Queensland will declare the council areas of Liverpool and Campbelltown as COVID-19 hotspots from noon today, the state's Premier Annastacia Palaszczuk announced via Twitter this morning.
"From midday, New South Wales local government areas of Liverpool and Campbelltown will be declared COVID-19 hotspots," she wrote on Twitter.
In a follow-up tweet she wrote: "Queensland borders remain closed to Victoria, where all local government areas are declared hotspots."
Once the declaration of a hotspot comes into force, anyone who has visited or come from these areas in the past two weeks will be refused entry into Queensland.
Any Queensland residents who have been in those areas in the previous 14 days and return to Queensland are required to go into hotel quarantine.
"No one travelling from those cities will be able to quarantine in Queensland and will be turned away at the border," Premier Annastacia Palaszczuk told parliament.
"Those who test our seriousness about our borders will learn a harsh lesson."
On Tuesday it was confirmed 18 people in Queensland are being tested for coronavirus after visiting the Crossroads Hotel at Casula.
NSW Premier Gladys Berejiklian on Tuesday said in response to the outbreak there would be a limit of 300 people regardless of size at indoor pubs and hotels and group bookings would be capped at 10 people.
It will be mandatory for pubs and hotels to download and register the COVID-19 safe plan and take down contact details of all patrons.
Venues with a capacity of more than 250 people will be required to have a full-time marshal on site to enforce COVID-19 safety guidelines.
The changes - decided during a meeting of senior government ministers on Monday night - doesn't apply to clubs, restaurants or The Star Casino. They will come into force at 12:01am Friday, July 17.
NSW Chief Health Officer Dr Kerry Chant on Tuesday said 28 coronavirus cases were now directly linked to the Crossroads Hotel while 14 cases were contacts of these cases.
One of the cases linked to the Crossroads Hotel is a person who visited the Prestons aged care facility which has now been placed into lockdown.
Dr Chant said there was no evidence the virus had entered the facility but authorities are on high alert.
All patrons of the pub who entered from July 3 to 10 must self-isolate and are being urged to get tested as a precaution.
"Now is the time we can contain this transmission," Dr Chant said.
Dr Chant said other venues across Sydney may have been exposed to the virus between June 27 and July 10 after visits from people linked to the outbreak.
These include: Picton Hotel, Planet Fitness gym in Casula, Canterbury Leagues Club, Narellan Town Centre and Zone Bowling in Villawood. People who visited between these dates have been urged to watch for symptoms and get tested.
The Kmart store in Casula Mall is now closed for deep cleaning after a staff member tested positive.
The employee and other staff members have now entered self-isolation.
"Kmart closed as of 6pm Monday 13 July 2020 and has been thoroughly cleaned and disinfected. Throughout the centre our focus remains on regular and diligent cleaning, we also undertook a further deep clean of the general mall which included all key areas such as hard surfaces, food courts and bathrooms," Casual Mall wrote on their Facebook page on Tuesday morning when confirming the confirmed coronavirus case.
"All stores within the centre have been notified. The health and safety of everyone who works and visits Casula Mall continues to be our primary focus and our thoughts are with those affected."