Other councillors have put the lucrative loss down to “human error” and heard assurances it could not happen again.

The $2.9 million fishway

proposed - but not yet funded -

for the South Dubbo weir continued to cause the council turbulence this week.

The crux of the controversy comes down to a funding application that was not submitted more than four years ago by a staff member who later resigned.

Council general manager Mark Riley presented a report on his investigation into the mystery of the funds-gone-begging to Monday night’s council meeting.

In it he detailed an alliance of Dubbo, Narromine and Warren councils that would have sought $1.5 to $2 million to build three fishways at Macquarie River weirs.

A NSW Department of Primary Industries officer who had worked on the application sent an email to the council officer at 11.48am on the due date - Friday, March 30, 2007.

It advised the documentation was “almost complete” but there were two “very minor sections” that required the council officer’s input.

At 4.13pm that day, the council officer sent Dubbo’s submission back and advised that details of the last question would be provided “next week” when a particular staff member returned.

In the report Mr Riley backed his staff. He found it significant that all three councils had no record of correspondence with the department on the issue.

“From my perspective, some four and a half years on, the submission . . . would appear to have been a very rushed and last minute action,” he said.

“The late receipt of the draft, the lack of formal correspondence about the funding arrangements or ‘split up’ of the funds between the three councils to design and construct the three fishways and the incompleteness of the expression of interest lead me to this conclusion.”

There was no suggestion the council was not happy with the performance of the staff member who resigned about two years later, Mr Riley said.

Councillor Greg Matthews said he was willing to accept people were not perfect and that the mayor and the general manager would work hard to attract grants.

He defended the staff who deserved “a pat on the back”, not to be “nit-picked”.

Cr Ben Shields disagreed and went on the attack, viewed from the gallery by a number of anglers who pushed for the project.

“This is $2.9 million of not good enough,” Cr Shields said.

“Dubbo City Council needs structural change and if that means that someone needs to go, then so be it.”

In fact, Mr Riley said, the grant was $1.5 to $2 million and that the council now had the systems in place to capture grants.

Cr Allan Smith defended the council’s record on grant attraction.

Statements about last-minute planning prompted a member of the public to interject “that’s not true” before mayor Mathew Dickerson asked the gallery to remain quiet.

The council voted seven votes to the three of Crs Shields, Ann Barnard and Tina Reynolds to note the report and liaise with the NSW Office of Trade and Business to chase grants.

River enthusiast Matt Hansen was disappointed by the lack of action on removing a barrier to fish migration.

He feared native fish populations in the Macquarie would undergo further declines in the next 20 years.

“I’m pushing for a fishway now so there’s something for the future,” he said.