmers said the changes were the direct result of advocacy from councils and Queensland federal Labor MPs.

“When disaster strikes, we will be there with the funding to help people get back on their feet, and that’s what these changes are all about,” he said.

Ms McBain said she had engaged with councils across the country and wanted the reforms to reflect the varying experiences of communities.

“The reforms will also help ensure the system is fairer, and it’s easier for councils to access funding when they need it,” she said.

The Government said the framework builds on other emergency management measures, including the National Emergency Management Agency (NEMA), the $1 billion Disaster Ready Fund, more than $100 million for national aerial firefighting capability, the National Emergency Management Stockpile, and AusAlert, the new national emergency warning system.

For brokers with clients in disaster-prone regions, the framework determines the public recovery funding available to local councils, which operates alongside private insurance in the recovery process.