From now on, anyone who lodges or makes submissions on a development proposal must disclose gifts or donations more than $1,000 - to councillors and other politicians - from the last two years.

Mayor McWilliams said the new measures are an extension of what candidates faced at last month’s local government elections.

“During my campaign I had to have an agent, open a bank account and account for any donation over $1000 with an ABN number,” she said.

“It’s going to be open slather for the public, who want some transparency, but anyone with nothing to hide shouldn’t be worried. [The increased scrutiny] was a pain at the time [of the election campaign], but it’s been a good move by the government.”

Planning Minister Kristina Keneally said last week the changes would improve accountability in the development approval process.

“It will allow the public to know whether developers were also donors at the time a proposal was being assessed either by a council or the Rees Government,” she said.

While Cr McWilliams welcomed the changes, she said paranoia over Wollongong Council’s sacking seven months ago for a development corruption scandal should not seep into every council issue.

“We’re oversensitive about it now. From my point of view, I wasn’t going to buy a postage stamp in the election campaign without declaring it,” she said.

“But the public will be elated by the thought that everyone has to be transparent. There’s always suspicion behind anyone in public office, but Great Lakes has long been a very transparent council.”

Ms Keneally said the new laws were the sign of a government with integrity.

“This will deliver a higher level of accountability from those making political donations and forms part of the government’s ongoing political donations reform agenda.”