Cr Jo Armstrong and former mayor Paul Hooper stormed out of last month’s statutory meeting when Cr McLean was elected mayor.

Mr Hooper resigned as a councillor the next morning, saying he could not be part of a council that supported a candidate under investigation to be mayor.

Cr McLean made statements during Tuesday’s meeting that related to the allegations made against her in a Commission of Inquiry in Ararat Rural City Council’s plan to abolish differential rates and other governance issues.

“On May 2, 2017 council was considering its budget and rating strategy. I made a statement that I now regret as it may appear disrespectful to councillors and the public, and unbecoming of a councillor,” Cr McLean said.

“I apologise to any person affected and I continue to adhere to the councillor code of conduct.”

Commissioners found that Cr McLean “turned to the public gallery and addressed it with the words, ‘suck it up, princesses’ was abusive and a breach of the councillor code of conduct and council meeting procedures”. 

“The Commission finds Cr McLean has also breached the councillor code of conduct as she had no proper or sound reason to make and receive calls from a non-director member of staff, Mr Neil Manning, about his occupation of the interim chief executive position,” the report stated.

“The Commission finds Crs McLean and Allgood, despite extended experience on council, demonstrated they did not accept they should not involve themselves in operational matters nor did they understand their strategic and policy role as councillors.”

Cr McLean also addressed the second allegation.

“Council employs the chief executive and it is a crucial – it’s most primary and important – function for a council to adhere to,” she said.

“Councillors talked to a range of senior officers in relation to the incumbent chief executive’s departure to assess interest in the position.

“I now fully understand the provisions around contact with council staff and reinforce my commitment to the code of conduct.”

Cr McLean also addressed comments she made to Mr Hooper in a previous council meeting about the cost of a state government inquiry into the council. 

“I wrote a letter to the state government citing that Mr Hooper had cost the council $1 million because he had asked for the minister’s intervention,” she said.

“As a councillor, I fully appreciate that individual councillors have no authority outside of formal council resolutions, and there is now firm commitment to work through as a council for a plan for budget strategies.”

The report was tabled to parliament in August. Victorian Local Government Minister Natalie Hutchins then urged councillors to implement all its recommendations, including that Cr McLean face a code of conduct process.

Deputy Mayor Gwenda Allgood also read a statement from her solicitor, saying Cr Allgood had been denied “natural justice” over separate allegations against her in the report.

“The allegations relate to possible breaches of the code of conduct contained in the report from the commission of inquiry,” Cr Allgood’s solicitor stated.

“While Cr Allgood is named in the report, no specific information is provided to support these allegations.

“The report does not set out specific terms for particular for any breach of rules of conduct alleged against her.

“It is clear that the rules of natural justice have not been observed in this matter. Accordingly, she is not in a proper position to respond to these allegations and these matter should not proceed until she is provided with specific particulars of alleged breaches of the code of conduct.”

Cr Allgood said she personally “supported and abided by the code of conduct for the council and would never put that at risk”.

Councillors voted to accept Cr Allgood’s statements.

New council chief executive Allen Bawden said he had drafted a response for councillors to Cr McLean’s statements.

Councillors were asked to move a motion that they treat public gallery members with respect, that they accept Cr McLean’s remedy of issuing an apology for disrespectful comments, and treat all people with respect in future.

Mr Bawden said as the original complaint against Cr McLean was brought by a motion of council, the councillors could vote to resolve the process if they were satisfied with her response. 

However, Crs Armstrong and Peter Beales were opposed to accepting Cr McLean’s statements.

Cr Beales said months had elapsed between the incident and the apology, which could create doubt as to whether it was sincere.

Cr Darren Ford said he did not consider the allegations to be towards the severe end of the spectrum.