Cr O'Malley says he is being targeted by Ms Graham and quit a senior role at the council because he does not feel safe.
Council chief executive Ms Graham fired back this afternoon and labelled Cr O'Malley's claims "outrageous".
The three-term councillor launched a broadside at Ms Graham today in a resignation letter as he quit his role as chair of the hearings committee.
In the letter sent to Mayor Jules Radich, Cr O'Malley said he was resigning because he believed basic principles of democracy and representation were not being met by the council ‘‘and I personally am operating in a hostile work environment.’’
‘‘I do not feel safe in this position.’’
Cr O'Malley said events over the past two years — involving the council’s Future Development Strategy, local alcohol policy and events surrounding the hearings for the Albany Street Connection Project — had ‘‘cast doubt on the DCC’s commitment to following due process and adhering to the principles of natural justice to the extent that I do not believe I can perform my function properly.’’
Resigning from the role was ‘‘no light matter’’, he said.
‘‘However, I feel that that is the only mechanism by which I can raise these issues and ask for a robust open comprehensive assessment of what has happened in the processes named above and to the role of the chief executive of the Dunedin City Council in these processes.’’
He referenced the temporary removal of footage of two council committee meetings earlier this year.
Those meetings included Cr O’Malley criticising staff for the way government Three Waters ‘‘Better Off’’ money was initially allocated before some was redirected to align more clearly with the new government’s expectations, as well as with what Cr O’Malley said were councillor intentions in the first place.
The council at the time said the footage was temporarily pulled ‘‘due to potential legal concerns’’.
‘‘I have been informed that the video was taken down by the [chief executive] who had written a letter complaining of my behaviour but could not get additional signatures from the executive leadership team.
‘‘I acknowledge that until it is verified by an external enquiry this must be treated at hearsay.
‘‘However, there has never been a plausible explanation as to why the video was taken down and such an action has not occurred at the DCC in the nine years I have been on the council.’’
Ms Graham said in a statement she had "no idea why Cr O’Malley would not feel safe in his role".
"I have never previously considered lodging an employment complaint of any sort against him or any other elected member."
It was "not correct to suggest" that she decided to remove the video of the meeting.
"The DCC provided public comment at the time (which was shared with councillors and reported by media) that the video was taken down temporarily due to potential legal concerns.
"Once checked by our legal advisors, it was reinstated in full."
Dunedin Mayor Jules Radich said Cr O'Malley's comments were completely out of order.
"It is appropriate that he has resigned."
Cr O’Malley earlier announced his resignation at this morning’s hearings committee meeting.
His resignation as chairman of the panel comes after he recused himself from considering proposed parking changes as part of the Albany St Connection Project — which aims to provide a safe walking and cycling connection between the shared Te Aka Ōtākou harbour path, Dunedin’s tertiary area and the CBD.
He recused himself after property developer Greg Paterson said his ‘‘ill-judged outbursts’’ showed he was biased and not fit for the job.
Ms Graham said it was her job to manage the process for the DCC and she made no apologies for doing that.
"In relation to Albany Street, a submitter involved in the hearing process wrote to DCC seeking Cr O'Malley recuse himself due to public statements reported that he made about the process and submitters engaged in it.
"Having received that request, I sought independent legal advice, which I provided to Cr O'Malley.
"As a result of that advice Cr O'Malley did recuse himself and did not participate in the hearing held today."
