Caistor Town Council has been advised to amend its neighbourhood plan.
The move follows Peterborough City Council planners reviewing the plan and issuing what town clerk Helen Pitman called “a 19-page assassination”.
West Lindsey District Council has since met with the town clerk.
WLDC chief operating officer Mark Sturgess said: “We had a very positive meeting with representatives from Caistor Town Council.
“We have agreed a way forward to take the plan to the next level, through its examination and then to a public referendum. The district and the town council are working closely together and we are all looking forward to getting a neighbourhood plan adopted in Caistor as soon as possible.”
The council is preparing a covering report which looks at supporting the plan and will recommend modifications.