Bass Coast Shire Council residents will be forced to keep their cats on their properties at all times when an expanded cat containment policy comes into effect next year.
Conservationists working in the area have welcomed the move, as they struggle to protect the little penguin and the endangered eastern barred bandicoot.
Bass Coast Shire Council CEO Ali Wastie said cats were responsible for hunting and killing thousands of native animals in the area each year.
Under the new domestic animal management plan, owners will face a fine if their cat is caught off their property.
Ms Wastie said council had given the community plenty of time to prepare for the changes ahead.
"It's important to do that education," she said.
"With change, it's important to bring the community along so it's not a surprise. So when it does come in people have had ample time to make sure they've got their yard secure for their cats."
The council pound dealt with 155 stray cats in 2020–21.
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The Phillip Island Nature Park — one of Victoria's biggest natural tourism attractions — welcomed the move.
The nature park's conservation manager Jessica McKelson said the move would help to protect vulnerable native species.
"We know domestic cats contribute to stray and feral cat populations," she said.
"Each year when we're undertaking cat trapping on crown land, we're on average catching 40 to 70 cats.
"We're trying to protect our key areas where we know our penguins and our shearwaters and other key coastal birds live in."
