The motion stemmed from a query from the Sister City Working Group as to what funds are available to visit the shire's sister cities and host local events that support the sister cities program.

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The council has sister city relationships with Lane Cove and the Yinzhou District of Ningbo, Zhejiang Province China.

Councillors voted in support of the motion to provide funds and request a report to help the working group and staff develop guidelines to evaluate funding applications by community groups for events and activities.

In the business papers, general manager Eric Groth wrote that it could operate in a similar way to the council's Small Community Grants and Business Partner Program.

"It would also provide an operating budget to enable activities approved determined in consultation with the working group, which support the creation and maintenance of Sister City and Friendly Relationships," he wrote.

Working group member and councillor Owen Hasler supported the motion, saying "it's difficult to have initiatives and respond to some of our sister cities if we don't have a budget to work within".

Acting mayor Rob Hooke backed his fellow councillor, saying the ongoing aid of Lane Cove was a great help and reflected on the Lane Cove drought fundraiser he recently attended.

"The response and the compassion that came out of the city people was quite astounding. They are fully aware of what is going on," Cr Hooke said.

"As I said to them, the monetary value is one thing, but the support they give to the country people, psychologically, I think, it has a large impact.

"[It's] a very strong relationship and may it continue, and may one day we be able to reciprocate."

The shire's relationship with Lane Cove was formed in the 1990s when the shire was in drought.

The council's relationship with the Yinzhou District is more recent - an agreement was formalised in 2017.