Parkes Shire deputy mayor Cr Barbara Newton believes small communities, like Trundle, are being put "under the thumb" by insurance companies.
Cr Newton made the comment during discussion on a request from the Trundle & District Progress Association (TDPA) for Council to endorse a $2000 contribution towards insurance of the Trundle Memorial Hall.
In the past and with the endorsement of the respective Community Consultative Committee, Parkes Council has assisted the bodies managing halls in the shire through the allocation of funds from the respective Town Improvement vote to cover the individual community Halls' insurance premiums.
The cost of the 2019/2020 premium for insurance of the Trundle Memorial Hall is $6,202.89, a fee that prompted Cr Newton's comment.
As a result, Council, at its August meeting, voted to approve the use of $2,000 in funds from the Trundle Town Improvement Allocation to assist in covering the insurance cost.
In addition Council voted to help other hall management committees.
"On request from other recognised Community Consultative Committees, funds from their respective Town Improvement allocations will also be made available (where funds permit) for Town Hall insurances," the Council voted.
In the meantime Council will investigate if its current insurer has a facility for community halls.
"This is the sort of thing that ruins small towns, looking for money (to insure assets)," Cr Newton said.
"It's a terrible thing these sort of situations occur."
Parkes mayor Ken Keith said providing assistance to the Trundle Hall management committee is a sensible move.
"It's important those communities have destiny of those assets," Cr Keith.
"Given the environment at the moment they are not able to host events in the halls, or only small events to generate funds to meet insurance costs.
"It's a very sensible way for the costs to come out of (Town Improvement) funds," he said.
The Trundle and District Progress Association endorsed the contribution of the $2,000 to the Trundle Memorial Hall committee from the Trundle Town Improvement Fund.