The contact for the general manager of Griffith City Council has been extended for three years until 2024.
Griffith's councillors made the decision on Tuesday night.
The decision followed a number of grand gestures including a personal address to councillors by general manager Brett Stonestreet, a petition signed by 61 of council's office workers and a letter signed by the senior management team.
Mr Stonestreet said since 2011 he had focused on ensuring council was 'fit for the future', a goal the state government demanded they meet or face forced amalgamation.
He described Griffith City Council was an "unsustainable operation" at the time which demanded a restructure.
"Our expenditures needed to be brought back so we could live within our means," he said.
Since then council had reported several years of budget surpluses and an improved cash position without increasing rates beyond what is allowed by the IPART rate peg.
He then highlighted several projects which council had been involved in, including St Vincent's Community Private Hospital, the northern and southern industrial links, improving flood protection, a housing strategy, land use reform and set out future objectives including completing the Yambil Street upgrade improving Lake Wyangan.
The public gallery included many of Mr Stonestreet's supporters, and resident Noel Hicks addressed council in support of the general manager.
The contract negotiations haven't gone smoothly, with a rescission motion presented to council in October, following disagreement over a vote enabling the mayor to begin discussions with the general manager.
During Tuesday's meeting mayor John Dal Broi declared he was withdrawing comments saying councillors had "caucused" before the rescission motion was lodged.
Councillor Doug Curran requested for the decision to be held over to allow Councillor Deb Longhurst to participate in the debate, but Councillor Dal Broi didn't accept the motion.
Councillor Brian Simpson said he wanted to see other options, as the general manager's current contract expired in August 2021, which would be just before a new council is elected, and a three year extension would see the same dilemma facing council in 2024.
Cr Simpson said it could mean caretaker arrangements ahead of the council elections.
"You don't want to put ... all the work that's been done by the general manager, the senior staff, and council staff into jeopardy by having a caretaker mode position and a new council coming in," Cr Simpson said.
Councillor Mike Neville proposed a contract extension for a single year for the general manager's contract, however that amendment was not accepted by Cr Dal Broi.
The general manager's contract extension came down to a deadlocked vote.
Councillors John Dal Broi, Dino Zappacosta, Christine Stead, Glen Andreazza and Simon Croce voting in favour, and Mike Neville, Brian Simpson, Doug Curran, Eddy Mardon and Rina Mercuri voting against.
The mayor used his casting vote to approve the extension.
Councillors Anne Napoli left the chamber because of conflict of interest, while Deb Longhust was absent from the meeting.
Under the contract details presented to council, Mr Stonestreet will be paid an annual salary and superannuation package valued at $312,000 from August 21, 2021.