"It's going from bad to worse," George told AAP.
"The challenges they are facing are heartbreaking, especially at a time of year when everyone should be able to relax a little bit."
The plan put together between George and Petty will see the club help the town in a variety of different ways including business mentoring, player visits and community and charity events.
George is also hoping to coordinate a donation to the town and believes Kiwis, and league players in particular, will be moved by the residents' plight.
"People don't appreciate the water situation, we don't experience that stuff in New Zealand, we're so lucky," he said.
"When players are able to have a shower after training and a couple of bottles of water, in Tenterfield they would have had to boil that water three times because it's so contaminated, and they wouldn't be able to drink as much."