Towong Council's community services report noted a grant application had been lodged "for refurbishment of the rear area of the recovery hub for a temporary integrated (kindergarten and childcare) early years facility in Corryong".

Community and planning director Amanda Pagan said council had been in discussion with the Department of Education, which advised some renovations proposed could not happen due to lease requirements.

Ms Pagan said council was working with the community on options.

"We're currently working with the community to look at an alternative site," she said.

"Potentially the Corryong Recreation Reserve (could be a permanent site)."

Ms Pagan said the community would work with council to "have further conversations with the Department of Education about the establishment of a modular building".

Councillor Peter Dikschei, who asked staff for an update on the project, queried if "there is anything we need to do in relation to modular buildings".

Cr Dikschei was told the planning for the modular buildings would largely be in the hands of the Department of Education.

Council has $1.9 million in grant funding for the recovery hub that is yet to be spent.

Council is $10.7 million ahead of budget due to $7.3 million in grant income being carried forward from 2020/21 "due to COVID related delays to capital works projects, and the receipt of an additional $1.8 million in Bushfire Recovery funding".

Projects were also nominated for federal government local roads and community infrastructure funding totalling $2.3 million.

IN OTHER NEWS:

Completion of court upgrades at the Talgarno recreation reserve, walking track upgrades, $80,000 for the Sandy the Warhorse statue, and a splash park and pump track at Dartmouth were among projects nominated.

Cr Andrew Whitehead was elected as mayor, and Cr David Wortmann was elected deputy mayor at today's council meeting.

They will serve one-year terms.