Remote communities face millions in disaster recovery shortfalls under Federal proposal
Media statement - 10 July 2026
Remote communities could be left to foot million-dollar bills for critical disaster repairs and resilience works under proposed Federal Government changes to disaster recovery funding.
Damage to the Clara River Crossing, Richmond Road in Croydon Shire following TC Kirrily.
The North West Queensland Regional Organisation of Councils is calling on the Federal Government to scrap a proposed move to 50:50 federal state funding, warning it would shift an impossible cost burden onto some of Australia’s most remote, disaster-exposed communities.
Croydon Shire Mayor, Trevor Pickering said the move would shift more cost and risk onto remote councils like his - councils that are already managing vast road networks, repeated severe weather events and limited local revenue.
“When Croydon’s roads and crossings fail, the impact flows well beyond the shire boundary. It disrupts stock movements, freight, supplies, services and the regional industries that help drive Queensland and Australia’s economy,” Mayor Pickering said.
“Distance, geography, supply chain constraints, limited contractors and high construction costs already make recovery more expensive in remote Queensland.”
“A funding model that leaves a funding shortfall would make recovery and building back better slower, harder and increase potential for reduced scope or scrapping works altogether.
Mayor Pickering said their estimates showed how devastating the proposed changes would be for small remote communities.
“Following Cyclone Kirrily, Croydon secured around $44 million in Category A and B DRFA investment for 2024-25. Had this been under the proposed new funding arrangements, which would see the Federal Government’s contribution move from 75% to 50% contributions, that would mean a 15% funding gap, or a shortfall of around $6.6 million that needs to be covered by someone.
“For a shire with around 300 rateable properties, that works out to $22,000 per property - even stretched over five years it would mean $4,400 per property per year if those costs were to be passed onto Croydon Shire Council. And that cost would just snowball when another event hits,” he said.
“The idea that local ratepayers could cover a multi-million-dollar shortfall is completely unrealistic and unacceptable.
“You cannot ask our communities to stand up to repeated natural disasters, keep nationally significant industries connected, and grow their contribution to the economy, while leaving them with millions of dollars in funding shortfalls.”
“This is particularly unfair when the federal government receives the lion’s share of federal taxation revenue taking 80% over the state’s 16% and council’s 3%.”
The reality on the ground in Croydon - Clara River Crossing
For Croydon Shire Council, the Clara River Crossing on Richmond Road shows exactly why flexible, practical DRFA funding matters.
Aerial photo of damage to the Clara River Crossing, Richmond Road in Croydon Shire following TC Kirrily.
The crossing is a 300-metre floodway on Richmond Road, an essential transport link connecting Richmond Shire to Croydon and surrounding North West Queensland communities, properties and industries.
Following Tropical Cyclone Kirrily and associated rainfall and flooding in early 2024, the crossing was severely damaged, resulting in loss of access and major impacts for local communities, freight movement and regional economies.
Through the 2025 DRFA program, Croydon Shire Council secured funding to repair the crossing and deliver a value-for-money outcome that will provide a stronger level of service and improved resilience against future flood events.
Like all of Croydon’s recovery and betterment program of works, this is not simply a road repair. It is about keeping essential goods and services moving between communities, supporting local and regional economies, and reducing the risk of repeated damage during future wet seasons.
Under a 50:50 funding model, projects like this become harder to deliver.
If Council had faced this kind of funding shortfall, the repair solution may have been reduced in scope, placing communities at greater risk during the next wet season and exposing the site to recurring damage and repeat expenditure.
Image 1: Aerial image of the damage to Clara River Crossing, Richmond Road in Croydon Shire, following Cyclone Kirrily (source: Croydon Shire Council)
Image 2: Clara River Crossing sustained substantial damage following flooding associated with Cyclone Kirrily. (source: Croydon Shire Council)
Contact:
Josh Dyke, Executive Officer – NWQROC
josh.dyke@nwqroc.com.au | 0473 795 066
