In the development of a service delivery strategy, the following criteria shall be met:

(1) The strategy shall promote the delivery of local government services in the most efficient, effective, and responsive manner. The strategy shall identify steps which will be taken to remediate or avoid overlapping and unnecessary competition and duplication of service delivery and shall identify the time frame in which such steps shall be taken. When a municipality provides a service at a higher level than the base level of service provided throughout the geographic area of the county by the county, such service shall not be considered a duplication of the county service;

(2)(A) The strategy shall provide that water or sewer fees charged to customers located outside the geographic boundaries of a service provider shall not be arbitrarily higher than the fees charged to customers receiving such service which are located within the geographic boundaries of the service provider.

(B) If a governing authority disputes the reasonableness of water and sewer rate differentials imposed within its jurisdiction by another governing authority, that disputing governing authority may hold a public hearing for the purpose of reviewing the rate differential. Following the preparation of a rate study by a qualified engineer, the governing authority may challenge the arbitrary rate differentials on behalf of its residents in a court of competent jurisdiction. Prior to such challenge, the dispute shall be submitted to some form of alternative dispute resolution;

(3)(A) The strategy shall ensure that the cost of any service which a county provides primarily for the benefit of the unincorporated area of the county shall be borne by the unincorporated area residents, individuals, and property owners who receive the service. Further, when the county and one or more municipalities jointly fund a county-wide service, the county share of such funding shall be borne by the unincorporated residents, individuals, and property owners that receive the service.

(B) Such funding shall be derived from:

(i) Any one or more of the following sources:

(I) Special service districts created by the county in which ad valorem property taxes, assessments, or user fees are levied or imposed;

(II) Grants;

(III) Any one or more of the following taxes and fees: solid waste franchise fees, cable franchise fees, alcohol excise taxes, alcohol licensing fees, financial institution taxes, hotel-motel taxes, occupation taxes, railroad equipment taxes, insurance premium taxes, rental car excise taxes, impact fees, stormwater fees, zoning fees, or title ad valorem taxes, but excluding any amounts of such taxes and fees to the extent such amount is derived from incorporated areas of the county; and

(IV) Revenues apportioned to the county as part of an intergovernmental agreement from the county and one or more municipalities; or

(ii) Through such other mechanism agreed upon by the parties approving the strategy which complies with the intent of subparagraph (A) of this paragraph.

(C)(i) The strategy shall require the county to provide an annual report to each party to the strategy that:

(I) Identifies the total amount of funds received by the county from the funding sources utilized under division (i) or (ii) of subparagraph (B) of this paragraph for the provision of county services provided primarily for the benefit of the unincorporated area of the county and the county’s share of any countywide service funded with one or more municipalities; and

(II) The total cost to the county of providing the services described in subdivision (I) of this division.

(ii) The provisions of this subparagraph shall not require any party to the strategy to establish separate accounts for such funds; and

(4)(A) Local governments within the same county shall, if necessary, amend their land use plans so that such plans are compatible and nonconflicting, or, as an alternative, they shall adopt a single land use plan for the unincorporated and incorporated areas of the county.

(B) The provision of extraterritorial water and sewer services by any jurisdiction shall be consistent with all applicable land use plans and ordinances.