(1) A rural fire protection district may be formed in the manner set forth in ORS 478.010 to 478.100.
(2) A district may not include:
(a) Territory within a water supply district organized under ORS chapter 264 if the district has previously been authorized by its electors to exercise the fire protection powers prescribed by ORS 264.340.
(b) Forestland included within a forest protection district under ORS 477.205 to 477.281 unless the owner consents and notifies the rural fire protection district, except as provided in subsection (3) of this section.
(c) Railroad rights of way or improvements thereon or rolling stock moving thereover unless the owner of such property consents.
(d) Ocean shores as defined by ORS 390.605.
(3)(a) Notwithstanding subsection (2)(b) of this section, forestland protected pursuant to ORS 477.205 to 477.281 that is within the exterior boundaries of an existing rural fire protection district shall be included in the rural fire protection district without the owner’s consent.
(b) Forestland described in paragraph (a) of this subsection is subject to limitations on assessment as described in ORS 478.432.
(4) Forestland protected pursuant to ORS 477.205 to 477.281 that is included in a rural fire protection district is subject to assessments for fire protection by the rural fire protection district and the forest protection district.