The skypark would allow for the construction of hangars and private residences at the airport, and council has said further blocks could be made available in the future if successful.
Prospective buyers would be offered a ‘‘range of lot sizes and opportunities’’, council has said.
At its meeting on Thursday, councillors agreed to allocated $30,000 to a business case for the skypark, which council says could increase both the usage and viability of the airport.
The findings of that report will determine if the skypark — proposed to be located at the southern corner of Macknight and Wirraway Drives — will go ahead.
In the meantime, council is also seeking community feedback on the ‘‘serious enquiry’’ about purchasing three lots of airport land for industrial use.
Council must also determine if the land is surplus to council needs before the purchase can be progressed.
The blocks requested by the proponent are north of Macknight Drive and south of Lot 1 Saleyards Rd.
The proposed use has not been specified by council at this stage.
Plans to upgrade and extend the runway at Deniliquin Airport could underpin both projects, but council is not overly confident a $2.5 million commitment it needs from the NSW Government will eventuate.
Council has secured half of the project’s $5 million cost from the Federal Government, and said it had a verbal commitment from NSW Deputy Premier John Barilaro the state government would provide the other half.
Earlier this year it became evident to council that promise might not be upheld.
NSW Member for Murray Helen Dalton took the issue to state parliament on behalf of council in May, but the response from NSW Minister for Regional Transport and Roads Paul Toole did not clarify the matter.
‘‘Questions relating to the administration of regional aviation should be directed to the Deputy Premier and Minister for Regional New South Wales, Industry and Trade (John Barilaro),’’ Minister Toole said in reply.
Mrs Dalton said the sidestep was disheartening.
‘‘The Federal Government obviously sees the opportunity to keep our runway going, but the state government is shifting their weight,’’ she said.
Mrs Dalton said she would continue the conversation with Mr Toole and NSW Treasurer Dominic Perrottet when she returns to parliament this week.
‘‘I’ll keep fighting to get that funding so we can get a safe and efficient airport in Deni,’’ Mrs Dalton said.
She believes the state of the runway is almost ‘‘condemnable’’, but Mr Stone said council is determined to keep the economically ‘‘strategic’’ asset open to meet the region’s needs.
Council’s proposed 700m runway extension would allow a range of agriculture producers to export goods, and would provide access to larger private planes and emergency services.
But without funding from the NSW Government, council says the full extension cannot be delivered.
Council’s options are to use the Commonwealth money on a smaller scale project before the funding deadline expires next year, or hand the money back.
‘‘Council still desires to move forward with the project, especially given the condition of the runway surface,’’ Mr Stone said.
He said scrapping the extension to simply maintain the existing 1200m runway would not entirely dampen the economic value of that work.
‘‘A revised project not including the extension will still deliver most of the planned benefits as it will allow larger aircraft to land at Deniliquin,’’ Mr Stone said.
Council hoped it could move to the next stage of the project in December this year, but the matter has been removed from council meeting agendas due to the financing issue.
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