The purpose of this act is to provide standards, direction, and procedures for the formation of municipalities in this state and the provision of municipal services so as to:
(1) Allow orderly patterns of urban growth and land use.
(2) Assure adequate quality and quantity of local public services.
(3) Ensure financial integrity of municipalities.
(4) Eliminate or reduce avoidable and undesirable differentials in fiscal capacity among neighboring local governmental jurisdictions.
(5) Promote equity in the financing of municipal services.