Work to fix Kerang's flood protection is expected to start before the end of the year.
Two new levees will be built to the north and south of the town to protect it from floods.
The Gannawarra Shire approved plans last month for the northern levee, which stretches towards Murrabit.
Mayor Max Fehring says construction will begin soon.
"The current council's made decisions about the proposed route for the southern levee and is letting contracts for the northern one," he said.
"So all that's within order but if the southern one, if the proposed levee's not agreed to ... then other options will have to come into play and then the new council deals with that."
© ABC 2012
13:56 EDT Like a large area of southeastern Australia, Victoria has been been experiencing a chilly run, as much as four-to-ten degrees below average but is now thawing out.