As used in this chapter, "pretax return" means the revenues necessary to:

1. (1) produce net operating income equal to a public utility's weighted cost of capital multiplied by the net original cost of eligible distribution or collection system improvements; and
2. (2) pay state and federal income taxes applicable to such income.

As added by P.L.94-2000, SEC.1. Amended by P.L.209-2014, SEC.8; P.L.212-2015, SEC.6.