There is a chance the Canowindra Community Technology Centre (CTC) may not close if a search for further funding proves fruitful.
Centre manager Luke Slattery, who resigned recently, feared the centre would close and its assets be liquidated if Cabonne Council refused an appeal for funding made earlier this month.
Council did refuse the request, which was for a one-off $30,000 grant to replace existing technology with updated equipment, and then $10,000 each year to cover operational costs including $3200 of annual insurance, Internet and utilities.
Mr Slattery says his new hope has come with assistance from the Office of Rural Affairs in Orange, which is helping the centre negotiate further with council.
"We will be closed for a few weeks, possibly until after Christmas, but then we may be able to reopen," he said.
Cabonne Council general manager Graeme Fleming said council's economic development manager was working as an advocate for the CTC and helping to identify potential funding from State and Federal Governments.
Mr Fleming said the CTC wasn't financially viable on the information council received.
"The main reason [for refusal] was that it is an example of cost-shifting," he said.
"It was a State Government program and the State Government withdrew funding, so it wasn't a council responsibility."
Mr Fleming said council was also concerned it could set a precedent for other cyber cafes in the shire if it financially supported the CTC.
"We think the CTC is doing a great job, there's no doubt about that, and Luke is fantastic," he said.
"But it makes it hard when it's not financially viable and the manager and committee have resigned."
The centre has been running for five years and received initial State Government funding of $150,000, but no funding for operational costs during the past three years.
The centre offers a commercial printing service, computer repairs and computer training courses.