INDIGO Shire is predicting a three-prong plan to boost tourism at Rutherglen will generate nearly 30 jobs and $4.7 million in annual economic activity.
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The council on Thursday unveiled its bid for $900,000 in federal government funding to beautify Main Street, improve access to Lake King and seal Hopetoun Road which leads to the town's giant wine bottle.
The total cost of the work is $1.834 million with the shire already contributing $390,000, the Department of Environment, Land, Water and Planning $500,000, Rutherglen Recreation Reserve Committee of Management $49,000 and private enterprises Rutherglen Estates and Tuileries $40,000.
The council's chief executive Gerry Smith said Rutherglen needed a freshen up to draw more tourists.
"Beechworth, the King Valley they've raised the bar, so Rutherglen as a cycle and food and wine tourist destination really needs a boost,” Mr Smith said.
"It's about the economic development of the region because tourism and confidence in Rutherglen has probably plateaued in recent years.
"This gives a boost to the tourism economic activity in the area and part of the modelling shows it creating $4.7 million in the regional economy and creating 29 jobs."
The forecasts are based on software data analysis of demographic and economic information and input from Tourism North East.
The federal government is expected to announce the recipients of money from its National Stronger Regions Fund in December.
It is the same kitty which has earmarked $10 million for work in central Wodonga, $1.8 million for an Alpine Events Centre and $200,000 for an upgrade of Wahgunyah's football ground.
Mr Smith said if the council was successful work could start in March and it would continue for 30 months.
He said Corowa Council had offered a letter of support for the application in light of the spin-off it could provide for tourism north of the Murray River.
The application was launched at Rutherglen Estates and Tuileries with Indigo mayor Bernard Gaffney attending.