As used in this part:
(1) "Applicable area" means:
(a) for a county, the unincorporated area of the county that is included within the area proposed for annexation; or
(b) for a municipality, the area of the municipality that is included within the area proposed for annexation.
(2) "Retail" means, with respect to a service provided by a municipality or special district, that the service is provided directly to the ultimate user.
(3) "Wholesale" means, with respect to a service provided by a special district, that the service is not provided directly to the ultimate user but is provided to a retail provider.