The money, funded by the federal and Victorian government, is available to those in Wodonga, Wangaratta, Indigo, Alpine, Falls Creek and Mount Hotham.

Indi MP Helen Haines said this should have happened six months ago, criticising the government for not providing the money until January.

"We need to see this funding delivered quickly and into meaningful projects that will actually create jobs for the long-term," she said.

Farrer MP and Environment Minister Sussan Ley also announced grants of between $5000 and $150,000 for bushfire wildlife recovery in the Upper Murray.

"Eligible projects include providing supplementary shelter, nest boxes and artificial hollows, protecting sensitive habitat and waterways, reducing the impact of pest animals and weeds, as well as seed collection, propagation and revegetation of native plants," she said.

"I've seen first-hand the early results of recovery work on habitats, but it is going to take time and each community can play a vital role in making it happen."