The role and function of the Titley Shack Reference Group is to advise and provide information to the council on matters pertaining to the management and protection of the shack.

The historical asset is the last remaining of its kind at the Binalong Bay Gulch.

The shack will now undergo remedial works, including the removal of asbestos, replacement of damaged iron, undertaking of necessary electrical work, new downpipes, new flashing and some internal works such as replacement of ceiling lining.

Binalong Bay historian Garry Richardson said the announcement was great for the region.

"I'm glad it's happened," he said. "This is definitely good news - it is the last of four shacks and a lot more back in the day too.

"The removal of asbestos will ensure we can actually do something livable with it now."

Mr Richardson said the council had discussed the idea several times in the past two months.

"The [shack] committee was only set up recently. This is the third [council] meeting where the idea [to preserve the shack] has been discussed.

"The council must have always considered this to be a reasonable idea, after pulling down two [shacks] previously and leaving this one.

"[The repairs] are pretty much what the building inspector wanted - it's great."

Break O'Day Council has not disclosed how much funding will be provided for the renovations.