Wyndham council will search for a new operator to run the Lawrie Emmins Reserve motocross track being overhauled in Laverton North.

Motorcycling Victoria signed an agreement with the council in 2015 to operate and manage the track once the work is completed.

But a council meeting last week heard that the motorcyling body had withdrawn from its commitment to operate the venue because it no longer had the financial capacity to do so.

Councillors Kim McAliney and Intaj Khan said that although the decision was “disappointing” they believed a third-party operator could be found.

A community reference group will be established to work with the council, during the re-opening of the track and its first 24 months of operation. During that time, the council will invite expressions of interest from third-party operators to manage and operate the track.

A council report stated that direct management of the track by the council was not considered a viable option.

The report stated the council would most likely enter into a five-year lease agreement with the future operator of the motocross track.

The council has spent $780,000 to redevelop the track, which was opened in the 1970s, but was closed in 2010.

Construction of the track is due to be completed within the next 12 months.