In response to allegations of mismanagement, the then Penang Chief Minister Wong Pow Nee assumed control of the city government in 1966.

Among others, the clerk was tasked with valuating “houses and shops in the bazaar belonging to natives, according to the extent of the ground, for the support of the Police and for cleaning, making proper drains, and keeping the town in order and free from nuisance”.

These committees marked the beginning of a series of ad hoc advisory groups, primarily composed of European and native ratepayers, which were created to address specific issues but were not granted regulatory authority.

A committee of assessors was legalised in 1827 "for the purpose of providing the means of clearing, watching, and keeping in repair the streets of the town of Penang".

Newly-appointed Lieutenant-Governor Edward Anson also inherited the Resident Councillor's position as president of Penang Island's Municipal Commissioners.

[2] The start of Lieutenant-Governor Edward Anson's tenure in 1867 coincided with the completion of 9 in (230 mm) cast iron water pipes, which replaced the older earthenware ones.

The constant development of water infrastructure was credited as a key factor in supporting George Town's population growth leading up to Malaya's independence in 1957.

Harold Gourley, who briefly held the presidency of the Institution of Civil Engineers in 1956, remarked that "George Town had the finest and most beautiful water supply system" he had ever encountered.

The department occasionally assumed control of hospitals to address epidemics such as malaria and mobilised its manpower to eliminate mosquito infestations within the settlement.

[5] Shortly after, a department for electric supply was established, which included a sub-department to manage the tram systems that had been acquired from the Straits Settlements government.

[7][8] In 1886, Straits Settlements Governor Frederick Weld formed a committee to draft legislation aimed at amending municipal laws and facilitating separate administration for rural areas.

Subsequently, George Town's municipal government was composed of seven commissioners including the president, all appointed by the Governor on the advice of Penang's Resident Councillor.

[2] During the Japanese invasion of Malaya in December 1941, extensive air raids targeted George Town, resulting in significant destruction and a collapse of municipal services.

Residents sought refuge at Penang Hill and Ayer Itam, where Chinese communities formed informal groups in an attempt to restore order, leaving George Town largely deserted and filled with casualties.

[11] George Town was targeted by Allied bombers toward the end of World War II, resulting in the destruction of several colonial landmarks.

Areas on the outskirts of the town had developed into slums, which posed a fire hazard, and municipal waste remained uncollected during the years of Japanese occupation.

[2] As part of post-war reconstruction efforts, the municipal government sought to provide low-cost housing for its employees and to alleviate the overcrowded slums on the outskirts of George Town.

[2] British officials supported the move, as it was believed that participation in municipal governance would help deflect a developing secessionist movement in Penang.

In 1956, the municipal government submitted a petition to Queen Elizabeth II requesting city status for George Town.

The George Town City Council faced the possibility of being merged into the Alliance-controlled Penang state government, alongside the influence of partisan politics extending from the federal to local levels.

[2] Even before independence, the United Malays National Organisation (UMNO), the biggest component party of the Alliance, had expressed its disapproval of George Town's city status.

[25][26][27] Partisanship remained an issue in the following years, prompting Singapore’s Mayor Ong Eng Guan to urge George Town's city councillors to address their differences during an official visit to Penang.

[13][29] The financial strength of the George Town City Council facilitated its extensive powers in the maintenance and development of infrastructure, while enabling progressive policies ahead of other parts of Malaya.

[2] In the 1960s, the city government completed several infrastructure projects, including the Ayer Itam Dam and flood mitigation efforts along the Pinang River.

[2][30] The city government's pool of experienced workforce was credited with sustaining George Town's relatively well-developed infrastructure.

[33] He was succeeded in 1960 by Labour politician Ooi Thiam Siew, who served as Mayor until 1964, when his party colleague Choy Chooi Yew assumed the position.

The state government, led by Chief Minister Wong Pow Nee, had been irked with the city's relative wealth and sought to leverage the situation by establishing a commission of inquiry to examine Ramanathan's claims.

[13][31] While political feuding against the Alliance eventually led to its suspension, the Labour-led city government was credited with reforming municipal governance to better address local needs, reducing corruption and implementing progressive policies that were novel for Malaya during the federation's early years, including public housing schemes and the maintenance of broad aspects of urban infrastructure from drainage systems to power supply.

[1] The decades that followed the establishment of the Penang Island Municipal Council saw a prolonged debate on George Town's city status.