The Wodonga Hockey Club's upgrade will become a $2.65 million project with the Victorian government adding a contribution.
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With all levels of government now funding the project, it will allow for the construction of a raised multi-user club house overlooking the field, a total refurbishment of the old changerooms and a new undercover walkway.
It also allows for an extension of the club's existing facilities to provide uses for the Border BMX Club.
President Bill Clear said this would make a big difference to BMX in the region and followed council's and the state government's investment to fence the track.
"We'll actually have a viewing deck and a function room - as well as that, we'll get a new kitchen and a first-aid room," he said.
Dawn George said her fellow committee members at the Hockey Club had worked hard for many years to make this a reality.
"We're proud we raised $200,000 that allowed us to reach out to federal government," she said.
"The federal government gave us $500,000 at that last election, and then then we went to council, who gave us $300,000, and now we've got $1.65 million.
"So now it's a $2.65 million project."
Northern Victoria MP Jaclyn Symes said her state's contribution, from the community sports infrastructure fund, would enable a purpose-built facility with more changerooms.
"Investment in facilities, particularly to encourage young women into sport is something that I'm extremely passionate about," she said.
"It's also really enabling these clubs to grow and attract more members into the future.
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"The BMX club will hold events of up to 400 people - they come along with their families and they stay in the region and spend money."
Wodonga Hockey Club president Kyle Brereton called it a "game changer" for their community.