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COMMERCE BUSINESS DAILY ISSUE OF APRIL 26,1999 PSA#2332

Defense Energy Support Center, 8725 John J. Kingman Rd., Suite 4950, Ft Belvoir, VA 22060-6222

S -- SOURCES SOUGHT FOR PRIVATIZATION OF UNITED STATES ARMY POTABLE WATER AND WASTEWATER UTILITY SYSTEMS FOR THE DEPARTMENT OF THE ARMY, HEADQUARTERS UNITED STATES ARMY GARRISON, FORT DIX, NEW JERSEY 08640-5508 POC Ms. Lisa Lombard, Contract Specialist, (703) 767-8322, Ms. Christy Chamblin, Contract Specialist, (703)767-9652; or Ms. Elizabeth Pesenti, Contracting Officer, (703) 767-8130. WEB: For future Privatization solicitation information, http://www.desc.dla.mil/main/a/electric/priv.htm. The Defense Energy Support Center (DESC), in conjunction with the US Army Assistant Chief of Staff for Installation Management (ACSIM), the United States Army Reserve Command, and the Department of the Army, Headquarters United States Army Garrison, Fort Dix, seeks to identify responsible potential sources and obtain information in regards to privatization of the Potable Water System and Wastewater System -- utility systems in accordance with 10 USC 2688, "Utility Systems: Conveyance Authority" for the Department of the Army, Headquarters United States Army Garrison, Fort Dix, located in New Jersey. The potential privatization actions will include transfer of ownership, operation and maintenance, and the obligation to serve. The Army intends to retain ownership of all land and will grant easements and leases for access to land associated with each utility system. OBJECTIVE: Should privatization occur, the ownership of the entire Water and Wastewater distribution systems, utility plants, and equipment to include, all capital investments, operation, maintenance and repair responsibilities, shall transfer to a publicly or privately owned utility provider. All responsibility for maintaining reliable service, including such items as environmental compliance, operation, maintenance, major systems renovation, construction, equipment, manpower and overhead shall be the responsibility of the utility provider. Note: In the case of the potable water system due to additional environmental requirements/constraints and mobility reserve requirements the possibility of alternative water sources must also be explored and considered along with the potable water system utility privatization option. This includes developing additional alternatives/solutions in lieu of utilization of the surface water from the Rancocas Creek. INSTALLATION AND UTILITY SYSTEMS DESCRIPTIONS: Location: U.S. Army, Fort Dix, New Jersey 08640-5508 Description of Facilities: The Fort Dix facilities consists of the following utility distribution and collection systems: a. Potable Water System: -- Primary Water Supply Source: The primary water supply source which supplies Fort Dix is surface water from the Rancocas Creek, located 5 miles from the water plant. The raw water is captured at the river and is pumped by three pumps via two 16-inch water lines to the water treatment plant. The pumping station and pipeline can deliver 4 MGD of raw water to the treatment plant. -- Water Treatment Plant: The water treatment plant original plant design is 2 MGD and has since been upgraded to 4 MGD. Currently sedimentation tanks are being added to the plant. The treatment consists of pumping the surface water directly to the plant. Treatment at the plant consists of chemical addition, flocculation, sedimentation, final filtering, and disinfection with chlorination. After treatment, the water flows to the ground storage clear water reservoir. The treated water is pumped from the ground storage to elevated tanks that provide distribution storage and pressure. -- Water Distribution System: The water distribution system ranges in size from 2 inches to 16 inches in diameter. The total length of the system is approximately 356,800 feet. Within the system there are approximately 341 isolation valves and 475 fire hydrants. -- Water storage tanks: There are four water storage tanks with a combined capacity of 2,000,000 gallons. b.Wastewater Collection System: -- Sewer System: The sewer system at Fort Dix consists of a collection system, a number of lift stations and a wastewater treatment plant. -- Wastewater collection system pipes range in size from less than 4 inches to 36 inches. The total length of the sewer collection system is about 267,000 linear feet. The majority of the line is 8 inches in diameter. There are about 1,056 manholes located throughout the sewer system. The sewage flows to the lift station where it is pumped to the treatment plant. -- Lift Stations: There are 15 lift stations in the wastewater collection system and once the upgrade contract is complete the number will be reduced to 13 lift stations. -- Wastewater Treatment Plant: A new wastewater treatment plant was constructed at Fort Dix in 1994. It serves Fort Dix and McGuire AFB. The wastewater treatment facility has an average design capacity of 4.6 MGD. The peak design plant flow is 12.7 MGD. The wastewater treatment plant is considered to be a tertiary treatment facility. The primary treatment consists of two primary settling tanks that remove settleable or easily floatable material. The sludge removed from the facility is pumped to the sludge dewatering facility for further treatment. The flow passing through the primary tanks goes into the secondary tanks. The flow is a Bardenpho process; a variation of the active sludge process. The process removes phosphorus and nitrogen. The flow from the tanks enters the final settling tanks where the majority of the solids settle out and are returned to the secondary treatments tanks. Excess sludge is wasted to the thickener. Following the final settling tanks the flow enters the gravity filtration tanks where the suspended solids are reduced below 10mg/l and the flow is disinfected by ultraviolation radiation. After disinfection, the flow enters the effluent pump station where it is pumped to the percolation lagoons. The effluent percolates from the lagoons and recharges the groundwater. PROCESS: This request is to gather information from interested parties and is an essential step in determining market interest for the privatization of the utility systems at the affected installations. In order to minimize costs both to potentially interested parties and the government, this notice is issued to determine market interest and feasibility as well as determining marketing strategies for privatizing utility systems. Interested parties should provide a statement of interest on company letterhead. The statement of interest must not exceed a total length of 15 pages plus 1 page per type of utility system of interest. Parties may express interest in a range of ownership possibilities, from a single utility system to interest in all utilities systems. The statement shall include as a minimum, the following information: (1) capability and experience in the ownership, operation and maintenance of similar systems; (2) financial capability to purchase, upgrade, expand, operate and maintain utility systems; (3) specific utility system(s) of interest and desired bundling of utilities systems to purchase; (4) conceptual rate plan (i.e., will charges for utility service be made from existing rates or from rates developed specifically for service at the individual installation(s); (5) discussion of your conceptual basis for a proposed purchase price (capitalized earnings value, replacement cost new less depreciation, original cost less depreciation, or other); (6) understanding of any applicable state or local utility laws or franchise requirements, and capability of complying with such requirements; (7) understanding of the federal, state and localenvironmental laws and regulations and familiarity and experience with environmental compliance procedures and regulations for the applicable states and US Environmental Protection Agency Regions. SITE VISIT AND DATA: Neither a site visit nor the provision of additional data on the utility systems is considered necessary for the preparation and submittal of statement of interest. 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. Under no circumstances will cost data for the existing systems be provided. DUE DATE: Statements of interest must be submitted to Defense Energy Support Center (DESC-APP) by 24 May 1999 by 3:00 p.m. Eastern Standard Time. Sources may respond to Defense Energy Support Center, 8725 John J. Kingman Rd., Suite 4950, ATTN: L. Lombard, DESC-APP, Room 3838, Ft. Belvoir, VA 22060-6222. Posted 04/22/99 (W-SN323362). (0112)

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