Surf club's funding hopes dashed as funding program axed by federal government

The club is seeking $12 million to replace its existing facilities.

Member for Wannon Dan Tehan had pledged $6 million for the club, but the club's hopes of this funding were dashed when Labor won the federal election.

At the time, the club said it was awaiting the outcome of a $6 million Building Better Regions Fund (BBRF) application.

The Standard reported last week successful applicants were expected to be revealed this month.

However, on Monday the federal government revealed it was scrapping the BBRF and would not progress with the round six applications.

Regional Development Minister Catherine King said the government would instead deliver two new regional programs in the budget to invest in "much needed community infrastructure in a way that is transparent, fairer and more sustainable".

"The Australian National Audit Office found the BBRF grants favoured National Party electorates and were not awarded on the basis of merit, but on the basis of rules that were not made clear to all applicants," she said.

Mr Tehan said the decision to scrap the fund was a slap in the face to the Warrnambool Surf Life Saving Club and other community groups who had spent time and money submitting applications for much-needed funds.

"This is gut-wrenching for the Warrnambool Surf Life Saving Club," he said.

"We have to remember the time and effort and the cost that went into the application - that has been torn up and thrown back in their faces."

Mr Tehan labelled the move as "draconian".

"To try and say the program is a waste and a rort - well you only have to look at Lake Pertobe and the new playground there to see how important the BBRF program is."

Mr Tehan said there were a number of other south-west community groups who had been awaiting the outcome of the round six applications.

Among these were an upgrade to the Gardens Oval in Port Fairy, a basketball stadium for Portland, a play space for Hamilton and a new recreation reserve for Skipton.

"This is the biggest slap in the face and it shows that Labor has no understanding of the needs of rural and regional Australians," Mr Tehan said.

Ms King dismissed criticism about the decision to axe the fund.

"Despite all the evidence, the National Party continues to defend the fund and, what is worse, tries to tell people their applications were funded under round six of the (fund)," Ms King said.

"What they are defending are decisions to preference their own electorates, to ignore anything resembling proper process and in some cases hand out funds to people who never applied and didn't know they had got the money."

A response from the surf life saving club was sought.

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