Daylesford Spa County Railway last week received $300,000 in Bushfire Recovery funding to repair the damage suffered in last February's Musk Vale fire, which burnt out 1.5 kilometres of track between Daylesford and Musk.

But the funding will not result in the terminus reopening at Bullarto.

DSCR director Barry Fell said since the fire 12 months ago, volunteers had not been able to access the Bullarto end of the track and it had fallen into disrepair.

"Especially with the wet weather, we haven't been able to clear the drains and water has been running through it.

"Unless some government organisation decides to fund it, nothing's going to happen," he said.

He said the Spa Railway would continue to apply for funding grants.

It had already applied for $1.3 million in round two of the Federal Government's Jobs Fund program.

"If that doesn't happen, we're going to see (MP) Geoff Howard," he said.

Mr Bell said DSRC had lost $36,000 in income since the fire.

"As a volunteer organisation it's been tough.

"We're really pleased to get e$300,000 so the railway will start moving forward again."

Bullarto resident Marlene Orr said people had used the railway in the past to travel from Daylesford to Bullarto to attend private functions in Bullarto's hall.

"Last year after the fire, when the train couldn't run, they couldn't come out to the hall."