The government is giving the Kaikōura District Council $14.4 million to help with its earthquake recovery.
Civil Defence Minister Nathan Guy said usually councils paid upfront for repairs after emergencies similar to the quake, and the government reimbursed 60 percent of the costs.
But he said Kaikōura needed extra support because it was the second smallest council in New Zealand.
The government would pay its share of the repair costs upfront - providing cash advances of up to $12m, to help fund repairs to essential infrastructure.
Mr Guy said another $2.4m had been set aside to help the council upgrade damaged infrastructure, rather than just replacing or repairing it.