Code of Alabama
Article 6 - Duties of Expanded Municipalities as to Property and Obligations of Absorbed Municipalities.
Section 11-42-187 - Partial Annexation - Payment of Value of School Property, etc., by Expanded Municipality.

Said city or town shall also pay to the city or town from which territory is taken the value of any school property or other property that may be in such annexed territory at the time of such annexation.
The amount of said bonded indebtedness and the value of said property to be paid by said enlarged city or town shall be determined and agreed on by the council of the enlarged city or town and by the council of the city or town from which such territory is taken, in such a manner as they shall elect. If they cannot agree, then the matter shall be determined by the circuit court of the county in which such enlarged city or town may be upon the filing of a complaint by either municipality or by any taxpayer of either municipality.