CDCC's preferred builder was Project Coordination which went into voluntary administration on March 19 owing approximately $20million to 200 creditors.

"We have been impacted but not financially. We had them on a letter of intent. We had a number of builders who tendered and have been able to re-engage with others on the panel," Mr Walters said.

In December 2023 CDCC announced the construction contract for Rebuild Cobargo consisting of the Market Hall, Village Square and new Post Office, would commence in early 2024 after Project Coordination was selected as the successful contractor.

The project was overseen by NSW Public Works and Department of Regional NSW to ensure compliance with NSW Government procurement guidelines and it is expected an announcement will be made on the replacement construction company.

In a week of anxiety for CDCC, there was another matter occupying directors' minds and that was the fees Bega Valley Shire Council was proposing to charge the organisation in relation to footpaths close to the building site.

CDCC was facing over $211,000 in fees per year, from council, for the use of footpaths and road reserves during the building phase.

Mr Walters said it could have ended up costing over $300,000, which would have severely impacted the project.

Even at 50 per cent reduction which had been proposed in the council business paper, it would still have caused "significant pain" Mr Walters said.

"It is inappropriate for a bushfire project where we have no choice but to close the footpaths, back were providing an alternative.

"Part of the DA is to reinstate the concrete footpath with granite inserts, which was destroyed during the fires," Mr Walters said.

CDCC asked for a waiver of the fees and was granted a 95 per cent reduction by council. Mr Walters said they had budgeted for that level of costs.

The Rebuild Cobargo project is being funded by the Australian and NSW governments under the Bushfire Local Economic Recovery Fund.

The project will create three new buildings including associated car parking and landscaped areas, offering the community an accessible, and inclusive town centre with contemporary amenities and services.

The two-level buildings will also provide much needed residential accommodation on the upper levels for the local community in the form of five large apartments, including some being designed to comply with NDIS standards.