The Welcome Scroll was brought to Ararat Town Hall Wednesday evening where Ararat was added to the 127 other councils that have already signed it.
While the scroll highlights Ararat's ongoing commitment to helping and welcoming refugees, Ararat officially became a refugee friendly zone in 2015 when former mayor Paul Hooper signed a declaration.
Mr Hooper was present at the signing and said while Ararat currently has no refugee families, the signing could help encourage them to settle in the area.
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"We're an accepting community and it should make this incredibly difficult decision for a refugee or migrant to come to this town a bit easier," he said.
"I love the diversification and what those families bring to our town - it makes a huge difference to Ararat and the way we think."
He also pointed out settlement could benefit the town.
"I honestly believe that immigration is vital for our future success and prosperity," he said.
Cr Armstrong said the town and broader region has a strong immigration history and it made sense for residents to welcome settlers.
"We have a great migrant profile and that great story of settlement that has worked really well (for Ararat)," she said.
"We're such a welcoming community that it doesn't matter we're you're from."
The scroll is a joint initiative between the Refugee Council of Australia, Rural Australians for Refugees, and Refugee Welcome Zone Councils.
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