George Baker is a councillor in Amherst, a town of nearly 10,000 near the New Brunswick border. Baker, who is white, admits he said, "I'm not your n--ger" in July while working a side job delivering pizzas. He said it to staff at Bambino's Pizzeria.
Baker also sits on the Amherst Board of Police Commissioners and is currently running for mayor.
In a written statement handed out before a special council meeting Monday night, Baker said, "I did not use any swear words or profanity."
Baker said that after using the slur, he immediately told staff at Bambino's, "No one should ever say that word. I'm sorry."
"I have no idea why that word would have come to mind," he wrote in a statement. "It's not a word I ever use."
Baker also said in his statement that he has spoken to "virtually all of my African-Canadian constituents" since the incident.
CBC News heard from two black residents of Amherst who disagreed with Baker.
"I think that comment brought this town back into the 1800s," Holly Martin said.
Hal Davidson, another member of the town's black community, wrote a formal letter to council asking it to conduct an independent review.
"We are in trouble, if we're in a situation in this province where people can make whatever comments and they're not held accountable through the governing bodies that they represent," Davidson said.
"Keep in mind, this is not 1900. It is 2016."
Nova Scotia town councillor admits using N-word, but says it's not a 'profanity' - Nova Scotia - CBC News