Member for Hunter Joel Fitzgibbon says Singleton has been "snubbed", after the LGA missed out on a third extension of funding for areas experiencing hardship due to drought.
The federal government announced a further 13 councils in a list of 123 eligible for $1 million each under the Drought Communities Programme funding. Muswellbrook is on the list.
The Department of Primary Industries' drought map indicates around half of Singleton is in drought, while Muswellbrook is mostly in drought.
The mayor of Moyne Shire, in Victoria, said he was surprised to find out the the government had included his LGA in the extension when no application had been made by the council.
"We have not applied for or lobbied about this funding," Cr Mick Wolfe told The Standard. "It has come completely out of the blue."
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Government has responded saying the list was based on the latest data from the Australian Bureau of Statistics and the Department of Agriculture.
Mr Fitzgibbon said the inclusion of Moyne and not Singleton was "yet another example of the inadequacy and ad hoc nature of the Morrison Government's drought response".
"Representations on behalf of Singleton Council have again been ignored and people are right to be angry," he said.
"They are among Scott Morrison's forgotten people."
