Burnie Mayor Steve Kons is proposing the Burnie Courthouse be relocated 100 metres up the road to the fire station, with the Burnie Fire Brigade moving to a new home.
The state government is planning to move the court to the former University of Tasmania campus on Mooreville Road.
Cr Kons is opposed to the move and suggested the Burnie Fire Station was a more appropriate location.
"I think it's a very good option," Cr Kons said.
"The fire brigade needs an upgrade and the only way to get a substantial upgrade - which has been in the wings for a long time - is for a new site."
Cr Kons is unsure where the site of the Burnie Fire Station would be, but the Tasmania Fire Service have stated they are considering moving.
"That is why we are asking for an expressions of interest process to occur, for the government to see what other sites are available, rather than just say there's nothing available," he said.
Cr Kons believes both the new fire station and new court would have to be relocated concurrently.
"If you need a new court and you're going to need a new fire station, might as well plan for both at the same time," he said.
"The only way it would work is if another site is found for the fire brigade to move to and for the court - after the fire brigade has moved - to move into the vacated spot."
Cr Kons said that if the move went ahead the fire station would be knocked down for the new court.
In regards to Cr Kons suggestion, a Tasmania Fire Service spokesperson said that the "redevelopment and relocation of the Burnie fire station has been considered".
"At this stage a suitable location for a future redevelopment - which would need to have easy access to the Bass Highway - has not been identified."
