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(a) Generally. Upon its review of the report presented by the department, the proposed service plan, and any evidence presented at the public hearing, the city council shall have the authority to:

(1) Approve without condition or modification the proposed service plan.

(2) Disapprove the proposed service plan.

(3) Conditionally approve the proposed service plan subject to the submission of additional information relating to, or the modification of, the proposed service plan or by agreement with the proponents of the proposed service plan.

(b) Mandatory disapproval. The city council shall disapprove the proposed service plan unless evidence satisfactory to the city council of each of the following is presented:

(1) There is sufficient existing and projected need for organized service in the area to be serviced by the proposed title 32 district.

(2) The existing service in the area to be served by the proposed title 32 district is inadequate for present and projected needs.

(3) The proposed title 32 district is capable of providing economical and sufficient service to the area within its proposed boundaries.

(4) The area to be included in the proposed title 32 district has, or will have, the financial ability to discharge the proposed indebtedness on a reasonable basis.

(c) Discretionary disapproval. The city council may disapprove the proposed service plan if evidence satisfactory to the city council of any one of the following, at the discretion of such council, is not presented:

(1) Adequate service is not, or will not be, available to the area through the City, county, or other existing municipal or quasi-municipal corporations, including existing title 32 districts, within a reasonable time and on a comparable basis.

(2) The facility and service standards of the proposed title 32 district are compatible with the facility and service standards of the City.

(3) The proposed service plan is in substantial compliance with the comprehensive plan of the City as adopted pursuant to the code.

(4) The proposed service plan is in compliance with any duly adopted city, regional, or state long-range water quality management plan for the area.

(5) The creation of the proposed title 32 district will be in the best interests of the area proposed to be served.

(d) Conditional approval. The city council may conditionally approve the proposed service plan upon satisfactory evidence that it does not comply with one or more criteria enumerated in subsection (b) of this section. Final approval shall be contingent upon modification of the proposed service plan to include such changes or additional information as shall be specifically stated in the findings of the city council.

(e) Exclusion. The city council may exclude territory from a proposed title 32 district prior to approval of the proposed service plan. The petitioners shall have the burden of proving that the exclusion of such property is not in the best interests of the proposed title 32 district. Any person owning property in the proposed title 32 district who requests his or her property be excluded from such district prior to the approval of the proposed service plan shall submit such request to the city council no later than ten days prior to the hearing held under section 122-33. However, the city council shall not be limited in its action with respect to exclusion of territory based upon such request. Any request for exclusion shall be acted upon before final action of the city council.

(f) Basis of decision. The findings of the city council shall be based solely upon the proposed service plan, the report presented by the department, and any evidence presented at the hearing by the petitioners, city officials, and interested parties. (Code 1979, § 36.5-10; Ord. No. 2004-41, § 9, 7-12-2004; Ord. No. 2000-55, § 5, 6-26-2000)