Federal disaster recovery involves cost-sharing arrangements that help municipalities and provinces recover from natural disasters and emergencies that exceed local and provincial capacity. The primary mechanism is Disaster Financial Assistance Arrangements (DFAA), which reimburses provinces for eligible response and recovery costs on a graduated scale—the federal share increases as costs rise. Municipalities access federal support through provincial disaster assistance programs rather than directly. Eligible costs include emergency response, infrastructure repair, temporary housing, and some assistance to individuals and businesses. Recent years have seen dramatically increasing disaster costs from floods, wildfires, and severe weather, prompting discussions about program sustainability and the balance between post-disaster recovery funding and investments in disaster prevention and climate adaptation. Federal disaster support demonstrates how extreme events trigger intergovernmental cooperation and cost-sharing.