"I'm, I'm just digesting that myself," he said, caught by surprise, and apologising after a long pause.

"God, it's fair to say it's not often a budget gets me emotional but that bit does. We'd seen it as potentially a pipedream in the distance, so to have it become a reality really would be massive."

READ MORE: Victorian budget: what it means for Ballarat

Cr Moloney was not speaking of the Victorian government's $11.5 million commitment to build a new animal shelter in Ballarat, as much as he lauded the project. Nor the city's undisclosed share of the $2.6 billion promised for Commonwealth Games infrastructure.

He was, on the contrary, speaking of something which would literally save lives.

As part of its $11.6 million LGBTIQ+ Strategy, the Victorian government has pledged $3.2 million over three years to trial a Safe Spaces unit - or rainbow hub - for the youth who comprise Ballarat's diverse rainbow community.

By design, the service - to be delivered through Speak Ballarat - would ensure LGBTIQA+ youth living in Ballarat and its surrounds have ready access to any targeted health and emotional supports they require, including crucial referral services.

Speak co-founder and chief executive Sage Akouri said the project marked a "wonderful step" towards creating a more inclusive and safe city.

"We're so excited to see this state investment into regional Victoria," they said.

"The [rainbow] hub will fill a significant service gap, providing community-led support through a primary prevention approach to mitigate harm before it occurs."

Cr Moloney, who also identifies as a member of Ballarat's rainbow community, said for too long its members had been denied easy access to both basic and specialist health services and supports, often with fatal consequences.

"No one, regardless of their background, should have to leave their region to access basic health services or support," he said. "But so many, especially young, people unfortunately have had to go off to Melbourne and it just rips my heart out."

"It's been bloody hard fought to get the most basic recognition [of LGBTIQA+ rights], so for that recognition to translate now into funded services would be such a beautiful thing."

It was a sentiment shared by Western Victoria MP Andy Meddick, who spearheaded the lengthy parliamentary taskforce leading to the policy proposal.

The taskforce report, which was predicated on extensive consultation with the community's LGBTIQA+ youth, concluded rainbow hubs would remove many of the barriers preventing access to much-needed health supports.

"In a short space of time, just prior to the bigger lockdown, there were a number of LGBTIQA+ youth, but particularly trans kids, who came out to family and friends and were rejected and tragically took their own lives," he said.

"The need for these services and for them to work in a cohesive, strategic way is just so clear and important - it's why I'm ecstatic about getting funding for the program; this is going to be a great partnership."

Mr Meddick added Health Minister Martin Foley had assured him the project would be prioritised and "moved forward quickly" with a view to expanding its reach across regional Victoria.

"Once the dust settles from the budget over these next few days, we're going to be sitting down with each of the non-government organisations and young people and working out exactly how we're going to achieve this," he said.

"Obviously [identifying] real estate will need to be a priority as to where the hub will be based, as well as the strategy to actually roll these services out."

The Victorian government's rainbow hub pledge comes as Prime Minister Scott Morrison continues to face criticism for his unwavering support for controversial Warringah Liberal candidate Katherine Deves, notwithstanding her transgender remarks, as well as his promise to revive the much-criticised Religious Discrimination Bill absent protections for trans children should the coalition secure another term of government.

Citing this backdrop, Cr Moloney said he was heartened Ballarat was instead "leading the way".

"Most people here don't judge on the basis of race or religion or gender identity and I think if politicians try to divide us in that way, it will only be doomed to backfire."

If you or someone you know is in need of support, phone Lifeline 13 11 14. Help is also available from Beyond Blue on 1300 224 636, beyondblue.org.au or the Suicide Call Back Service on 1300 659 467.

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