The city signed up to the State Government's Community Sports Infrastructure Loans scheme, where it was promised $10 million in loans which would be made available to develop sporting infrastructure around the city.

Treasurer Tim Pallas announced the loans program in October last year, awarding the City of Ballarat $10 million and Moorabool Shire $1.6 million which will be paid back over a number of years.

READ MORE: Loans scheme will fast track development at community ovals (October, 2010)

However, eight months later, and with council budgets drawn up, the funding has not yet materialised.

Ballarat Mayor Samantha McIntosh said the loan scheme was something she and the council overall had supported.

"What it does it is gives a lot of confidence to each of the committee's of the sporting organisation when we did say yes to this project," she said.

"We actually thought it was a great way forward, so there's no doubt we will be pursuing it."

Moorabool Mayor Paul Tatchell said Moorabool had also not received its promised funding, however he said it was not planned that it would be included in its budget expenditure.

"We never count on their money," he said. "We feel at times we are simply the road between Melbourne and Ballarat.

"Moorabool's book are very tight, you can see where every dollar goes. The budget we've put out for public consultation has 85c in the rate dollar which has gone into capital works, purely through the lack of government funding, it's far and away the biggest capital works budget we've done."

Sports Minister Martin Pakula said the government would work with councils to ensure the projects get started in a "timely manner".

"The Treasury Corporation of Victoria is currently working through the final stages of the lending process with the City of Ballarat and Moorabool Shire Council," Mr Pakula said.