He previously held a similar role at Muswellbrook Shire Council, before taking on the responsibility at Scone more than two years ago.

Mr McDonald is the second high-profile departure from UHSC in the past two months.

In June, Wayne Bedggood stood down as mayor and as a councillor, effective immediately.

"I wish council staff, councillors and the community all the best for the future," Mr McDonald said.

Mayor Maurice Collison thanked Mr McDonald for his years of work managing the organisation.

"Steve joined the council in March 2018 and, in that time, there have been an enormous number of large scale projects started, underway or completed," he said.

"On behalf of council I thank him for his service and dedication to a challenging role.

"This council operates with a relatively low rates base but provides a wide range of services and businesses to a very large geographic area.

"Personally I also thank Steve for his support and guidance to the councillors to ensure decisions are made in the best interests of ratepayers.

"We hope Steve and his family enjoy some well-earned, quality time together and I ask that his privacy be respected."