Natural disasters: the DSEC budget increased to 70 million euros and extended to emergency works

State support for the repair of public facilities damaged by climatic or geological events is changing. Decree No. 2026-788 of August 12, 2026, reforms the solidarity grant for the equipment of local authorities and their groupings (DSEC).

At the same time, the government announces that the budget allocated to the scheme will reach 70 million euros in 2026, compared to 30 million in 2025. This increase of 40 million euros represents a rise of 133%, or more than a doubling.

Which local authorities can benefit from the DSEC?

The grant can support municipalities, inter-municipal public cooperation establishments (EPCI), inter-municipal unions, departments and regions affected by a serious climatic or geological event.

To be eligible, the cumulative amount of damage caused to property affected by the same event must exceed €150.000. When several local authorities or groups are affected, their damages can be taken into account when assessing this threshold, provided they have the same origin.

The local authority must manage the works itself. The DSEC (Department of Public Works and Construction) primarily intervenes to repair property considered uninsurable. Buildings and other equipment covered by insurance are therefore not automatically covered.

Emergency work becomes eligible

The main change in the decree concerns the inclusion of certain operating expenses in the subsidy base. Until now, the DSEC primarily financed investment expenses related to the repair of damaged infrastructure.

Operating expenses, excluding personnel costs, incurred during the event to carry out emergency work on eligible property and ensure its safety can now be included.

The ministry cites, in particular:

• the clearing operations;
• pumping operations;
• the rental and installation of a temporary bridge;
• other immediate interventions necessary to secure the affected equipment.

This development can facilitate the rapid mobilization of public works, earthmoving, sanitation, pumping or temporary works companies, without waiting for the launch of the definitive reconstruction program.

Cycle paths and pedestrian bridges integrated into the system

The list of goods eligible for assistance is supplemented by two categories of equipment:

• cycle paths not adjacent to a road and constituting an alternative solution to motorized travel;
• pedestrian bridges also offer an alternative solution to motorized travel.

The text refers to work that restores the property to the same functionality it had before the incident. The assessment must now take into account its condition and level of maintenance at the time of the incident.

The assessment may also include, when necessary, urgent work to restore the flow capacity of watercourses.

An increase conditional on specific prevention measures

The prefect may increase the basis for the subsidy up to a limit of 10% when a local authority or group of local authorities is covered by at least one of the prevention measures provided for by the decree:

• a flood prevention action program (PAPI);
• a territorial strategy for risk prevention in mountain areas.

This increase therefore does not apply indiscriminately to all local resilience policies. It is reserved for the two approaches expressly mentioned in the text or, in certain overseas territories, for their equivalents provided for by local regulations.

The decree also relates to the increase in the base used to calculate the aid, and not to an automatic 10-point increase in the subsidy rate.

A gradual, on-the-job training

Before this reform, the maximum amount that could be mobilized had to be assessed across all communities affected by the same event. The complete review of all cases could delay initial decisions, particularly when the assessment of damages continued to evolve during crisis management.

The decree removes the overall cap on the funding envelope per event. The rate and amount of the subsidy can now be determined for each local authority or group of authorities as soon as its eligible expenses have been assessed.

The prefect will thus be able to award aid as it is received, without waiting for the completion of the review of all cases related to the same event. When eligible expenses exceed six million euros excluding VAT and the scale or complexity of the damage warrants it, the decision rests with the ministers responsible for local authorities and the budget.

When an inspection mission is involved in the assessment, it must submit its estimate of the damage and its proposal for a subsidy to the prefect within 45 days of being notified.

A new milestone for communities severely affected by disasters

The scale now includes a maximum subsidy rate of 60% when the amount of damage represents between 30% and 50% of the total budget of the community or group.

The actual rate granted is determined based on the size of the community, its financial capacity, and the extent of the damage. Notification is made by prefectoral decree.

Advance payments can reach 30% of the projected grant amount, compared to 20% previously, except in specific cases. This increase should allow public project owners to begin initial work more quickly and alleviate cash flow problems.

An application limited to new events

The decree was published in the Official Journal on August 15, 2026. Its new provisions apply to grant applications relating to serious climatic or geological events that occurred after this publication.

The entry-into-force rules are adapted for French Polynesia, Wallis and Futuna Islands and New Caledonia, where the text enters into force ten days after its publication.

“When a serious climatic or geological event affects a region, I understand how much both the population and local authorities expect a swift and effective response from their elected officials and the State. In this respect, the DSEC (Strategic Climate and Geological Development Plan) is one of the instruments of solidarity between the State and local areas. By simplifying its application and broadening its scope, this decree demonstrates the Government’s full commitment to addressing the impact of climatic and geological events,” declared Françoise Gatel, Minister of Territorial Development and Decentralization.