(2) The district board may order that the district continue only if, after a public hearing, it determines that there is a public need for continued existence of the district because:
(a) Liquidation and dissolution cannot be accomplished in a manner that would protect the rights of nonassenting creditors; or
(b) The services provided continue to be needed by the public, the district is providing the services in an efficient and effective manner and continuation will not significantly discourage future boundary change proposals.
(3) A public hearing on continuation shall be preceded by notice published at least 14 days before the hearing in a newspaper of general circulation within the district. Notice of the hearing shall also be mailed to all incorporated cities within the district and to the boundary commission, if any.
(4) An order continuing the district shall specify a fiscal year, not later than the 10th fiscal year after the date of the order, in which the district shall dissolve unless another determination of public need for continued existence occurs.
(5) An order continuing the district shall be forwarded to the boundary commission, if any, within 10 days. If the district is not within the jurisdiction of a boundary commission the order may be contested as provided in ORS 198.785 (2). [1987 c.504 §§2,3,4]