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

M -- PRIVATIZATION OF UTILITY SYSTEMS:CONVEYANCE AUTHORITY AT KULIS AIR NATIONAL GUARD BASE, ALASKA DUE 101599 POC For the U.S. Air Force: CH2M HILL, 301 West Northern Lights Blvd. Suite 601 Anchorage AK 99503-2691 POC: Floyd J. Damron, P.E., Alaska Office Manager (fdamron@ch2m.com), Tel (907) 278-2551 E-MAIL: Floyd J. Damron, P.E., Alaska Office Manager, fdamron@ch2m.com. PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT KULIS AIR NATIONAL GUARD BASE (ANCHORAGE INTERNATIONAL AIRPORT ANGB), ALASKA, DUE: 101599 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 Kulis Air National Guard Base is seeking interest and information specifically for the potential privatization of the water, wastewater, and natural gas utility systems at Kulis Air National Guard Base, Alaska. OBJECTIVE: Should privatization result, the ownership of Kulis Air National Guard Base's potable water, wastewater, and natural gas 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 -- Water is supplied to the Base by the city through two 16-inch metered main city feeds. The Base water distribution piping system includes approximately 15,200 feet of mostly newer ductile iron pipe mains that have been installed since 1991. Wastewater -- Wastewater is collected on-base in a gravity collection system that discharges to a city-owned main that runs through the facility. Wastewater treatment is provided by the city. The Base collection system includes approximately 5,000 feet of 6-inch to 8-inch sewer mains. The sewer collection system wasconstructed between the 1950s and 1990s and includes ductile iron, asbestos cement and cast iron pipe. Natural Gas -The natural gas distribution system at Kulis ANGB receives gas from Enstar through a gate station at 15 psig for distribution throughout the base. There are no pressure reducing stations in the system. The system has approximately 6,700 feet of PE pipe. The pipe sizes range from 4-inches to 5/8-inches in diameter. Annual consumption is approximately 39 million cubic feet. The primary use of the gas is for heating purposes. 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 utilities privatization program. In order to minimize costs both to potentially interested parties and to 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 MIGHT 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 Alaska 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 RFIs for different Air Force bases and utility systems might 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 CH2M HILL, 301 West Northern Lights Blvd. Suite 601 Anchorage AK 99503-2691 POC: Floyd J. Damron, P.E., Alaska Office Manager (fdamron@ch2m.com), Tel (907) 278-2551. Posted 09/21/99 (W-SN382596). (0264)

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