Disaster Ready Fund - Round 3 FAQs

Applicant eligibility is outlined on the Disaster Ready Fund Round 3 Guidelines.

Project eligibility is outlined on the Disaster Ready Fund Round 3 Guidelines.

Submission of applications to Lead Agencies close on 2 April 2025. Late applications will not be accepted unless RA is satisfied that the acceptance of a late submission would not compromise the integrity and competitiveness of the process.  

Yes. Applicants can still submit an application regardless of whether a Registration of Interest was submitted. The Registration of Interest process was voluntary and does not impact eligibility for future applications to the DRF program.  

No. There is no mandatory EOI process for Round 3, however, applicants had the opportunity to voluntarily register their project concept with RA and indicate the type of support they require. This was not mandatory and therefore not a pre-requisite for submitting an application when Round 3 commences.  

Please note that the Project Concept Registration of Interest process closed on 16 December 2024 and the Applicant Support Survey closed on 4 December 2024.  

The purpose of the Project Concept Registration of Interest form was to:

gauge stakeholder interest in applying for Round 3 of the DRF program

provide high-level feedback on project concepts and guidance on what NSW considers a highly suitable application (based on criteria from previous rounds and NSW priorities).  

Project Concept Registration of Interest responses does not impact eligibility for future applications to the DRF and was not a selection process.  

The RA was gathering information to improve the support available to applicants throughout the Round 3 application process.  

To indicate support preferences for Round 3, potential applicants were asked to complete an Applicant Support Survey, which was open from 6 November  to 4 December 2024. 

No, only Australian state and territory government lead agencies are eligible to apply for funding via an overarching NSW Application to the Australian Government comprising of all project proposals.  

The RA is the jurisdictional lead agency in NSW. The RA will conduct a screening process to identify suitable projects for inclusion in the NSW Application to be submitted to the Australian Government. The Australian Government is the final decision maker on the assessment of projects and awarding of funding. ​ 

Yes, applicants must confirm that, if successful, they have or are willing to procure adequate broad-form public liability insurance and workers' compensation insurance policies covering all activities associated with the project. These policies must be maintained with a reputable insurance company throughout the funding period.  

Investment in infrastructure may include the construction of new infrastructure or expanding or upgrading existing infrastructure with the primary purpose of reducing disaster risk or increasing resilience to future natural disasters, but cannot include standard capital works such as maintenance (including repairs) and renewal of roads, buildings, drainage networks, telecommunications, open spaces and other existing assets.  

The upgrade of existing assets could be applied so long as the upgrades meet the intent of the DRF objectives and the project addresses all eligibility criteria specified in the Disaster Ready Fund Round 3 Guidelines. 

No, only one application is required for multi-jurisdictional projects Applicants developing these proposals must submit their project to:

• the Lead Agency in the jurisdiction that stands to benefit most from the project or,  
• where jurisdictions stand to benefit equally from a project, the application should be submitted to either the Lead Agency in the jurisdiction where the Applicant is based or if the jurisdiction where the Applicant is based is not a beneficiary, the application should be submitted to any of the Lead Agencies in relevant jurisdictions.

Please refer to section 7.2.3 of the Disaster Ready Fund Round 3 Guidelines.   

The Disaster Ready Fund Round 3 Guidelines specify that funding cannot be used for projects that have already received full funding or a commitment of full funding, including projects that have received funding from another source for the same purpose.  

Please refer to section 5.4 of the Disaster Ready Fund Round 3 Guidelines for further information.   

Organisations with an Australian Business Number (ABN) are eligible to apply for DRF Round Three funding.  

Please refer to the Disaster Ready Fund Round 3 Guidelines to ensure you meet all eligibility requirements. 

Appendix B of the Disaster Ready Fund Round 3 Guidelines provides details of the Councils with low rate bases. 

Section 5 of the Disaster Ready Fund Round 3 Guidelinesoutlines the eligible funding activities, across the domains of built, social, natural and economic. 

A sample Funding Agreement will be made available on the NSW Reconstruction Authority's DRF Round Three website before applications close (2 April 2025).  

Please refer to sections 10 - 13 of the Disaster Ready Fund Round 3 Guidelinesto understand the Australian Government reporting requirements. 

There is no maximum grant amount, but grants cannot exceed the total amount of available project funds. 

Further information on the Australian Government's Second National Action Plan can be found on the National Emergency Management Agency website.  

All proposals must meet the eligibility requirements set out in Section 4 of the Disaster Ready Fund Round 3 Guidelines. 

RA is unable to provide specific details about applicants. If you are looking to collaborate, you may wish to contact potential project partners directly. 

Individual file sizes cannot exceed 10MB.  

In addition to the mandatory attachments, applicants may provide up to eight additional, optional attachments to support the project proposal.

Please see section 7.6 of the Disaster Ready Fund Round 3 Guidelines. 

Social infrastructure projects are eligible to apply for DRF funding. The Australian Government has allocated $138 million notionally for infrastructure investment, which includes investment in social infrastructure.  

All projects must fall into at least one of the four domains, which includes built, social, natural and economic.  

Please refer to the Disaster Ready Fund Round 3 Guidelines to determine your projects eligibility.   

The key components of a Round 3 application and document requirements can be found within the online application form via SmartyGrants. In your application, you will be required to complete a mandatory attachment checklist to ensure all mandatory document requirements have been addressed.  

For further information on the key components of the Round 3 application and document requirements, please refer to the Disaster Ready Fund Round 3 Guidelines and additional applicant  support materials available on the on the RA webpage. The webinar 1 slide pack and recording will provide an overview of the key components of the DRF Round 3 as well as the required supporting documentation.  

Yes, you can reapply for future DRF rounds with the same project concept. However, funding objectives and criteria may change between rounds. We encourage to consider any feedback provided from both the Commonwealth and RA before reapplying.  

Following each information webinar a copy of the slide pack and recording will be made available on the RA website. Download a copy of the available presentations and register for upcoming information webinars.  
 

Further guidance on the structure and requirements of a cost-benefit analysis and business case are available within the Australian Government Guidelines and How-to Guide.

RA held a number of online information webinars to support applicants with Round 3, including the evidence requirements. Additional pre-recorded videos will soon be made available in March. 

NSW state funding or other funding sources approved for a project after 1 July 2023 is eligible as a co-contribution source (only where the Commonwealth’s contribution from the DRF is expected to extend or enhance that program or project subject to alignment with the DRF Objectives). If the original source of this State funding is grant funding, please ensure that the guidelines for the grant funding allow it to be used as a co-contribution, please refer to Section 3.1.2 of the Disaster Ready Fund Round 3 Guidelines for further information regarding co-contribution types and sources.  

Some applicants may need to seek formal advice from NSW Treasury regarding the suitability of using NSW Treasury funding for co-contributions where relevant. Please note Commonwealth funding sources are not eligible co-contribution sources for the DRF. 
 

Low-rate based councils must contribute at least 20% of eligible project costs. Please refer to Appendix B of the Disaster Ready Fund Round 3 Guidelines for the list of Councils classified as low rate-based.

Volunteer hours can be considered as an in-kind contribution, provided they are directly attributable to the delivery of the project. In-kind contributions can be based on existing resources, but cannot include historic work or staff time spent on a project. The in-kind contribution must be appropriately identified and valued in the project budget.  

The Commonwealth has not provided specific guidance on hourly rates for volunteer work however, volunteer hours should be costed at reasonable rate and aligned with the relevant industry rate and volunteer experience where applicable.  

"In-kind" refers to any non-financial contribution to project costs. This could include wages directly attributable to the project, supplies, materials and specific equipment required to execute the project.

"Historical investment" refers to funds already invested in a program or project on or any time after 1 July 2023.  

Please refer to section 3.1.2 of the Disaster Ready Fund Round 3 Guidelines and the glossary in Section 14 in the guidelines.  

Applicants can refer to section 3.1.1 of the Disaster Ready Fund Round 3 Guidelines to confirm the co-contribution requirements, categories and tiering.  

Your co-contributions can include, but are not limited to:

• a financial contribution provided at the time of project commencement
• in-kind contributions, such as wages directly attributable to the delivery of the project, and/or supplies, materials, and specific equipment required to execute the project
• funds already invested in a program or project on or any time after 1 July 2023 (historical investments), only where the Australian Government’s contribution from the DRF is expected to extend or enhance that program or project subject to alignment with the DRF Objectives.

There are no specific limitations as to how much of your co-contribution can be covered through financial (cash) or in-kind contributions, however no more than 50% of the co-contribution can be derived from historical investments.  

Staff salaries and on-costs that are directly attributed to the provision of the project are eligible expenditure items. This includes staff, contractor and consultancy salaries and on-costs, including administration costs such as training, utilities and travel.

Please see section 5.3 of the Disaster Ready Fund Round 3 Guidelines.  

In-kind contributions are non-financial co-contributions to project costs. These may include wages which are directly attributable to the delivery of the project, and/or supplies, materials and specific equipment required to execute a project.  

In-kind contributions can be based on existing resources, but cannot include historic work or staff time spent on a project. The in-kind contribution must be appropriately identified and valued in the project budget.

Please refer to sections 5.3 and 5.4 of the Disaster Ready Fund Round 3 Guidelines for examples of eligible and ineligible expenditure. 

It is unlikely that existing (or future) land valuations would be eligible in-kind contributions based on relevant rules (see in particular direct cost requirements in section 3.1.2 of the Disaster Ready Fund Round 3 Guidelines and the Glossary definition of in-kind contribution) and the intent of the program (which includes encouraging new investment from Applicants and delivery partners), noting that:

• an investment in the purchase of land after 1 July 2023 as part of a project or program that the DRF project is seeking to extend or enhance could potentially qualify as an historical investment under section 3.1.2 of the Disaster Ready Fund Round 3 Guidelines, although no more than 50 per cent of the required co-contribution could be derived from this;
• DRF funds cannot be spent on the purchase of land (section 5.4), and
• the Program Delegate will be the final decision maker on eligibility after considering applications in their entirety
   

Funds invested in a project on or any time after 1 July 2023 may be included as co-contributions, only where the Australian Government’s contribution from the DRF is expected to extend or enhance the project subject to alignment with the DRF Objectives.

The Application must clearly identify this in the project budget and describe how the DRF project will extend or enhance the prior investment.  

Please see section 3.1.2 of the Disaster Ready Fund Round 3 Guidelines. 

You can apply for the NSW Government co-contribution in the online application form via SmartyGrants. Applicants will need to provide a detailed explanation of the extenuating circumstances that prevent you and/or your delivery partners from meeting the co-contribution requirements set by the Australian Government. 

Evidence required to demonstrate co-contributions will only be needed if a project is successful in receiving DRF funding. This may include general ledgers, payslips, invoices, or a statutory declaration.

There is no specific definition of a high-value project. However, the Disaster Ready Fund Round 3 Guidelines make it clear that greater detail would be expected in the business case and budget for a $5 million project compared with a $250,000 project. 

If there are any changes to projects or other significant events that may impact project delivery (including but not limited to changes in scope, budget and timeframe), approval by the Australian Government approval will be required.  

Please see section 12.4 of the Disaster Ready Fund Round 3 Guidelines

Any funding shortfall either due to the funding approved or by the budget being exceeded during the life of the project should be discussed with the NSW Reconstruction Authority in the first instance.  

Please see section 8.2 of the Disaster Ready Fund Round 3 Guidelines

As per the Disaster Ready Fund Round 3 Guidelines, applicants must submit cost estimates prepared by a quantity surveyor or other relevant professional (e.g. actuarial or accounting advice that verifies project costs are accurate and realistic, ideally less than 12 months old)  for projects valued over $1 million, or prepared by the Applicant for projects valued under $1 million (ideally less than 6 months old). All estimates must include a contingency as a separate line item (minimum of 10 per cent, but consideration of a higher contingency up to 30 per cent for projects in complex or remote delivery environments is recommended).  

Your estimates and project budget should include sufficient contingency to allow for any variances in costs.

Further information on cost estimates will be provided in Webinar 4: Guidance on the financials and budget table. 

For Round Three, $200 million in Commonwealth funding is available across all jurisdictions in 2025-26. Refer to section 2.1 and section 3 of the Disaster Ready Fund Round 3 Guidelines for further information.  
 

For Round Three, $200 million in Commonwealth funding is available across all jurisdictions in 2025-26. Refer to section 2.1 and section 3 of the Disaster Ready Fund Round 3 Guidelines for further information.  
 

Under the DRF Round 3, you may apply for funding for the development of business cases and/or feasibility studies for future infrastructure (including investigation, modelling, concept planning and detailed design activities).  

You may wish to provide detail regarding the proposed construction program and proposed sources of funding throughout your application, for example within your project logic. Refer to the Disaster Ready Fund Round 3 Guidelines to understand the requirements for infrastructure projects.   
 

The Australian Government is yet to announce dates for the future funding rounds. NEMA has committed to providing $1 billion in DRF funding over 5 years from the 1 July 2023.  
 

Yes, all successful applicants will be required to participate in a project evaluation once their project has commenced. Guidance on the evaluation requirements will be provided.  
 

Successful applicants must provide evidence demonstrating how their projects has delivered measurable benefits aligned with the objectives of the DRF program. 

All NSW Government Agencies are required to coordinate the monitoring and evaluation of their initiatives, both ongoing and new, as per NSW Treasury Guidelines.  

NSW has adopted a maximum limit of four (4) applications that each lead applicant (organisation) can submit.  Applicants will be required to coordinate internally within their organisation to prioritise project submissions accordingly.  

Where feasible, we encourage you to consolidate projects under one project submission. 

The RA has appointed an external probity advisor for the NSW application process. Should you have any concerns regarding the probity or integrity of the NSW application please email the RA in the first instance at: drfnsw@reconstruction.nsw.gov.au.
 

Yes. RA can submit an application under DRF Round 3 for consideration in the NSW Application to the Australian Government, and would be subject to the same application and screening process as all other applicants.  

As RA is the Lead Agency for the NSW Application, probity measures have been implemented to ensure that there is a complete separation between RA staff who will be undertaking the screening of applications, and the individuals who will be involved in the development of the project proposal submission.   

Following the DRF Round 2 process, the RA has collated a range of feedback on what was considered a strong application.  Note, that this feedback relates to the assessment criteria from Round 2, which has slightly changed for Round 3. 

This includes, but not limited to:

Against Criteria 1: Project Alignment with disaster risk

• clear description of the problem/risk, project activities, expected outcomes, and overall impact
• an overview of the current level(s) of exposure and vulnerability to natural hazards, with a detailed comparison of the expected reduction in these levels if the project is delivered
• applications should also include quality evidence to support claims regarding the anticipated benefits and the reduction of exposure and vulnerability to natural hazards resulting from the project
• clear explanation of how the project will impact target locations and communities.  
• a description of how the project will offer lasting benefits beyond the DRF program duration.  

Against Criteria Two: Alignment with existing plans or development of plans:  

• alignment with the DRF objectives and investment principles, and the Second National Action Plan – clearly outlining how the project will achieve each of the program objectives and principles through targeted and risk informed approaches  
• detailed references to relevant risk reduction policies or risk assessments at the Local Government, State, or Commonwealth level, demonstrating how the project aligns with these efforts.  ​  

Against Criteria Three: Likelihood of project success:  

• demonstrated experience in managing and delivering similar projects​  
• low risks to delivery, with clear mitigations to address any potential challenges
• a detailed project plan, stakeholder engagement and consultation, and a budget proportionate to the project being delivered
• a realistic timeline with SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) milestones for successful delivery within the 3-year program timeframe.