The policy will be put to the May 17 monthly meeting for endorsement.
Earlier this year, independent candidate for Nicholls Rob Priestly took a leave of absence from council to avoid any perception of conflict while he campaigned.
Mr Priestly stepped aside well before the usual trigger, which is the calling of an election.
Mayor Kim O’Keeffe has already announced she is seeking preselection for The Nationals for the seat of Shepparton District at the Victorian election in November.
The policy formalises that the leave of absence should begin no later than the date of nomination as a candidate with the relevant electoral commission for the election and conclude no earlier than the close of voting for the election.
Under the policy, a mayor is encouraged to temporarily relinquish the position for the duration of any state or federal election period in which they are a candidate, with council appointing a temporary acting mayor in accordance with its governance rules until the mayor returns from the leave of absence or resigns as a councillor due to being successfully elected.
Where the mayor does not stand down or take a leave of absence, the policy says additional care should be taken to maintain a clear distinction between the roles of mayor and candidate, to preserve the independence of the mayoral role and ensure it is not politicised.
Use of the mayor in council’s public communication and publicity would be kept to a minimum during the election period with the chief executive given discretion over the distribution of communications, including speeches.
Under the policy, the council wants to be able to continue its advocacy role for the city but remain apolitical.
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