CH2M Hill, Inc., 613 NW Loop 410, Suite 200, San Antonio, TX 78216

M -- PRIVATIZATION OF UTILITY SYSTEMS AT W.K. KELLOGG AIRPORT, AIR GUARD STATION, BATTLE CREEK, MICHIGAN DUE 061599 POC For the U.S. Air Force: CH2M HILL, 613, NW Loop 410, Suite 200, San Antonio, TX 78216 POC: Laura Hein(lhein@ch2m.com), Tel (210)377-3081 E-MAIL: Laura Hein, lhein@ch2m.com. PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT W.K. KELLOGG AIRPORT, AIR GUARD STATION, BATTLE CREEK, MICHIGAN, SOL: N/A, DUE: 061599 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 W.K. Kellogg Airport, Air Guard Station is seeking interest and information specifically for the potential privatization of the potable water, wastewater, and electrical utility systems at W.K. Kellogg Airport, Air Guard Station, Battle Creek, Michigan. OBJECTIVE: Should privatization result, the ownership of W.K. Kellogg Airport, Air Guard Station potable water, wastewater, and electrical utility systems, 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. SYSTEM DESCRIPTIONS: The following information provided is only an estimate and is subject to change. Water -- Potable water is supplied to the Kellogg AGS by the City of Battle Creek, MI. Water is distributed throughout the base in approximately 13,000 lineal feet of cast iron, ductile iron, and PVC water mains. Sizes range up to 12-inch. The water system includes about 35 fire hydrants. Wastewater -- Wastewater collected on the AGS is discharged to the City of Battle Creek sewer system for treatment at their wastewater treatment plant. The wastewater system includes about 14,000 lineal feet of vitrified clay, cast iron, ductile iron, and PVC piping. Sizes range from 4-inch through 8-inch. The collection system generally flows by gravity, although there are 3 duplex lift stations. The wastewater system also includes six oil/water separators ranging in size from 100 to 5000 gallons. Electrical -- Power for the W.K. Kellogg Air Guard Station (AGS) is supplied by Consumers Energy. Power is supplied to the main switch station at 24.9 kV. Power is supplied to several buildings at 24.9 kV and a main transformer provides 8.32 kV for distribution to the rest of the AGS. The electrical distribution system includes approximately 3,720 lineal feet of overhead primary distribution lines and about 7,500 lineal feet of underground primary distribution lines. The electrical system also includes approximately 24 pole-mounted street lights and 18 pole-mounted area/ramp lights. PROCEDURES: This request to interested parties is for gathering information and is a required component of a 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) 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 price) 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 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 Michigan and the U. S. Environmental Protection Agency; and (11) business size (large, small, small-disadvantaged; 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 RFIsfor different Air Force Bases and utility systems may be issued in the same time frame. A separate response to each RFI is required. Please respond electronically as well as with hard copy. The point of contact is Laura Hein(lhein@ch2m.com), Tel (210)377-3081. Posted 04/30/99 (W-SN326381). (0120)

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