A northern NSW councillor's push to have council delay a deal to hand a sacred site back to Traditional Owners has been deferred during a chaotic meeting which got so heated the mayor was forced to call a time-out.

Lismore City councillor Big Rob urged fellow members to take no further action on a 2021 vote to return the 37ha Banyam Baigham (Sleeping Lizard Hill) to the Widjabul Wia-bul people at Tuesday night's council meeting.

Cr Rob's motion was shot down by several councillors and the public gallery, but newly-minted Lismore Mayor Steve Krieg hinted some level of support before the alternate motion to defer to a workshop was brought forward and passed.

"The issue for me is not that we are taking back land or reneging on promise, it is about process, promise and getting things right," Cr Krieg said.

"This move to turn back the clock is a strong reminder of the great injustice, dispossession and cultural genocide that is still at large" - Mickey Ryan

"I support the hand-back but we need to do it properly.

"We have been told several things that aren't quite accurate and I would like to get all the facts before we make monumental decisions."

Bundjalung elder uncle Mickey Ryan slammed the motion in a speech to council, describing the financial burden argument as "flimsy".

"It is part of our dreaming, we are responsible for looking after that area and there are spiritual consequences if it isn't looked after properly," he said.

"Our ongoing relationship with council is in jeopardy at a time there are great opportunities on the horizon.

"This move to turn back the clock is a strong reminder of the great injustice, dispossession and cultural genocide that is still at large."

Uncle Ryan said councillors would bring the City into disrepute if they supported the motion.

"The land is dangerous, it is unimproved, there is a cliff face, there is an unmapped mine, there are undetonated mines there" Cr Big Rob

He was one of nine residents to speak against the motion, including Banyam Elder aunty Thelma James.

"We do things your way and we didn't ask for anything and we hoped along that journey we made footsteps inwards to sit down as equals at the table, but obviously we don't feel we have become equal on something as important as this," aunty James said.

Cr Adam Guise described the move as "revenge politics" against the former council while several long-serving councillors also spoke against it.

Speaking on Tuesday night, Cr Rob labelled the original deal as "wishy-washy" and done without proper process.

"This is a commitment of council to say we are trying to give away land in the correct way," he said.

"The land is dangerous, it is unimproved, there is a cliff face, there is an unmapped mine, there are undetonated mines there.

"This is what we are offering our Aboriginal people - crap land, according to councillors."

Cr Rob was interrupted by the public several times during his speech, including by one person who labelled him a disgrace then stormed out of the chamber.

The motion threatened to boil over as Cr Krieg warned he would kick people out of the public gallery for interrupting on several occasions.

And there was just as much chaos around the council table; point of orders were a regular feature and there was substantial confusion over process when Crs Rob and Krieg both attempted to amend the motion.

Upon returning from a 10-minute timeout councillors swiftly voted down the motion, instead voting unanimously to send the issue to a workshop.

The original motion in July 2021 was carried 7-1 in favour of handing back the land.