Minister for Local Government Shelley Hancock notified Armidale Regional Council on Tuesday that it could be suspended for three months.

Labor Shadow Minister for Local Government Greg Warren said relations between the council and the CEO were now at a point that ministerial action was urgently required.

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"The Minister needs to rip the band-aid off for the sake of the ratepayers of Armidale Regional Council," he said.

"Councils must operate efficiently, effectively and cooperatively in order for community services and resources to run smoothly. Clearly this has not been the case in Armidale and the Minister has been aware of the situation for quite some time."

He said at a time like this, when communities were in the midst of a pandemic and uncertain times, people needed certainty that their council was working collaboratively in their best interests.

Over recent weeks a group of six councillors called a meeting to terminate the CEO's contract, which saw the council launch legal action against councillors.

Last week, state MP Adam Marshall revealed that he had contacted the OLG about the council's inability to work together.

Then the mayor Simon Murray said he would welcome the intervention to address the factional divides that have plagued the council.

"The serious issue that has clearly been allowed to evolve to this level between the elected councillors and the general manager needs to be resolved now so that the attention of that local government area, local families, farmers, local businesses and all ratepayers is put first," Mr Warren said.

"I offer bipartisan support for any appropriate action in relation to this matter to ensure the people of Armidale Regional Council are put first."

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