At a recent meeting, Streeton Ward councillor Noel Cliff praised the new rules: "A couple of years ago Upwey got chewed up by cockatoos and there was nothing we could do to stop people from feeding them.
"Now we have a way of trying to control it."
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The new law means residents could be fined for feeding the birds in their backyards.
In 2010, the Leader reported that cockatoos had caused extensive damage in the hills during the previous three winters, especially around Kallista, destroying public and private property by chewing away at structures.
At the time, Lyster Ward councillor Samantha Dunn said a massive public education campaign warning against feeding had been unsuccessful, and enforcement of fines was needed to make people stop.
Visitors to the hills can still feed birds at Grants Picnic Ground, where a lease agreement is in place until 2019.
As reported in the Leader (April 28, 2010) Yarra Ranges Council called for cockatoo feeding to be banned at the venue.
Councillors endorsed the local law at a recent special council meeting and praised the changes that had been made to improve it.
The number of objections to the local law shrank from 400 to 10.
A report will now prepared for council to consider the adoption of the law.