Asked by The Examiner several weeks ago if rumours about an impending departure were true, Mr Dixon said he had signed a new, three-year contract with the Launceston City Council earlier this year.

Mr Dixon became general manager of the council in 2006.

Announcing his resignation, Mr Dixon said he would finish up his work in Launceston at the end of January.

``I have derived immense satisfaction from working with aldermen, employees and the community of Launceston over the past three and a half years,'' Mr Dixon said.

``It is truly a remarkable city, with its great natural assets, built heritage and a strong sense of community pride.

``It has been rewarding to be able to oversee such leading projects as the development of Launceston Aquatic.

``I have particularly valued the dedication and passion for serving the community displayed by employees right across the Council.

Mayor Albert van Zetten said the council would be moving quickly to recruit a new general manager.

The role will be advertised this weekend in order to have an appointment made as quickly as possible to ensure a smooth changeover.