MORE than $600,000 in additional funding will be provided to the Indigo Shire Council by the Federal Government to help bolster local roads.

Infrastructure, Transport, Regional Development and Local Government Minister Catherine King has confirmed the funding is part of an extra $250 million to be shared by 466 of Australia's 550 councils for road projects in rural, regional and outer–urban areas under Phase 4 of the Local Roads and Community Infrastructure Program.

The additional funding is on top of $500 million provided to councils in the initial stage of Phase 4, of which the Indigo Shire received $1,068,549.

Indigo Shire Council chief executive officer, Trevor Ierino said the council welcomed the additional funds and acknowledged the Federal Government's focus on investment in rural infrastructure.

"Small shires like ours, that typically involve a smaller population base spread over a large geographical area, cannot hope to deliver on the community's expectations for infrastructure and community facilities without the support of state and federal funding," he said.

"We've heard from you the community that roads are your number one priority for capital projects.

"This extra $616,000, spent over the next two years, will be a welcome boost to that spending on much needed road improvements."

Mr Ierino said the council will consider its draft budget for 2023/24 at this month's council meeting which will include a proposed spending of almost $6 million in capital maintenance for roads and bridges.

Shire councils in Alpine, Rural City of Wangaratta, Mansfield, Moira, Strathbogie and Towong, together with Benalla and Wodonga councils will collectively share in an additional $5,492,943 for local road projects.

Councils will be able to access their Phase 4 funding allocations from July 2023, with projects to be delivered by June 2025.

Minister King said the extra $250m delivered on an election commitment.

"We know many councils across the country are struggling to maintain and improve their local road networks, especially following repeated flooding and other natural disasters in recent times," she said.

Rural Councils Victoria chair Cr Mary–Ann Brown said the funding will help councils provide better road infrastructure for rural communities, tourists, farmers, transportation, and other businesses that provide the food and other goods needed by those living in our cities.

In addition to extra funding, Ms King said the Federal Government has also extended project construction timelines for Phases 1–3 of the program, so councils now have until June 30, 2024 to complete works for funded road and infrastructure projects.

Indigo Shire Council received funding of $4,357,029 under phases 1–3 for road and infrastructure projects, with more than $40 million shared by North East councils.