A numerical model for predicting damage and permeability in the disturbed rock zone (DRZ) has been developed. The semi-empirical model predicts damage based on a function of stress tensor invariant. For a wide class of problems hydrologic/mechanical coupling is necessary for proper analysis. The RATDAMPER model incorporates dilatant volumetric strain and permeability. The RATDAMPER model has been implemented in a weakly coupled code, which combines a finite element structural code and a finite difference multi-phase fluid flow code. Using the development of inelastic volumetric strain, a value of permeability can be assigned. This flexibility allows empirical permeability functional relationships to be evaluated