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

Y -- PRIVATIZATION OF UTILITY SYSTEMS AT SCOTT AFB, ILLINOIS DUE 123098 POC CH2M HILL Inc., (Contractor for the U. S. Air Force), 613 NW Loop 410, Suite 200, San Antonio, TX 78216, POC: Matt Tyler, Tel (210)377-3081 PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT SCOTT AIR FORCE BASE, ILLINOIS, SOL: N/A, DUE: 12/30/98 POTENTIAL SOURCES SOUGHT PURPOSE: The Air Force seeks to identify responsible potential sources and obtain information in regards to privatization of utility systems in accordance with 10 USC 2688, "Utility Systems: Conveyance Authority". The Commander of Scott AFB is seeking interest and information specifically for the potential privatization of the potable water distribution system at Scott AFB, Illinois. OBJECTIVE: Should privatization result, the ownership of the Scott AFB potable water distribution system, operation and maintenance, and obligation to continue 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. SCOTT AIR FORCE BASE INFORMATION: Scott AFB is located 25 miles east of St. Louis in St. Clair County, Illinois. The site lies near the cities of Shiloh, Belleville, O'Fallon, Lebanon, and Mascoutah. Scott AFB comprises approximately 3,230 acres and has approximately 15,000 military and civilian personnel. The utility system under study for privatiza-tion under this feasibility study is the Scott AFB potable water dis-tribution system. UTILITY SYSTEM DESCRIPTION: The potable water distribution system includes approximately 60 miles of distribution lines, and all associated components, serving approximately 400 facilities and 1700 housing units. The water commodity is purchased from Illinois-American Water Company. Scott AFB has an average day demand of approximately 1.5 MGD with summer peak hour demand of approximately 4.15 MGD. 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 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). The statement should include as a minimum the following criteria: (1) capability and experience in ownership, operation and maintenance of similar potable water distribution systems; (2) financial capacity to purchase, expand and operate the utility system; (3) statement detailing the understanding of the obligation to serve in regards to continuous utility service; (4) statement detailing the legal right to serve, own, operate, and maintain utility systems within state laws and an understanding of any applicable federal, territorial and local utility laws, regulations or franchise requirements affecting utilities in the territory, and capability of complying with such requirements; (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 base; (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 the understanding of federal, territorial, and local environmental laws and regulations and familiarity and experience with environmental compliance procedures and regulations for the Illinois Environmental Protection Agency and the U. S. Environmental Protection Agency; (9) business size (large, small, small-disadvantage, 8(a), women-owned); (10) discussion of incentives or disincentives associated with bundling the potable water system with the wastewater collection and treatment systems under a single privatization package. 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 RFIs for different utility systems may be issued in the same time frame. A separate response to each RFI is required. The contractor point of contact is Matt Tyler (mtyler@ch2m.com), Tel (210) 377-3081. Posted 12/02/98 (W-SN276408). (0336)

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