Councillors Anne-Marie Loader and Ben Dudman led the successful push, which was supported by a seven-to-two margin.

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Equality Tasmania president Rodney Croome applauded the gesture and said it would not go unnoticed by community members.

"The fact that more and more Tasmanian councils are supporting equality and inclusion for LGBTIQA+ people shows Tasmania is changing for the better," he said.

"Only a minority of Tasmanian councils have undertaken LGBTIQA+ inclusion initiatives, but the number is increasing rapidly."

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Another benchmark noted by Mr Croome was that more young members of the LGBTIQA+ communities were either staying in rural towns or moving to them.

This runs counter to historical trends where they left smaller towns, and sometimes the state, to find more welcoming towns.

Councils that have taken steps towards inclusion in recent years include Hobart, Kingborough, Derwent Valley and Huon Valley.

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Devonport City Council successfully applied for state government funds for gender neutral signage at the city's toilets and Burnie Council has sponsored International Day Against Homophobia, Biphobia and Transphobia events.

Central Coast Council which encompasses Ulverstone - formerly known as Australia's most homophobic town - has also flown a rainbow flag and lit the Leven Bridge in rainbow colours starting in 2021.

The 2023 Tasmanina LGBTIQA+ inclusion awards, known as the Dorothies after Reverend Dorothy McRae-McMahon, has a focus on local government inclusion initiatives.

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Mr Croome said that as the level of government most directly involved in peoples' lives, local councils had a key role to play in fostering an inclusive and equitable society.

"Local governments run services that need to be inclusive and provide equal access," he said.

"They can send a positive message to the broader community about the need for inclusion and equity."

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