Victoria has recorded 384 new cases of COVID-19, including one attributed to a Wodonga resident.
Premier Daniel Andrews said six people had died of coronavirus in the past 24 hours.
Mr Andrews said elective surgery, other than category one and the most urgent category two surgeries, will be suspended.
"Only the most urgent patients will be treated, that is appropriate because... it will free up staff," he said.
Mr Andrews said staff from Eastern Health would be moved into aged care settings.
"Some of what's gone on in some of theses settings is simply not acceptable," he said.
Mr Andrews said the aged care situation was a critical challenge.
In total 83 people have died in Victoria from COVID-19.
NSW has recorded 14 new cases.
Watch Mr Andrews speak below.
The Department of Health and Human Service's daily update on Monday showed two Wodonga cases, with one active, a change from the city's regular listing of a single recovered case.
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The department figures note the residential address provided when the case is notified, but do not indicate where the patient was infected or where they currently live.
Albury Wodonga Health, the main testing body in the region, said the positive result was not recorded through their clinic.
On Monday, 532 new cases of COVID-19 were recorded in Victoria and six people died.
Earlier this morning, Prime Minister Scott Morrison announced he would return to Canberra for crisis talks about deadly coronavirus outbreaks in Victorian nursing homes.
Mr Morrison has cut short his planned tour of Queensland as fears mount about more deaths of aged care residents across Melbourne.
"The urgency of the situation requires me to return to Canberra," he told reporters on the Sunshine Coast on Tuesday.
with Australian Associated Press