Victoria's political donations are some of the least regulated in the Western world and the state's Ombudsman who says that wants them fixed before the next election.
While NSW has pushed ahead with bans on developer donations to political campaigns, Victoria has no state laws, with politicians only required to comply with federal laws.
Ombudsman Deborah Glass says the system not only opens the door to corruption, it is also difficult for innocent politicians to shake off false allegations.
"It must therefore be time for Victoria to put this issue back on the table with a view to reform before the next election," Ms Glass said on Wednesday.
"We should not wait for a scandal for this to happen."
An Ombudsman's investigation into AFL superstar Gary Ablett Jr's uncle could not substantiate seven allegations he helped developers in exchange for political donations.
Cranbourne mayor Geoff Ablett ran as a state Liberal candidate in 2014 and allegedly took donations from developers he advocated for on his local council.
Mr Ablett refused to answer the Ombudsman's questions on two occasions, firstly because he demanded a legal summons, and secondly on the grounds he might incriminate himself.
The original complaint was to the Independent Broad-based Anti-corruption Commission, which referred the protected disclosure complaint to the Ombudsman.
Three people said they heard Mr Ablett talk about opening up an anonymous bank account to take political donations, but the Ombudsman could not find evidence he got anonymous donations.
Victorian Liberal state director Simon Frost, who was Mr Ablett's campaign manager in 2014, said the allegations were internal muck-raking.
Planning Minister Richard Wynne said the government was looking at the Ombudsman's recommendations, but he would not say if the state needed political donation law reform.
Greens MP Ellen Sandell will introduce a bill in December banning council candidates and political parties from taking donations from property developers and requiring politicians to reveal any donations before an election.
"If Labor and Liberal have nothing to hide, they should support the Greens' bill to stop potential corruption in our political donations system," Ms Sandell said.
