Georges River Council staff met with Sydney Water representatives, residents and Oatley MP Mark Coure on Monday to discuss concerns over the latest sewage spill at Lime Kiln Bay wetlands.
During the stormwater drainage works being undertaken by Georges River Council last week, contractors identified a sewer spill, a council spokesperson said.
"Sydney Water was notified immediately and took action to rectify the incident as soon as possible," the spokesperson said.
"The stormwater works undertaken by council to improve the capacity of the drainage network have been recently completed.
"Council is now undertaking bush regeneration activities to increase native vegetation cover within the site and to minimise sedimentation downstream."
Mortdale resident Dave Mercer said he noticed what appeared to be sewage in the wetlands last Thursday.
"Signs warning area 'may have sewage overflow' have been in the area for approximately the past three weeks," he said.
"In the past three weeks there was an initial sewage flow into the wetlands.
"Last week on Monday and Tuesday the ponds appeared and smelled clean.
"On Thursday, September 6, I went to the wetlands and could smell sewage as I approached.
"Signs were still in place, Sydney water equipment was still there, but no workers. The water looked and smelled bad, with the appearance of sewage."
In June Mr Mercer found the body of a female Powerful Owl next to a Sydney Water sign warning residents that Dairy Creek, near the wetlands, had been impacted by an overflow incident.
Sydney Water has admitted there was an overflow that impacted Dairy Creek but that was on June 25 and no dead animals were found in the area following the incident.
Sydney Water said the latest wastewater overflow was caused by tree roots blocking a pipe.
The blockage was cleared and crews conducted a clean up.
"Signs remain in place as a precaution pending test results to give the site the all clear," a Sydney Water spokesman said.
"Sydney Water takes its responsibility to protect public health and the environment seriously and we urge the community to continue to contact us with any issues.
"On-going dry conditions like what Greater Sydney is experiencing make it more likely for tree roots to search for water in our network, breaking or blocking pipes."