Changes made to the Code of Conduct rules for councils will give greater disciplinary power to the Office of Local Government.
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The NSW government has updated the Model Code of Conduct for Local Councils. It sets the minimum standards of conduct for councillors and council staff.
There were two councillors who were found to have breached Dubbo Regional Council's Code of Conduct rules last month.
Councillor Kevin Parker was censured for an email he had sent in January, while councillor Jane Diffey was told to apologise for her communication with a council staff member.
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Under the new changes, the consequences for code breaches could be different.
Cr Scott said the updated code would ensure council and councillors operated to rigorous standards.
"Under the new code the government has beefed up its rules in prosecuting censured councillors," she said.
"This latest code gives increased power to the Office of Local Government to impose penalties, payment suspensions and disqualification from office for councillors in breach of the code."
Under the new code, there are "a range of penalties that may be imposed on councillors for misconduct, including suspension or disqualification from civic office".
It states a councillor who has been suspended on three or more occasions for misconduct is "automatically disqualified from holding civic office for five years".
Any members of council staff who fail to comply with the code may also receive disciplinary action.
But Cr Scott said the government had missed an opportunity to consult with councils when creating the new code.
"For example, councils are still limited to formally censuring a councillor for breaches of the code, which means if a council is concerned about a breach, it must wait upon the Office of Local Government to act," she said.
The president said LGNSW would like to work with the government next time to create a set of rules that reflected community expectations.