(a) (1) (A) Upon the filing of the petition with the clerk, it shall be the duty of the clerk to present the petition to the mayor.

(B) The petition shall be accompanied by a certificate from a title insurance company transacting business in the municipality:

(i) Stating that the signatures on the petition constitute all of the owners of real property to be located in the district; and

(ii) Identifying any mortgagee holding a first mortgage lien on real property constituting more than ten percent (10%) in area of the real property to be located in the district.

(2)

(A) The mayor shall thereupon set a date and time, not later than fifteen (15) days after the date of the presentation of the petition to the mayor, for a hearing before the governing body for consideration of the petition.

(B) Notice of the hearing shall be sent by certified mail to any mortgagee holding a first mortgage lien on real property constituting more than ten percent (10%) in area of the real property to be located in the district.

(C) The notice of hearing under subdivision (a)(2)(B) of this section shall state that any existing mortgage shall be subordinated pursuant to this section and § 14-94-118(b) if the mortgagee fails to appear at the hearing and object to formation of the district.

(b)

(1) At the hearing, it shall be the duty of the governing body to hear the petition and to ascertain whether those signing the petition constitute all the owners of the real property to be located in the district.

(2)

(A) Except as provided in subdivision (b)(2)(B) of this section, if the governing body determines that all the owners of the real property to be located in the district have petitioned for the improvements, it shall then be its duty by ordinance to establish and lay off the district as defined in the petition and to appoint the commissioners as named in the petition if commissioners are named in the petition and are property owners in or creditors of the district, or as is otherwise provided from among such property owners or creditors.

(B) If at the hearing on the petition any mortgagee holding a first mortgage lien on real property constituting more than ten percent (10%) in area of the real property to be located within the district objects to the formation of the district, then the governing body shall reject the petition for creation of the district.

(3) The petition shall state the specific purposes for which the district is to be formed, and the ordinance establishing the district shall give it a name which shall be descriptive of the purpose. It shall also receive a number to prevent its being confused with other districts for similar purposes.

(c) The ordinance establishing the district shall be published within thirty (30) days after its adoption by one (1) insertion in some newspaper of general circulation in the municipality in which the district lies.

(d) The findings of the governing body shall be conclusive unless attacked by a suit in the circuit court of the county in which the municipality is located, brought within thirty (30) days after the publication.