Authorizes the legislative authority of a city or town, as an alternative to the petition method of formation for fire protection districts and subject to voter approval, to establish a fire protection district with boundaries that are the same as the corporate boundaries of the city or town for the provision of fire prevention services, fire suppression services, and emergency medical services.

Requires a city or town to reduce its general fund regular property tax levy by the total combined levy of the fire protection district.

Transfers powers, duties, and functions of a city or town fire department, pertaining to fire protection and emergency services of the city or town, to the fire protection district on its creation date.