(a) No city school system or special district school system shall be created or reactivated for the purpose of operating a system of schools, unless the school system is large enough to offer adequate educational opportunities for the pupils of grades one through twelve (1-12) in keeping with standards established by the state board of education.
(b) In establishing the standards, the state board is authorized and directed to take into consideration such factors as:
(1) The scholastic population of the city or special school district according to the most recent census;
(2) The financial ability per pupil of scholastic population; and
(3) The expressed willingness of the people of the city or special school district, as indicated by a majority of its legal voters in a referendum, to raise local funds, which, together with school funds received from the state and other sources, shall be sufficient to provide adequate educational opportunities for their children.
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