Wagga City Council will examine if the city's airport security or amenities could be upgraded with the help of a new $100 million federal grant program.
Wagga City commercial operations director Caroline Angel said the council would examine the terms of the grant program.
"It's very welcome news. Council will certainly be looking at the criteria for opportunities to put in for funding," she said.
"(The announcement) was very much focussed on ensuring safety around the current infrastructure in place; the terminal at this point has started to outgrow the current number of passengers.
"We are obviously waiting for the final details for the new screening requirements and that will impact the departure area.
"We would be looking for an opportunity to expand the departure lounge screening area and the community is quite keen to see a different way that baggage is brought back to the arrivals area."
Ms Angel said the taxiway could also be another upgrade assisted by the new grant program.
The Australian Federation of Air Pilots and Transport Workers Union have previously complained about low security levels at Wagga's airport, which allows passengers on small commercial aircraft to board without screening.
Ms Angel said the airport had received "fairly limited" external funding over the years and now had some "ageing infrastructure".
Riverina MP and Infrastructure, Transport and Regional Development Minister Michael McCormack announced the Regional Airports Program last week.
"For many regional communities, the local airport provides an essential link to the rest of Australia," Mr McCormack said.
"That's why we've committed $100 million over four years from 2019-20 to 2022-23 to help owners of regional airports right across Australia deliver safer runways, taxiways and other safety upgrades such as new fencing or safety equipment."
The council will have until December 12 to submit its application for round one of the new grants program.
Earlier this year, the federal Department of Home Affairs announced that regional airports would have face more stringent security requirements.
Ms Angel said the council's upgrades would depend on the requirements, which have not been finalised.