Councils have already been left of JobKeeper payments, now their hopes for help from the Victorian government when it comes to paying casual staff have also been dashed.
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It has left North East councils disappointed.
Victorian Treasurer Tim Pallas said on Wednesday it was up to councils to support their casual workers.
The federal government has not allowed state or local government workers to apply for JobKeeper and Mr Pallas said Victoria would only cover that gap when it came to its own staff.
He announced 3000 casuals who had worked for agencies of government would receive fortnightly payments of $1500 until September, if they were willing to be redeployed to public sector roles like health where there is high demand.
He said councils were usually funded by rates and the federal government, and each tier of government had to play its part in supporting its own workforce.
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"The state has no intention to provide support for councils, that's a council responsibility," he said.
"We're all in it together. That doesn't mean ultimately one particular tier of government should be wearing the weight of responsibility for support, we all have to bear our share of responsibility.
Wangaratta Council chief executive Brendan McGrath said the council was trying to find alternate duties for staff while it was excluded from federal and state programs.
"There doesn't seem to be any obvious reason to exclude our workforce, who provide essential services from the benefits available to the broader workforce," he said.
"Whilst we understand each of the three levels of government must "share the load", we are disappointed as rural and regional councils particularly will struggle with the financial costs of falling revenue, and increasing requests for assistance for those struggling financially.
"The Rural City is absolutely committed to assisting those who need help - please reach out to council if you need our assistance."
The council is advocating for flexible funding, to be able to use in a targeted way to help those who are most in need. Mr McGrath welcomed the ability for council staff to access Working for Victoria funded positions as they become available.
Australian Services Union secretary Lisa Darmanin called on Victorian Premier Daniel Andrews to intervene, saying the different tiers of government should not bicker about who was responsible.
