This bill modifies the process to incorporate as a preliminary municipality. This bill: - defines terms and modifies definitions; - modifies potential uses of the Municipal Incorporation Expendable Special Revenue Fund; - modifies the process for a person to apply to incorporate an area as a preliminary municipality by:requiring the person to consult with the county in which the proposed preliminary municipality area is located; requiring a feasibility study to consider any existing land use entitlements within the proposed preliminary municipality area; andrequiring a feasibility consultant to consider information provided to the feasibility consultant by the county; - authorizes a county to audit a feasibility study or supplemental feasibility study; - provides a process for the lieutenant governor to hire a consultant to evaluate a feasibility study and an audit of a feasibility study; - modifies the requirements to file a petition for incorporation of a preliminary municipality, including:modifying the requirements for a bond, cash deposit, or letter of credit;requiring a property owner to include an executed improvement warranty; andrequiring a certification that the preliminary municipality will be developed in accordance with the description in the certified feasibility request; - authorizes a county to commission a traffic study before the lieutenant governor issues a certificate of incorporation for the preliminary municipality; and - makes technical and conforming changes.