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 UTILITY SYSTEMS FOR THE 597TH U.S. ARMY TRANSPORTATION TERMINAL GROUP, MILITARY OCEAN TERMINAL, SUNNY POINT, SOUTHPORT, NORTH CAROLINA 28461-5000 POC Ms. Eva Johnson, Contract Specialist, (703) 767-8131 Ms. Lisa Lombard, Contract Specialist, (703) 767-9652; or Ms. Elizabeth Pesenti, Contracting Officer, WEB: Privatization Solicitation Information, http://www.desc.dla.mil/main/a/electric/priv.htm (posting pending). E-MAIL: For Additional Information or Clarification, ejohnson@desc.dla.mil">ejohnson@desc.dla.mil,llombard@desc.dla.mil or epesenti@desc.dla.mil.. The Defense Energy Support Center (DESC), in conjunction with the US Army Assistant Chief of Staff for Installation Management (ACSIM) and the United States Army Military Traffic Management Command, 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" for the 597th U.S. Army Transportation Terminal Group Military Ocean Terminal, Sunny Point located in Southport, North Carolina. 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 utility plant 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. INSTALLATION AND UTILITY SYSTEMS DESCRIPTIONS: Location: 597th U.S. Army Transportation Terminal Group, Military Ocean Terminal, Sunny Point (MOTSU), Southport, North Carolina 28461-5000 Description of Facilities: The 597th U.S. Army Transportation Terminal Group Military Ocean Terminal, Sunny Point consists of the following utility distribution and collection systems: a. Electrical Distribution System: -- Electric Power is supplied by Carolina Power and Light Company. -- Substation: 13,200/22,800 volts "Y" enclosed and metered substation adjacent to the MOTSU switching station. -- Overhead Electrical Lines: 30,000 Linear Feet #2 Triplex conductors; 45,000 Linear Feet #6 Triplex conductors; and 470,000 Linear Feet of ACSR conductors. -- Cut out switches and distribution surge arrestors. -- Power poles 1,200 each. -- Transformers: 153 pole mounted and 14 pad mounted. -- Street lighting on the wharves and terminal. -- Flood Lighting on the three wharves. -- In addition there are several small buildings served by a single phase line 120/240 volt; (8) emergency generators; (2) overhead traffic warning lights; (4) train approach signal systems for control of highway vehicular traffic across railroad tracks; (4) automatic gate barriers. b. Natural Gas Distribution System: There is no natural gas distribution system. c. Water Distribution System: -- Potable water is supplied by Brunswick County at a permit of .4MGD (Million Gallons Per Day). -- Water Distribution System (No Treat Plant): 90,000 Linear Feet of 8 inch-14 inch water mains; 25,400 Linear Feet of 2 1/2"-6" service connections; and approximately 1,750 Linear Feet of service piping of various sizes. -- Fire hydrants (Approximately 170 each) —Other associated miscellaneous equipment. d. Waste Water Collection System: -- The collection system consists of septic tanks and drain fields. Storm water is disposed of untreated. -- Wharf sewer system consists of a gravity collection system, collection sump with grinder pumps, force main, 1 acre sewage lagoon, and clorination /declorination tanks. Systems requires NPDES Discharge Permit. System typical on all three wharves. 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 local environmental 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. DUE DATE: Statements of interest must be submitted to Defense Energy Support Center (DESC-APP) by 24 May 1999 by 3:0 p.m. Eastern Standard Time. Sources may respond by mail to Defense Energy Support Center 8725 John J. Kingman Road., Suite 4950, ATTN: Eva Johnson, DESC-APP, Room 3838, Ft. Belvoir, Va 22060-6222; or via E-Mail: ejohnson@desc.dla.mil">ejohnson@desc.dla.mil,llombard@desc.dla.mil or epesenti@desc.dla.mil. Posted 04/22/99 (W-SN323522). (0112)

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