Inverell Shire Council has welcomed the Australian Government’s decision to change its proposed Disaster Recovery Funding Framework.
The changes address key concerns raised in Council’s August 2026 submission. Council received an update on the changes at its Ordinary Meeting on Wednesday, 28 October 2026.
The original proposal would have cut the Commonwealth’s share of eligible disaster recovery costs from up to 75% to a uniform 50%.
It would also have lifted the minimum spend needed to access assistance from $240,000 to about $2.7 million.
Council’s submission strongly opposed both changes, warning they would shift costs onto the NSW Government and local councils and could leave smaller but locally significant disasters without support.
On 9 October 2026, the Australian Government announced it would:
• Keep the existing cost-sharing arrangements, under which the Commonwealth can contribute up to 75% of eligible recovery costs
• Keep funding for Counter Disaster Operations, such as protecting infrastructure, removing debris and restoring essential access during and after disasters
• Revise the proposed activation thresholds to improve access to disaster recovery assistance.
The announcement has been welcomed by the Australian Local Government Association and Local Government NSW.
The National Emergency Management Agency has confirmed that the existing arrangements will stay in place through the coming high risk weather season.
Mayor Kate Dight said the outcome showed the value of councils speaking up together.
“This is a great result for rural and regional communities like ours. Councils such as Inverell look after huge road, bridge and drainage networks with limited ability to raise revenue. The original proposal would have left our ratepayers carrying far more of the cost when disaster strikes. Council will keep a close watch as the final framework is developed,” Cr Dight said.
Council will continue to monitor developments through the National Emergency Management Agency, the NSW Reconstruction Authority and Local Government NSW.
Media Release: Inverell Shire Council
