"An assessment of the Yass Valley LGA against these principles by the consultants has demonstrated the need to vary minimum lot sizes in the western half of the LGA and maintain the existing lot size in the eastern half."

While he admits there will be winners and losers, Mr De Szell said the community's reaction would depend upon personal circumstances.

"I suspect that some landholders will be happy while others are not," Mr De Szell said.

"The consultants who prepared the study are of the opinion that the recommendations will not ruin the livelihoods of landholders in the Wee Jasper/Mullion and Bookham/Binalong areas.

"This conclusion has been based on research undertaken for the study which has found that most landholdings in these areas are already above 300ha in size so the recommended minimum lot size of 300ha merely reflects the existing sizes of farms.

"The research has also found that there is not as much demand for lots of 80ha in these locations as they are outside of the commuter belt to Canberra and the costs of developing are too high to be attractive," Mr De Szell said.

Mayor Nic Carmody is "dead against" changing the status quo. He is not in favour of changing a policy that he believes has worked for the past 40 or so years.

"The conclusion that we need to protect agricultural land by doing this is completely flawed. There has hardly been any fragmentation in the areas that the second option is trying to protect," he said.

"Some people will be financially affected in a massive way. You can't blame landowners, who have just experienced the worst drought in history, for looking at trying to maximise their land value."

President of the Yass division of the NSW Farmer's Federation, Ed Storey, is also concerned by the prospect of a blanket minimum 300ha lot size. He is worried that the proposed changes will potentially devalue land west of the town.

"It has the potential to make a lot of bank managers pretty nervous," Mr Storey said.

"The policy would have ongoing implications for the ability of farmers to finance an agricultural enterprise."

Mr Storey said he will be looking "very carefully" at the document and he urged local landholders to do the same.

"This is one of the most significant policies to have been thrown at the rural areas of the Shire in the last 20 years. These are potentially big changes we're talking about and there could be severe implications for agricultural pursuits in the Yass Valley.

"Council wants to ensure that agriculture is viable into the future but we [the farmers] are the ones who will determine that.

"I'd encourage everyone affected by the study to become familiar with the document and to get submissions into council. Don't wait for someone else to do it," Mr Storey concluded.

Mayor Carmody and Mr De Szell also encouraged those affected by the draft study to make submissions in writing.

"People need to vote with their feet and let the councillors they elected last year and the council staff know their opinions on a draft study that will have a major impact on our Local Government Area," mayor Carmody said.

The draft policy is on public exhibition from June 29 until August 21 and is available for download from council's website www.yassvalley.nsw.gov.au. Submissions must be made in writing.