Canada Revamps Disaster Recovery Funding Program

Public Safety Canada

In recent years, Canadians have witnessed the rising frequency and severity of extreme weather events, like floods and wildland fires, destroy homes, businesses, and critical infrastructure, which leave lasting impacts on communities right across the country. As such, it is crucial to take action to reduce the impacts of these disasters, support Canadian communities in adapting to climate change, and provide timely and effective assistance for those affected as they recover and rebuild.

Today, the Honourable Harjit S. Sajjan, President of the King's Privy Council for Canada and Minister of Emergency Preparedness and Minister responsible for the Pacific Economic Development Agency of Canada, was at the Canadian Red Cross' (CRC) Ready 2025 conference to announce additional details on the upcoming modernization of the Disaster Financial Assistance Arrangements (DFAA) program, which is anticipated to come into effect on April 1, 2025.

The modernized DFAA program ensures that when disasters impact Canadians and all levels of government, financial assistance to provinces and territories will be delivered quickly and efficiently in the aftermath of a disaster, and also provide:

  • Increased investments in strategic disaster mitigation and building back better to minimize disaster impacts on communities and the risk of future disasters;
  • Incentives for risk reduction, pre-disaster planning, and improved hazard awareness to reduce the risks and impacts of disasters; and
  • Expanded support for people hardest hit by the impacts of significant disasters.

Today's announcement marks the on-time completion of a key target of Canada's National Adaptation Strategy, completing by 2025 the modernization of the DFAA program to reduce the risk of climate-related disasters and improve disaster recovery outcomes. The Strategy lays out a framework to reduce the risk of climate-related disasters, improve health outcomes, protect nature and biodiversity, build and maintain resilient infrastructure and support a strong economy and workers.

The DFAA was reviewed and modernized in close collaboration with provinces and territories, and was guided by significant inputs from Canadian and international experts, including by the findings presented in the DFAA advisory panel's final report Building Forward Together: Toward a more resilient Canada.

The Government of Canada will continue to work closely with provincial and territorial governments as they transition to the updated program, and is committed to supporting Canadians whose lives are impacted when disasters strike, helping communities recover, and, ultimately, increasing our resiliency.

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