GIVING Councillor Code of Conduct panels the power to fine councillors found in breach of the guidelines should be considered in a review of local government, Bendigo mayor Peter Cox says.

The state government launched the first review of the Local Government Act since its inception in 1989 on Tuesday, hoping to clarify the roles of councils, councillors and officers.

Code of conduct panels are also included in the review.

Cr Cox said it was clear the code of conduct panels needed more teeth, after the City of Greater Bendigo’s involvement in three panels in the last few years.

“The whole process needs to be reviewed to make them more potent,” he said.

“It’s clear from our three conduct panels that they need more teeth.

“I think the hip pocket needs to be incorporated. If the councillors had been given a fine, I think that would have been more appropriate.”

The most severe penalty a panel can hand down is two months of enforced leave.

Councillors are usually made to make a public apology to the community.

Councillor Elise Chapman was the latest to complete the panel process and was made to apologise for a tweet she sent, but has instead asked for a review of the decision.

Findings from a conduct panel hearing about Councillor Mark Weragoda are yet to be released in relation to his drink driving and subsequent denial.

As part of the review, a six person committee will investigate how councils could better represent ratepayers, how the Minister for Local Government could intervene in councils and what the roles of councillors and mayors should actually be.

Cr Cox said the role of local government had changed significantly in 20 years and he looked forward to seeing the review’s findings next year.

“The roles of the CEO, mayor and councillors changes often, so it will be interesting to see how it’s working and how it can be improved,” he said.

“It’s important to put it all on the table to be discussed.”

Minister for Local Government Natalie Hutchins had mentioned in media reports of hoping to end “endless waste and over the top salaries of CEOs”, which Cr Cox said should always be up to councils to set.

Ms Hutchins said the government would have conversations across the state about what they want from their councils and to ensure they are “strong, transparent and efficient”.

The first round of consultation will run until December 2015.