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can a volunteer fire chief run for the town council and still keep his current job

Nothing in RONR would prohibit it. If you don't like it, vote for someone else and persuade your fellow citizens to do likewise. As usual, the council's rules and applicable law may have provisions on this matter which would supersede RONR.

wouldn't that be a conflict of interest

RONR doesn't support the concept that merely serving on a body represents a "conflict of interest" (nor does RONR use this term). It does note that a member should not vote on an issue in which he has a personal or pecuniary interest not in common with other members (although he cannot be compelled to abstain). The fire chief could, for instance, serve on the council and abstain when such issues came up. As usual, the council's rules and applicable law may have provisions on this matter which would supersede RONR.

In what way?

I suspect the concern is that there will occasionally be times when the Fire Chief will have a personal or pecuniary interest not in common with other members, such as setting the budget of the Fire Department.

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Wouldn't that be a conflict of interest?

It is possible, even likely, that there will pop up certain conflicts of interest.

But so what?

The fact that there may be conflicts of interest doesn't imply what you asked about: Shall Person P resign from Position X to run for Position Y?

Can a volunteer fire chief run for the town council and still keep his current job?

Yes.

It violates no rule in Robert's Rules of Order.

The fact that there will be a constant conflict of interest is of no concern to the parliamentary rule.

Voters are free to vote for conflicted people.

People are free to run for offices which conflict.

There is no stopping the candidate.

There is no stopping the voters.

A conflict of interest has nothing to do with "running" or "being elected" or "serving in office."

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