CH2M Hill, Inc., 5339 Alpha Road, Suite 300, Dallas, TX 75240-7352

M -- PRIVITIZATION OF UTILITY SYSTEMS AT VARIOUS AIR FORCE INSTALLATIONS DUE 123098 POC For the U.S. Air Force: CH2M HILL, 613 NW Loop 410, Suite 200, San Antonio, TX 78216, POC: Laura Hein or Jeff Sorenson, Tel (210)377-3081 PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT VARIOUS U.S. AIR FORCE INSTALLATIONS IN TEXAS SOL: N/A, DUE: 123098 POTENTIAL SOURCES SOUGHT PURPOSE: The Air Force seeks to identify responsible potential sources and obtain information in regard to privatization of utility systems in accordance with 10 USC 2688, "Utility Systems: Conveyance Authority". The Base Commanders are seeking interest and information specifically for the potential privatization of the electric distribution, natural gas dis-tribution, water distribution, wastewater collection, and central heating and chilling plant and dis-tribution systems at Brooks AFB; the natural gas distribution system at Dyess AFB; the electric distribution, natural gas distribu-tion, water distribution, and wastewater collection systems, and the Total Energy Plant (TEP) sup-plying Wilford Hall Medical Center at Lackland AFB; the electric distribution, natural gas distribution, potable water distribution, non-potable water distribution, and wastewater collec-tion systems at Randolph AFB; and the electric distribution, natural gas distribution, water distribution, and wastewater collection and treatment systems at Goodfellow AFB, Laughlin AFB, and Sheppard AFB; all in Texas. OBJECTIVE: Should privatization result, the ownership of each installation's utility systems, operation and maintenance, and obligation to provide utility service for an indefinite and ongoing period will transfer to a utility service provider. All responsibility for maintaining reliable utility service, including such items as environmental compliance, maintenance costs, major system renovations, construction, equipment, manpower and overhead costs will become the utility service provider's responsibility. It is intended that the privatization will ultimately reduce the Air Force's life-cycle costs for operating and maintaining utility systems and services. SYSTEM DESCRIPTIONS: Summary utility system descriptions are available electronically (in Microsoft Word 6.0)by submitting an e-mail request to Laura Hein (lhein@ch2m.com). This information is based on available data such as real property records, and is subject to change as this process continues. The information provided is only an estimate. PROCEDURES: This request to interested parties is for gathering information and is a required component and systematic process to evaluate the interested parties under the Air Force's utilities privatization program. In order to minimize costs both to potentially interested parties and the government, this notice is being issued to determine the interest and feasibility of proceeding with a formal request for proposals. Should insufficient credible interest be identified for a privatization action, it is highly likely that no formal solicitation will be issued. SHOULD INTEREST BE DETERMINED SUFFICIENT, A FORMAL REQUEST FOR PROPOSALS MAY BE FORTHCOMING. Small Business interests shall note the FAR Part 19 Standard Industrial Codes (SIC) and Size Standards (SS) for the utility systems identified in this announcement. Some, all, or any combination of the following may apply. SIC/SS: 4911/4Million (M) Megawatt hours, 4922/$5M, 4923/$5M, 4924/500, 4925/$5M, 4931/$5M, 4932/$5M, 4939/$5M, 4941/$5M, 4952/$5M, 4953/$6M, 4959/$5M, 4961/$9M, 4971/$5M. REQUESTED RESPONSE: Interested parties should provide a statement of interest on company letterhead (not to exceed 20 pages in length plus 1 page per type of utility system of interest). The statement should include as a minimum the following information: (1) specific utility system(s) of interest and desired bundling/grouping of utilities to purchase; (2) capability and experience in ownership, operation and maintenance of similar utility systems; (3) financial capacity to purchase, expand and operate the utility systems; (4) statement detailing the understanding of the obligation to serve in regards to continuous utility service; (5) conceptual rate plan (excluding numerical analysis or proposed rates), i.e. will charges for utility service be made from existing rates or from rates developed specifically for service at the individual base(s); (6) ideas regarding conjunctive metering and billing for service on base (excluding numerical analysis or proposed rates); (7) discussion of your conceptual basis (excluding numerical analysis or proposed prices) for a proposed purchase price (capitalized earnings value, replacement cost new less depreciation, original cost less depreciation, or other); (8) statement detailing your understanding of applicable state and local utility laws and regulations and your compliance capability; (9) statement detailing your understanding of any existing franchises and your ability to provide service given these conditions; (10) statement detailing your understanding of federal, territorial, and local environmental laws and regulations and familiarity and experience with environmental compliance procedures and regulations for the Texas and the U. S. Environmental Protection Agency; and (11) business size (large, small, small-disadvantage, 8(a), women-owned). Elaborate proposals or pricing information is neither required nor desired. Under no circumstances will cost data for the existing systems be provided. Any innovative and new conceptual ideas to achieve the stated objective are encouraged. If a site visit and the provision of additional data are later determined necessary, notification will be provided by way of an amendment to this announcement. It should be noted that the RFIs for different utility systems may be issued in the same time frame. A separate response to each RFI is required. The contractor points of contact are Laura Hein (lhein@ch2m.com) or Jeff Sorenson (jsorenso@ch2m.com) at (210) 377-3081. Posted 11/24/98 (W-SN274479). (0328)

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