The City of Launceston Council voted unanimously to adopt a new flags policy which will see the Aboriginal flag flown permanently at Albert Hall and Town Hall.
In discussion on the motion, councillor Tim Walker said that this motion represented a larger journey towards reconciliation.
"This is one step in the process, it's a process that as far as I can see is an ongoing one, it's not one where there is an end destination, it's a continual journey," he said.
"I am extremely proud that this council is taking this step forward."
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Deputy mayor Danny Gibson apologised for the delay in tabelling the "overdue" policy.
"I wanted to apologise for how long it has taken but I believe that we as a council purposefully and intentionally uplift the minority and historically marginalised groups within our community," he said.
"I want everyone to feel welcomed and proud to be part of our community and I personally commit to adopt some of these principles today."
The lack of a permanently stationed Aboriginal flag on Town Hall and Albert Hall was raised with the council last year and the council committed to undertaking a change in this area.
The motion had originally been scheduled to be discussed at the July 1 meeting but was delayed to provide councillors with more information.
The policy also includes directions on when the council can fly flags at half-mast and buildings and days the flags are flown .
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The next steps will include the council seeking heritage approval required for additional flag poles to be placed on Town Hall and Albert Hall as well as a development application to be approved.
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