MANSFIELD Shire Council can no longer adequately fund its current level of asset renewal and services, according to a financial report completed by council last week.
The gap between what council can spend and what it should spend to maintain public assets and infrastructure at an optimum level was found to be $700,000.
Council says too much has been spent on building infrastructure and facilities over maintaining assets already in the shire.
The effect of rate capping has also hit council coffers hard.
The long term financial plan was undertaken by council with urgency after rate capping was implemented last year.
Mansfield Shire residents will be asked two questions in the coming weeks before the 2017/18 budget and four year council plan is released:
What services do you value the most? and
Where can the community make cost savings?