The Latrobe City Council wants the Victorian Government to take on all of the Hazelwood Mine Fire Inquiry's community health recommendation.

The inquiry recommended designating the Latrobe Valley a Health Innovation Zone, backed by about $60 million in funding.

The Government has not responded on this point yet, but has previously claimed it will look at all aspects of the inquiry when the final report arrives later this month.

Latrobe City chief executive, Gary Van Driel, says the Government must get on board.

“Our support was for the engagement of a health advocate and we're obviously supportive of the funding proposal that has come through from the inquiry,” he said.

“We think that's important that it is delivered in full and obviously links well to the long-term health study.

“We remain positive and confident that the issues that are being raised will be dealt with in a supportive manner.”

The council made a number of its own recommendations in the inquiry, including a plan to relocate the state's environmental and mining authority offices to Morwell.

Another report on the rehabilitation of the region’s coal mines is due on Thursday.