Port Macquarie-Hastings Council has turned to the federal government as it faces a $30 million funding gap risk.

The state government's funding commitment is capped at $60 million, made up of a $10 million special grant following an election commitment in 2011 and a further $50 million announced before the 2019 election.

The council has committed $5.5 million to the project.

The plan is to upgrade about 3.4 kilometres of Ocean Drive from two lanes to four lanes between Matthew Flinders Drive and Greenmeadows Drive (south).

The council recognised a productive discussion with Cowper MP Pat Conaghan and the offer to host a meeting with the Transport, Infrastructure and Regional Development Minister, Michael McCormack, about potential funding opportunities.

Mayor Peta Pinson said a project of this scale would provide extensive economic stimulus and job creation.

She said the project had received two lots of state government funding.

"We can't risk losing that state government funding and not deliver the project and we also have to put cap in hand and rely on the generosity of the federal government coming in and partnering a three-way split," Cr Pinson said.

Deputy mayor Lisa Intemann said the council could not afford to kick in $30 million and she hoped the federal member understood that.

Cr Rob Turner said the council didn't have the capacity to deliver what was effectively a $100 million road development project through the middle of Port Macquarie without seriously looking at its internal capabilities.

He put forward an amendment designed to offer council support in a bid for Transport for NSW to carry out the project but the amendment was lost.

Transport for NSW has indicated it is not prepared to construct the road duplication.

Council's general manager Jeffery Sharp pointed to the council's track record on significant road projects, citing the upgraded Hastings River Drive and Stingray Creek Bridge replacement.

He said there were different ways to ultimately bring about the Ocean Drive duplication project.

There will be more decision points ahead.

Cr Geoff Hawkins raised concerns about the risk exposure the council could be taking on.

Mr Sharp said he didn't see this resolution increased the risk on the council at the moment.

Cr Hawkins said he wanted the project to progress and he acknowledged the effort of Mr Conaghan.

The general manager will provide councillors with a detailed briefing about potential internal funding solutions and associated impacts on the works program.

The council will request Transport for NSW re-establish the joint steering group with council as a priority to oversee the construction planning and subsequently manage this joint project.

What else is making news, sport?

Thank you for valuing local journalism with your subscription. While you're with us, you can also receive updates straight to your inbox from the Port Macquarie News. To make sure you're up to date with all the news, sign up here.