Premier Daniel Andrews says he's had a "cordial" chat with Prime Minister Malcolm Turnbull about housing refugee families in Victoria, but they're still some way apart.
The pair spoke on the phone on Sunday morning, the day after Mr Andrews penned a letter to Mr Turnbull, urging him to keep a group of Australian-born refugee children and their families in Australia.
On Wednesday, the High Court ruled that offshore detention on Nauru and Manus Island was lawful, clearing the way for the government to return around 250 asylum seekers in Australia, including 37 babies, to Nauru.
Mr Andrews offered to settle the children and their families in Victoria, providing housing, health, education and welfare services.
"They're already here and they ought to be allowed to stay. I made that position very clear to the prime minister," he told reporters on Sunday.
"I hope to continue to talk with him."
Mr Andrews said he was encouraged that NSW Premier Mike Baird had made "some supportive comments".
"You've got the two biggest states in the nation prepared to extend a hand of friendship, do the right thing," he said.
"And I would urge the prime minister and his colleagues in Canberra to join us."
