(1) When a city-county charter is approved and city-county consolidation takes place under ORS § 199.705 to 199.795 and if, at the election held under ORS § 199.735, a majority of the electors in the unincorporated area voting at the election votes to reject the proposed city-county charter and city-county consolidation, the electors of the unincorporated area may seek to form a new county in the unincorporated area or to change the boundaries of the city-county and a contiguous county in order to place the unincorporated area within that contiguous county.

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(2) The electors of any city that does not become part of the city-county and that is contiguous to the unincorporated area may jointly seek the formation of a new county or a change in county boundaries with the electors of the unincorporated area.

(3) Proceedings to form a new county or to change county boundaries as authorized by this section shall be conducted as provided in ORS § 199.780 to 199.795 and ORS Chapter 202, except that ORS § 202.020, 202.030, 202.040, 202.050, 202.060 and 202.070 do not apply to such proceedings. [1997 c.494 § 11]