Where the FCC licenses a station is not dependent on such things as a city charter or governmental authority. Three stations were licensed to Kannapolis, NC long before that city was ever incorporated. One of those stations was even located within the city limits of nearby Concord, but because there were no limits at the time it was built, the FCC never forced them to move.
These days rules for main studio location in relation to city of license are even more relaxed, which makes such points essentially irrelevant.
The last time a city with a radio station in NC "dissolved" was in 1967, when the towns of Leaksville, Spray and Draper (Rockingham County) merged to form the city of Eden. WLOE am/fm was originally licensed to Leaksville. The station filed an application to change the city of license to Eden shortly after the merger, and it was routinely approved by the FCC.
My guess is that Art would either let it stay Dillsboro, or ask to change the COL to Sylva. The only real change that would make is to the place where the station must have city-grade signal coverage.
Later . . . .