Central Hawke's Bay District Council has approved money to look into water storage infrastructure solutions.
The funding is part of the council's annual plan, which was approved at a meeting on Thursday.
$250,000 from the Rural Wards Reserve Fund has been earmarked to support water security initiatives in Central Hawke's Bay.
This money is look at water security more widely than an initially proposed suspensory loan to Water Holdings Ltd.
Council also resolved to develop a local package of solutions including the potential role of Central Hawke's Bay District Council, Water Holdings CHB Limited, Hawke's Bay Regional Council and the Tukituki Taskforce.
Water Holdings Ltd is the company which bought the resource consents and intellectual property rights to the controversial Ruataniwha water storage scheme.
Earlier this year the group asked council for a $250,000 suspensory loan which would be used to look at the feasibility of a new dam, however the approved funding will be used to explore water security more widely.
Other issues council consulted on in regards to the annual plan include adopting a new Environment and Sustainability strategy, adopting a new Revenue and Financing policy and establishing a Disaster Relief Trust with the other Hawke's Bay councils.
Mayor of Central Hawke's Bay, Alex Walker said she is proud of the plan council approved.
"I'm incredibly proud of the plan that Council has signed off today which is affordable, forward looking and has had significant input from our community."
"We have a huge infrastructure programme which is driving long term investment in Central Hawke's Bay."
"We are already seeing this investment through initiatives like the Provincial Growth Fund, which allocated over $35 million of funding into our district last week."
"Continuing to build positive relationships with our regional and national counterparts to encourage further investment in our communities is vital."
She said like many councils across New Zealand, CHB struggled with increased pressures on affordability.
"I'm satisfied that we have been through a robust process of balancing these increased pressures with delivering on the aspirations of the community."