(a) The wards formed out of the territory comprising the former territory of the smaller municipal corporation annexed under the provisions of this subchapter shall always receive betterments and improvements in an amount equal to the amount of revenue derived by the consolidated municipality from the territory and inhabitants of the smaller municipal corporation, after having deducted the pro rata share of the territory of the running expenses necessary to be expended in maintaining the government of the entire city or incorporated town and after having taken into consideration the amount of revenues necessarily appropriated to pay the indebtedness due by the smaller municipality before consolidation, until the indebtedness is paid. In addition, those wards shall always receive their fair and equitable proportion of the police, board of health, fire protection, and lighting service of the larger city or incorporated town. They shall in all other ways receive fair and liberal treatment and their fair proportion of the expenditure of moneys made by the larger city or incorporated town.
(b) Council members representing the wards composing the territory of the smaller municipal corporation before consolidation have a right:
(1) At all times, to demand of the city or town council the benefit of the revenue collected from the wards, as provided for in this section; and
(2) On the refusal by the city or town council of the demand made under subdivision (b)(1) of this section, to enforce the revenue rights by mandamus or other appropriate proceedings.
(c) In the event the council members, or fifty (50) qualified electors of the territory annexed, feel aggrieved in reference to the amount of revenue expended on the territory or as to the other rights guaranteed in this section to the annexed municipality, they may submit the matter to the circuit court, which is authorized by appropriate orders to compel the consolidated city or incorporated town to give the former territory of the smaller municipal corporation the full benefit of its revenue as provided in this section.
Structure Arkansas Code
Subtitle 3 - Municipal Government
Chapter 40 - Annexation, Consolidation, and Detachment by Municipalities
Subchapter 6 - Annexation Proceedings by Adjoining Landowners
§ 14-40-601. Application by petition
§ 14-40-602. Hearing on petition
§ 14-40-603. Order for annexation
§ 14-40-604. Proceedings to prevent annexation
§ 14-40-605. Confirmation of annexation
§ 14-40-606. Rights and privileges of new inhabitants
§ 14-40-608. Right to detach certain lands after annexation proceeding
§ 14-40-609. Annexation by 100% petition — Definition
§ 14-40-1201. Petition for consolidation
§ 14-40-1202. Special election called
§ 14-40-1203. Election results
§ 14-40-1204. Contest of election
§ 14-40-1205. Division of smaller municipality into wards
§ 14-40-1206. Plat of consolidated municipality
§ 14-40-1207. Special election of council members or all city officials
§ 14-40-1208. Existing officers, etc
§ 14-40-1210. Payment of existing debts
§ 14-40-1211. Prior debts not preferred
§ 14-40-1212. Rights of annexed territory to benefits of its revenues
§ 14-40-1213. Franchises, contracts, and other obligations
§ 14-40-1801. Proceedings generally