Councillors approved $30,000 for the 2020 event, a $10,000 increase on its usual contribution, with the intention of lowering the 2021 contribution to $10,000.

They also agreed to put a further donation of $60,000 out to public comment, intended to cover the losses from the 2019 event.

The council will have to delay its March meeting to 4pm on March 25 in order to consider public submissions on the loan, which will close at 5pm.

Initially, the council had offered a $50,000 loan, but Canowindra Challenge Incorporated declined it because it was a community event, not a business.

Councillors also heard Uniting Care had pulled out of the Canowindra Retirement Village proposal in recent days.

However, general manager Bradley Burns emphasised the $1.2 million the council had in reserve was "not disappearing" and further expressions of interest would be sought.

"We're not quite back to square one but we just have to try again," he said.

Councillor Ian Davison also indicated this year's wine and cider crop might be in worse shape than previously thought.

Cr Davison, who lives at Nashdale, said he knew of only "one or two" winemakers who would make wine this year and his trial cider ferment had not worked.

"It tasted like an ashtray," he said.

Shaun Coyte was presented with the Youth of the Month award for attending last year's Special Olympics on the Central Coast, while Graham Whiting received an outstanding service award after starting with Molong Shire Council in 1972.