A pot of £57,000 will not stretch as far as councillors looking at improvements in Ayscoughfee Gardens had hoped for.
Spalding Town Forum heard on September 17 that the money will fund a new performance area, but not the replacement of the aviary, which was the original aim.
The cash has come from a S106 planning agreement stretching back to when Springfields was developed more than ten years ago.
Forum chairman Coun George Aley told the meeting that due to the Grade I status of the hall, the initial design for the performance area was deemed unsuitable by English Heritage.
A new design – which would be more expensive – has been drawn up.
Coun Aley said: “There might be an opportunity of accessing Lottery monies that might be sloshing about and that would help with the proposed [aviary] refurbishment.
“I say we go ahead now and complete the performance area with the S106 monies and see what we can do with future monies – that would be my recommendation.
“[The project] didn’t go well in the first place and it’s taken a long time to get there.
“It’s been a challenging target.”
The meeting also heard that there was no further news on another proposed project, the refurbishment of the main gates at The Sir Halley Stewart Playing Field.