At last week's ordinary council meeting, the shire's general manager of community services Martin Walmsley said the council had requested $60,000 funding from the state government after a master plan for the Daylesford Community Park was completed last year.

He said the council had committed $40,000 of its own money to put towards the $100,000 needed to commence stage one.

"Our funding was not successful," he said.

"We may have to seek other funding or scale back stage one.

"It's a project that will have three or four stages."

He said the community was "probably looking at three or four years, subject to the availability of funding".

Daylesford families have already waited a long time for the skate park upgrade.

The original plans were drawn up in 2006 and Hepburn Shire Council allocated $50,000 in its 2006/07 budget, which would have seen toilets, shading and better water facilities for users at the Stanbridge St site.

But the project continued to experience delays and the money went back into "consolidated revenue" at the end of the financial year.

Parents have complained to the council about lack of shade facilities and drinking water at the site, coupled with vandalism and illegal and unsecured extensions.