A dire water situation compounded by bushfires and drought has prompted Auckland-based NRL team the Warriors to help rebuild the northern NSW town of Tenterfield.

Warriors chief executive Cameron George, who grew up around two hours from the town, says he is heartbroken to hear stories from friends needing to boil water three times before they can drink it.

The boil-water alert from the Tenterfield Shire Council was removed on Monday after residents spent since October 4 taking the precaution as ash deposits made their way into the dam, which is at an alarming low level.

“It’s going from bad to worse,” George told AAP.

“The challenges they are facing are heartbreaking, especially at a time of year when everyone should be able to relax a little bit.”

George has put in place a unique plan with the help of Tenterfield mayor Peter Petty, adopting the town for the year with the hopes of having a long-lasting impact on the community as it recovers.

Next year the Warriors will work with the town’s business chamber to help get local businesses back on their feet with expert mentoring through their sponsorship data base.

Players and club legends will visit schools, community events, host charity nights, as well as attending junior and senior games of the town’s rugby league club, the Tenterfield Tigers.

George is also hoping to coordinate a donation to the town.

Mayor Petty will visit Auckland on January 20 to finalise the plans and speak to players about the impact they can have on local residents.

George expects players will be moved by the realisation of how lucky they are to live in New Zealand and will be quick to help.

“People don’t appreciate the water situation, we don’t experience that stuff in New Zealand, we’re so lucky,” he said.

“When players are able to have a shower after training and a couple of bottles of water, in Tenterfield they would have had to boil that water three times because it’s so contaminated, and they wouldn’t be able to drink as much.”