The money comes on top of the $100,000 the trust received in June last year when the government challenged it to raise $100,000 in a year to win the bonus.

Victoria’s parliamentary secretary for regional and rural development, Damian Drum, said the government was delighted to honour its pledge.

He said the trust’s great strength was its ability to build strategic strong partnerships and relationships.

He said the trust’s approach was “a clever way to enhance a sense of shared responsibility” in the communities it served.

Chairman Vic Issell said the trust had operated for seven years in both NSW and Victoria.

“We are delighted the government has this program,” he said.

“It is a gesture of support that we could meet this challenge and build this financial resource.”

Cr Issell praised long-term supporters — the Hume Building Society and Lester and Sons — and recent fund raisers such as the National Bank’s annual lunch.

“It has been a busy year in which we’ve built confidence and momentum,” he said.

Cr Issell said smaller organisations could apply for grants from the interest on the government’s $300,000 and the $100,000 raised by the community.

“Smaller organisations can often drive the dollar further,” he said.

“Often a small amount of money enables them to achieve far more than they could otherwise.”

Deputy chairwoman, Cr Anna Speedie, said grants from the Victorian Government’s $300,000 were only to projects in that state, and the trust would have to build its fundraising to pay for NSW projects.

“It would be fantastic if NSW matched Victoria. It would make sense in terms of equity,” she said.

Cr Speedie said the foundation had received 160 applications for $189,000 to be allocated later this year.

“We will be able to fund more fantastic programs because we now have this money coming in,” she said.