Avila Government Services, Inc., 225 Reinekers Lane, Suite 220, Alexandria, VA 22134

M -- PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT MINNEAPOLIS-ST. PAUL AIR RESERVE STATION, MN SOL 9716-15-01 DUE 101399 POC Mr. Edward Kirmse at (703) 836-3855 extension 126, or Mr. Anthony Mangos at (703) 836-3855 extension 127 E-MAIL: Click here to contact POC, Ed.Kirmse@Avilainc.net. 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". Avila Government Services, Inc. on behalf of the Commander of Minneapolis-St. Paul Air Reserve Station, at the Minneapolis-St. Paul International Airport, Minnesota is seeking interest and information specifically for the potential privatization of the electric, natural gas, water, and sanitary wastewater utility systems at the base. OBJECTIVE: Should privatization result, the ownership of the base's electric, natural gas, water, and sanitary wastewater utility systems, and the 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 the electric, natural gas, water and sanitary wastewater utility systems and services. SYSTEM DESCRIPTIONS: The following is provided only to give an approximation of the size, scope, and general description of the electric, natural gas, water and sanitary wastewater utility systems at the base. The information presented is intended for estimating purposes only. The base consists of four non-contiguous parcels of land with several Air Force and Department of Defense units with a variety of missions, including the Minnesota Air National Guard. The base includes approximately 90 major operational buildings. The electrical distribution system includes approximately 78,300 linear feet of distribution lines. The natural gas system consists of approximately 10,000 linear feet of pipe. The water distribution system consists of more than 40,000 LF of pipe ranging from 2-inches to 12-inches in diameter, 82 fire hydrants, and a 450,000 gallon storage tank. The sanitary wastewater system is comprised of more than 35,000 LF of pipe. PROCEDURES: This request to interested parties is for gathering information and is a required component and part 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 packaging/grouping of utilities to purchase; (2) capability and experience in ownership, operation, maintenance and construction of similar electric, natural gas, wastewater and water utility systems; (3) financial capacity to purchase, expand and operate the utility systems; (4) statement detailing the legal right to serve, own, operate and maintain utility systems within state laws; (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; (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, 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 State of Minnesota and the U.S. Environmental Protection Agency; and (11) business size : large, small, small-disadvantaged, 8(a), woman-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. Statements of interest should be mailed to Avila Government Services, Inc., ATTN: Edward Kirmse, 225 Reinekers Lane, Suite 220, Alexandria, VA 22314 Posted 09/03/99 (W-SN376461). (0246)

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