People would be able to access a large number of staff and services at the suburban offices including dog rangers, parks and recreation staff, and consenting processes.
Ideally, the staff working in satellite offices would also live in the area and therefore have an affinity with residents, he said.
Mr Melville said people had commented to him that it would be like the old days when people met people.
A core of staff would be left in the CBD, along with the council's debating chamber and offices for the mayor and councillors.
Although people might be sceptical about such a "wild, out-there idea", he said the direct links with the community would make the council more productive and more people would vote in elections because they felt closer to the council.
Part of the process would be to ensure satellite offices operated efficiently and delivered the needs of residents, he said.
Mr Melville was asked whether moving a significant number of staff to satellite offices would have a detrimental effect on the city and CBD.
He replied: "The people here are not setting the CBD on fire now, so a reduction would not make much difference."
Councillor Matt Cowley said big developers with projects in various parts of Tauranga might get frustrated going from one satellite office to another because no matter where they went, they got the same service.
Mr Melville argued that local applications would be processed a lot more quickly, saying it would apply even if developers had multiple developments all over town.
Councillor John Robson said he found the submission "quite entertaining", and asked whether there was anywhere on planet Earth where a council ran this kind of structure.
Mr Melville said he understood that Thames had a similar structure, as did Perth in Western Australia.
