The council has progressed to the second stage of the Rebuilding NSW regional growth fund with a joint application being crunched along with Albury and Berrigan councils for the works along the Murray River aimed at improving tourism product.

The 42.9km trail between Corowa and Mulwala was first mooted more than five years ago.

Federation Council is committing $3.36 million to the project which will also include improvements on the riverfront in Corowa and Lake Mulwala foreshore.

General manager Chris Gillard said the bike track had the potential to be on a par with Lake Mulwala as a tourism drawcard.

“It is not a knee-jerk reaction someone has just plucked out of the air,” he said.

“It’s great to have this tourism product, but can we afford to maintain it? My opinion on this is we can’t afford not to have it.

“We have a really good opportunity to link two of the major towns and an accommodation sector, in Corowa in particular, that is under-capitalised and occupancy rates not high enough.

“This type of facility will bring significant tourism numbers because we will have a product as significant as (Lake Mulwala) in my opinion.”

The application was unanimously backed by council with a business case to be presented to the government by October 30.

“Recreation cycling is one of the big things happening at the moment and this would connect us to the Mountains to the Murray cycling tracks and I can only see great benefits coming,” Cr Gail Law said.

Cr Paul Miegel said: “There is an adage if you build it they will come.

“I think that time has come to be a little bit brave and take opportunities when they present themselves.”

Successful applicants are expected to be revealed early next year.