NSW Labor will implement "sweeping" governance and administration reforms following a review of Sussex Street prompted by a highly-publicised anti-corruption inquiry.
Federal Labor leader Anthony Albanese and NSW Labor leader Jodi McKay on Friday welcomed the review's findings and said the recommendations would be adopted in full.
The reforms include a new state executive board, an audit and risk committee including four independent members and changes to the general secretary role.
"(The NSW branch) will be the most transparent branch of any political party in Australia," Mr Albanese told reporters in Sydney.
Former Commonwealth attorney-general Michael Lavarch conducted the review which was prompted by an Independent Commission Against Corruption inquiry into several cash donations to NSW Labor.
The ongoing ICAC inquiry is investigating whether Chinese billionaire Huang Xiangmo, who is now banned from Australia, was the true source of $100,000 said to have been donated by 12 people at a 2015 fundraiser.
As a property developer, Mr Huang was prohibited by law from donating to NSW political parties.
The inquiry has already sparked the resignation of Kaila Murnain who quit as NSW Labor's general secretary in October after telling ICAC she knew about a potentially illegal donation.
