In his submission on behalf of the Warrnambool Ratepayers Association, president Brian Kelson wrote that he was "baffled" the policies failed to hold the chain of responsibility to account when alleged misuse of public money was discovered.

At this month's meeting, councillors voted to adopt five documents which include: fraud and corruption control policy, fraud and corruption control procedure, councillor gift policy, public interest disclosure procedure and audit and risk committee charter.

Three other draft documents - transparency policy, councillor reimbursement and expenses policy and resources and facilities policy - were sent out for public feedback before they would be brought back to council for adoption.

Mr Kelson's submission said it was "disturbing" the way the policy was written and only the employee who made the initial purchase would be investigated and have action taken against them.

He called for the policy to be amended so all managers and officers involved in the checks and balances of public monies were held to account.

He also requested the council reduce the number of credit cards and their use.

Mayor Tony Herbert said it was important policy and procedures were updated. "They are vital for the compliance of the whole organisation, but they're only as strong as the training and enforcement if something goes wrong," he said.

"It needs to be strictly adhered to and, for those who don't strictly adhere there needs to be consequences as well."

The spotlight has been on the council's policies and procedure after a staff member last year resigned over misuse of a credit card and sparked a swathe of investigations.

During discussions on the policies, Cr Kylie Gaston said she was pleased feedback from a community member had highlighted public interest disclosure procedures.

"So I am relieved we are finally in the process of recruiting an independent governance officer as recently advertised and this is now reflected in our policy," she said.

The council's governance manager position has been vacant since May and an external contractor has been employed to fill the role until a permanent appointment was made, the council said.

Cr Gaston said the council's community engagement policy was now due for review and would be part of the new council's induction after the election.

"I think this is well timed, especially as...our community surveys are asking for more engagement from council. It's really good that this is a requirement of the new Act which I think is a welcomed initiative," she said.

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