Swindon's mayor Nick Martin has been ordered to apologise after being found to have breached the members' code of conduct over remarks about disabled people.
But if Councillor Martin contests the decision and does not comply it could go to a public hearing.
Coun Nick Martin had denied the comments, which were reportedly made while a council officer was making a presentation about issues faced by disabled adults in the borough, at a safeguarding adults meeting on Wednesday.
He was accused of saying: “They aren’t still letting those mongols have sex with each other are they?”
Two councillors have said they heard him referring to disabled people as mongols.
A statement from Swindon Council said: "The Assessment Panel considered the Independent Investigating Officer’s report, which concluded there was a breach of the Members’ Code of Conduct, and the Panel was satisfied that in order to resolve the matter at the earliest opportunity, a local resolution should be sought on the following terms:
"That Cllr Martin:
"Makes an unreserved apology within 7 days, accepting that he has breached the Members’ Code, and that this apology be made public;
"Accepts further training from the council’s Monitoring Officer within the next 14 days;
"And that: the Findings of Fact of the Independent Investigating Officer are made public, subject to any redactions being required by the Independent Investigating Officer.
"The Panel stated that if these outcomes are not met, then the complaint should be referred for a public hearing."