Speaking at a meeting in Cowra last week the department's Director of Water Strategies admitted the document is "just a strategy" for the Lachlan, many parts of which are unfunded.

"A strategy is just a strategy, it's the start of a much bigger process," the Director, Kristanne Anderson, said during a consultation meeting in Cowra on October 19.

Ms Anderson also revealed not all of the options the strategy is likely to recommend are funded.

The strategy covers the major centres of Cowra, Forbes, Parkes and Young and the smaller centres of Blayney, Booligal, Boorowa, Gunning, Canowindra, Condobolin, Crookwell, Euabalong, Gunning, Hillston, Ivanhoe, Lake Cargelligo, Oxley, Temora and West Wyalong.

The Cowra meeting was the final in a series of meetings which started in Hillston before moving up the Lachlan River for meetings in Lake Cargelligo, Forbes and finally in Cowra.

As part of the consultation process Lachlan region residents are again being asked to have their say on water in the Lachlan

Ms Anderson explained why it hasn't been clear sailing for the finalisation of the strategy which is now expected to be completed in the first quarter of 2024 with some of its actions funded and funding "anticipated" for other actions.

"The process that we use to develop a regional water study has a number of milestone points," Ms Anderson said.

"We start out identifying the list of water related regional challenges, we then do a bit of blue-sky thinking and list all options on the table to address those regional challenges.

"That long list of options was first publicly exhibited in late 2020. We then go away and do quite a bit of modelling."

Ms Anderson said this includes economic modelling, hydrological and environmental modelling on the options to determine if they are feasible and practical for implementation.

"We do all of that modelling and then we come out with a shortlist of options."

This shortlist of options was released late last year.

"It was during the quite devastating flood," Ms Anderson said.

Ms Anderson was appreciative of the feedback now being received especially in Forbes where floodwaters cut off the town.

"We're getting fantastic feedback," she said.

"We have got really respectful and engaged stakeholders turning up and we've had some fantastic robust discussions," that Ms Anderson hopes will will lead to a better strategy.

"When I say it's robust, what I mean is it's rich discussion, although it's passionate. People care about this community and they care about the water outcomes, no-one has been disrespectful.

"People are open to working with us, which we are appreciative of. There are some concerns that have been expressed by the community, absolutely, but its been done in a very productive way.

"We were unable to take part in any consultation activities (during last year's floods). We we wanted the community to have the chance to recover from that.

"We're now back in a position where we feel like the community is now in a position where they can engage with us on that shortlist.

"It's the second time we've done that particular part of the process, it was delayed about a year because of the floods, it took two years from the long list of options to the short list of options," Ms Anderson said.

The options, as a result, have been changed, but not significantly.

"The strategy hasn't changed significantly in the last 12 months however there have been a number of changes that we have put in place," Ms Anderson said.

"One change certainly does have to do with flooding. The community is saying they want the state government, through the strategy to better coordinate with local government and other state agencies that have responsibility for flood management and flood impact mitigation.

"The strategy does include additional priorities and actions that will address those issues."

As for the NSW Government's decision not to proceed with the Wyangala Dam wall raising.

"The modelling has not changed. However, because that option has been taken off the table there is greater emphasis on the other actions that will address those regional challenges," she said.

"That includes a range of infrastructure and non-infrastructure actions" only some of which are funded.

"Some of the actions are already funded, some of them we anticipate funding to come through soon and others are a longer term and those projects might not be funded yet or fully scoped yet.

"We absolutely want to continue to work with the community, the stakeholders in the region and that includes not only water users but other state agencies, specifically local governments to scope out those actions and work with them in implementation," Ms Anderson said.