Council to press ahead with flooding grant application

Published on 28 August 2026

Loddon Shire Council has lodged a grant funding application for a key flood prevention project after it met Council’s criteria to enable it to be funded without any external borrowings.

Council has applied to the Federal Government-funded Disaster Ready Fund in relation to Skinners Flat Reservoir, near Wedderburn.

The reservoir is owned by Council and is assessed as the highest risk on Council’s Risk Register, with a damaged dam wall which during a flood could lead to catastrophic failure.

This would result in an uncontrolled release of water resulting in significant property damage, possible loss of life and financial impacts, despite risk reduction measures in place at the site.

If successful with the application to the Disaster Ready Fund, Council has enough in a special reserve fund to meet its contribution to the project without requiring any extra borrowings or reallocation from elsewhere in the Budget.

Council will withdraw another grant application to the State Government which would have required external borrowings.

Loddon Shire Mayor Dan Straub said Council was being prudent while aiming to mitigate any risks.

“Fixing the dam wall is first and foremost a safety issue, to reduce the risk to life and property,” he said.

“It’s no secret that we are in a difficult position in relation to financial sustainability and any borrowings for a project of this size would be beyond our financial capacity.

“We need to be able to maintain existing service levels and fund future annual infrastructure programs.

“By choosing to proceed with the Disaster Ready Fund grant application we can ensure we fund this important project as well as protecting our capacity to fund existing services and annual infrastructure programs.”