Negotiations with North East Water representatives began when concerns were raised about works to reduce the dam’s size by more than 6000sqm.

North East Water will look to hand the decommissioned dam to the Department of Environment, Land, Water and Planning after the flood mitigation works are complete. 

Four residents expressed interest in forming a committee to own and run the site, with recreational use including cyclist tracks and swimming holes topping the list for future opportunities. 

Indigo Shire mayor James Trenery said the council could support the group in negotiating the dam ownership.

“We’ve got staff that could get involved in helping them form a committee and understand what their rights and responsibilities are if they form a community with DELWP," he said.

Cr Trenery said it wasn’t likely the council would be interested in owning the dam, which hasn’t been open to the public for 60 years. 

“There would be a council decision, but probably, as mayor, I wouldn’t like the idea, because you’re taking on another state asset that’s going to cost us a lot of money,” he said.

“I don’t think it would be a wise idea, but helping them out, and remaining as a state asset, would probably be the best case scenario for a committee.”

North East Water customer and community executive manager Ann Telford said the same regulations would apply to the committee. 

“Your challenge, if you wanted to take it on, would be to have all of that in place to convince the department that the community was able, willing and capable to do that,” she said. 

Ms Telford said North East Water would hold an open day for the committee to tour the repatriated dam when works were complete.

North East Water will also begin conversations with DELWP on their behalf.