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The proposed levy would cost council an estimated $27,417 per year.

Councillor Sam Rowland moved a recommendation for council to submit strong feedback on the proposed funding model and to not support not support the introduction of a dam levy to dam owners.

"It's appalling what they are trying to do," he said.

"It's appalling when you see the amount people have to pay compared to what we in Goulburn have to pay in comparison to the differences in population sizes."

Deputy mayor Peter Walker said it was one way for the government to push costs on to local government.

"It's a cost that the [state] government tries to put on the local government," he said.

Dams Safety NSW, the regulatory body for dam safety in NSW, estimated that they would require $4.6 million per year to perform their regulatory responsibilities.

This includes but is not limited to gathering and analysing information, complete audits to test compliance with the Dam Safety Regulatory Framework, declaring new dams, educating and informing dam owners of their responsibilities and dealing with non compliance activities.

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