The Derby Local Protection Project is located at the junction of the Housatonic and Naugatuck rivers in Derby. It provides substantial protection to about 70 acres of highly developed industrial, residential, and commercial property.

Construction of the project began in May 1970 and was completed in June 1973, costing $8.6 million. Upon completion, it was transferred to Derby for operation and maintenance.

The project consists of earthfill dikes and concrete floodwalls along the Housatonic and Naugatuck rivers. Protection along the Housatonic River starts in the vicinity of Bridge Street and extends 2,050 feet downstream to the Route 8 highway embankment. Protection along the Naugatuck River extends 3,200 feet downstream from the Ansonia Local Protection Project to the Route 34 Bridge. The system includes four floodgates at railroad crossings and a pumping station near the confluence of the two rivers to handle storm drainage. Construction also included the widening of the Naugatuck River channel immediately upstream of the Route 34 Bridge.