Sec. 8. (a) When a first class city becomes a consolidated city, the agencies of the first class city are abolished and their functions are assigned to agencies of the consolidated city as provided by this title. When these functions are transferred in this manner, the property, records, personnel, rights, and liabilities related to the functions are likewise transferred, except that the city-county legislative body may, by ordinance, provide that they be transferred to a different agency.
(b) Notwithstanding subsection (a), these obligations are transferred as follows when a first class city becomes a consolidated city:
(1) Bonds and other indebtedness of a special taxing district, to the special taxing district that continues to have the function of the district on account of which the bonds and indebtedness were issued.
(2) Bonds and other indebtedness relating to a function transferred to a special service district, to the consolidated city.
(3) Any other bonds and other indebtedness of, or assumed by, the first class city, to the consolidated city.