Bob Dresser, chairman of the community board said, Mr Williams had given unique service to Dannevirke.
"The Dannevirke Brass Band has turned out for 127 years and that commitment shouldn't be taken for granted and we can't do without our band," he said.
"Neil has made a significant contribution to this community and the band and has been a worthy leader who has prepared his fellow bandsmen well, turning out for everything from church recitals, Anzac Day services, Christmas parades, school galas and all sorts of events. Neil has been inspirational."
Dannevirke and Districts RSA president Roly Ellis said Neil had been an icon in the town.
"Neil has tutored so many great youngsters in the band, with two going on to play with the New Zealand Army Band," he said. "We appreciate his commitment to turning out on cold, wet Anzac mornings."
Mr Williams said the brass band had always come first.
"Everything else has been second," he said. "I would come back from holidays overseas to play in a concert, banding is in my blood, it's been fun."
Barry Tougher, 88, an elder statesman of the Dannevirke Brass Band, acknowledged Mr Williams had been the man for the moment, when he stepped into top roles with the band.
"He took up the challenge and kept a brass band in this town, that's strong dedication," he said. "Neil has also played at the top level nationally and is a respected bandsman. This town wouldn't have been the same without Neil and his music and his commitment to the band."
In his 45 years with the brass band, Mr Williams has been musical director for 25 years and the conductor and bandmaster for more than 20 years.
From Gisborne to Featherston, 10 brass bands have disappeared, which Mr Tougher said was hard.
"However, thanks to the dedication of Neil Williams, Dannevirke hasn't been one of those," he added.