The bypass issue, which has been in gridlock for more than decade, was the focus of a recommendation to "recognise broad community concerns in relation to heavy vehicles in Main Street, Rutherglen".

Councillor Roberta Horne savaged Regional Roads Victoria (RRV) for "failing to meet either community expectations or its brief to improve safety in Rutherglen" and questioned a claimed $100 million pledge from the state to build a bypass to alleviate pedestrian traffic hazards.

"I think it's outrageous that recent advice from RRV personnel that the $100 million plus slated in the 'Delivering the Goods' report of 2018 for the Rutherglen Heavy Vehicle Route was, in fact, our $4 million - a $96 million mistake," she said.

"It is hard to understand why we have been denied safety mechanisms such as a push button pedestrian crossing, especially as we have flashing 70km signs only a few kilometres further up the Murray Valley Highway.

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"Safety must trump considerations of the historic context of the town.

"Our one-dimensional speed humps, inadequate signage and road markings do nothing to improve safety for pedestrians or vehicles.

"There are fast food outlets with far better traffic management than us."

Councillor Diane Shepheard said any proposals from RRV should be taken up with the community, not the Indigo Shire Council.

"When RRV bring us these plans I'm always wondering why they're trying to convince us?" Cr Shepheard said. "It's not us they need to convince - it's the community.

"They've (RRV) asked us to endorse their plan without us knowing at all what the community thinks."

Mayor Bernard Gaffney said many queries about the bypass project had been received and acknowledged.

"We've all received a large number of emails, most saying the same thing about pedestrian lights, roundabouts, speed humps - none of this is new," Cr Gaffney said.

"All of it has been put forward to Regional Roads Victoria.

"It is their road, it is not under the guidance or owned by Indigo Shire. Where else do you want to put trucks? If they can't go up the main streets, they'll go into residential streets."

The Department of Transport, speaking for the RRV, said the federal and Victorian Governments had jointly invested $4 million to investigate an improved heavy vehicle route for Rutherglen with a focus to identify and develop a route using the existing road network.

The department said the scope of the project did not include consideration of creating a bypass.

Acting regional director Emma Bamford said: "Improving safety in Rutherglen has been at the forefront of our work on this project, with several proposals put to Indigo Shire Council based on extensive consultation and investigations. We are continuing to try and find a solution that works for the community and the council."

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