(1) A fire protection district or a volunteer fire department district may be created in accordance with the procedures of KRS 65.182.
(2) A fire protection district or volunteer fire department district shall not include any territory within its proposed service area that lies within:
(a) The corporate limits of a city;
(b) The boundaries of an existing fire protection district or volunteer fire department district established pursuant to KRS 75.010 to 75.080;
(c) The service area boundaries of a fire department created under KRS Chapter 273 that is certified under KRS 75.400 to 75.460; or (d) An area that is not contained within the boundaries of a city, but has fire protection services provided by a city government, unless an agreement is in place for the newly formed district to assume services in the territory as authorized in KRS 75.020(1)(b).