Concerns have been raised over more people seeking shelter outside after community service provider Uniting announced they would be closing residential care facility, Reid's Guest House.
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During the April council meeting, councillor Samantha McIntosh said she was concerned more people might seek shelter at places like White Flat Oval after the closure.
In 2023, people living homeless camped at the stand at White Flat Oval in Ballarat Central.
Some residents raised safety issues, and some community user groups felt unsafe using the oval.
The people living there were finally moved on after months of work.
The Reid's Guest House closure was announced on Tuesday, April 23, due to overwhelming costs to upgrade the facility to improve living standards.
Ballarat mayor Des Hudson said he was concerned about the immediate aftermath when he heard about the closure.
"We've said a number of times, it's not (council's) responsibility - it really does sit with state and federal government, we can certainly advocate to both for extra resources, the need for housing and the housing crisis," he said.
Cr Hudson said there was two aspects - funding for crisis intervention for people experiencing homelessness or at risk and bigger picture support for public housing.
He said accommodation was already a "stretch" for support services, so Cr Hudson was also concerned where people would find shelter.
Many residents ask "why can't large council owned facilities be opened for people who are homeless". Cr Hudson explained it wasn't that simple.
"We need a large homeless shelter or a drop-in centre but its needs to be funded by the right tier of government," he said.
"On face value, opening up council facilities seems like an easy option, but often there are complex issues for people that are homeless and there is a whole range of factors that are not easily resolved by putting many people in one location."
Uniting acting general manager North and Western Victoria Jerry Ham said there were 25 people living at the house, which provides shelter for up to 60 days.
He said each person will be found suitable housing over the coming months, and estimated Reid's to close late August or early September.
Uniting recently took on 14 refurbished units in Lyons Street available to people on the Victorian Housing Register, and have other programs such as Street 2 Home and Private Rental Assistance Program.
The Ballarat region is facing an increasing homelessness crisis heavily impacted by the housing market and cost-of-living issues.
Uniting responded to concerns people at risk would end up sleeping outside in Ballarat after the Reid's Guest House closure.
A spokesperson said Uniting is committed to people experiencing homelessness and housing insecurity across the Ballarat and Central Highlands.
"Everybody has the right to safe and secure housing, but it takes a combined effort," they said.
"We'll continue working closely with local homelessness and housing support organisations to address homelessness and place as many people homelessness into long-term housing.
"Our Street2Home outreach team travel around Ballarat every day, including regular visits to White Flat Oval, providing one-on-one support to people who are sleeping rough, connecting them with local services and working to place them into suitable accommodation."
The spokesperson also called attention to the need for an increased supply of social and affordable housing for long-term solutions.
- Ballarat Mental Health Services: 5320 4100 or after hours on 1300 247 647
- Ballarat Community Health: 5338 4500