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

Y -- PRIVATIZATION OF UTILITY SYSTEMS:CONVEYANCE AUTHORITY AT KING SALMON AIR STATION, GALENA AIR STATION, AND FORT YUKON LRRS, 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 KING SALMON AIR STATION, GALENA AIR STATION, AND FORT YUKON LRRS, 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 King Salmon Air Station, Galena Air Station, and Fort Yukon LRRS is seeking interest and information specifically for the potential privatization of the electric, potable water, and wastewater utility systems at King Salmon Air Station, Galena Air Station, and Fort Yukon LRRS, Alaska. OBJECTIVE: Should privatization result, the ownership of King Salmon Air Station, Galena Air Station, and Fort Yukon LRRS's electric, potable water, and wastewater utility systems, operation and maintenance, and obligation to continue to provide utility service for an indefinite and ongoing period will transfer toa 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. King Salmon AFS Electrical -- Power for King Salmon AFB is received from Naknek Electric Association (NEA) at 14.4 kV through a 1997 constructed circuit parallel to Storage Road. In addition the site is capable of producing it's own power with four 300 kW White diesel generators. The power is distributed on base at 4100 volts consisting predominantly of direct buried #1/0 copper conductor. In addition the base has 37 single and three phase transformers ranging in size from 25 to 1000 kVA and 42 load break stations located throughout the base. The annual electric energy usage for this facility is roughly 3,667,112 kWH. Water -- Potable water is supplied by on-base groundwater supply wells and water treatment system. Treated water is distributed through approximately 20,000 feet of water supply mains that are mostly 6-inch and 8-inch asbestos cement pipe installed in the early 1950s. Two groundwater wells, with a combined capacity of approximately 215 gallons per minute provide the on-base water supply. The water is chlorinated then piped to two 25,000 gallon hydropneumatic tanks. The pneumatic tanks are pressurized to 45 psi and supply pressurized water to distribution piping system. The water treatment and storage tank systems were installed in the 1960s. Well water production averages about 30,000 gallons per day. Wastewater -- Wastewater is collected onsite in a sewer collection system consisting of approximately 18,000 feet of mostly 4-6 year old 6-inch and 8-inch concrete pipe mains. Wastewater is treated on-base in an aerated lagoon treatment system and treated effluent is discharged to Eskimo Creek. The wastewater treatment system includes two lined aerated lagoons with a capacity of 2,500,000 gallons and an effluent chlorination and dechlorination system. Wastewater flows range from 10,000 gallons per day to 50,000 gallons per day, depending on the number of personnel on Base. The wastewater treatment system was installed in the early 1970s and is currently being refurbished. Galena Air Station Electrical -- Power for Galena Air Station is received from the City of Galena at the air stations power plant. The power plant serves as a back up power supply with three 600 kW and one 650 kW diesel generators. Power is distributed from the power plant through three distribution circuits to the site at 2400 volts. The distribution system consists of approximately 14,800 feet of overhead circuits and 11,850 feet of underground circuits. Located throughout the site are 109 single and three phase distribution transformers ranging in size from 10 to 500 kVA which serve the various loads. The annual electric energy usage for this facility is roughly 4,781,209 kWH. Water -- Potable water is supplied by on-base groundwater supply wells and water treatment system. The wells have a capacity of 90 gpm each. Treated water is distributed by approximately 15,000 feet of 4-inch to 8-inch galvanized steel and ductile iron water main piping. Well water is treated in a water treatment system that includes aeration/degasifier tower, three multimedia pressure filters, three water softening units, chemical feed systems, and a chlorination system. Treated water is stored in a 100,000 gallon storage tank. Stored water is supplied to the distribution system by two 175 gpm pumps, a 750 gpm fire protection pump, and a 3,000 gallon hydropneumatic tank. A third well is equipped with a 500 gpm diesel driven pump for backup fire protection water supply. Water production flows can range between 30,000 and 80,000 gallons per day. The water system was originally installed in the 1950s and portions of the system have been refurbished. Wastewater -- The Base wastewater collection system consists of gravity sewers, forced mains, grinder pumps and lift stations that convey sewage to an on-base wastewater lagoon treatment system. Treated wastewater is discharged to a wetlands area. The collection piping system includes approximately 12,870 feet of steel, PVC, ductile iron, and asbestos cement piping installed from the 1950s to the present. The wastewater is treated in a two cell aerated lagoon with a capacity of 1,567,000 gallons that was constructed in the early 1970s. Treated lagoons effluent is chlorinated/dechlorinated and discharged to an offsite wetlands area. Wastewater flow can range between 30,000 to 80,000 gallons per day. Fort Yukon LRRS Electrical -- Power for Fort Yukon is generated on site at the power plant which consists of four 250 kW Cummins diesel/generators. Power is distributed from the power plant at 120/208 volts with predominantly dedicated feeders consisting of 680 feet of underground and 2,535 feet of overhead circuits. In addition there are four three phase transformers ranging in size from 45 to 225 kVA serving the distribution loads. The annual electric energy usage for this facility is roughly 80,000 kWH. Water -- Potable water is supplied by an on-base groundwater supply well, storage tank, chlorination, filters, and water distribution pump. The water supply well has a capacity of 25 gpm. The water storage tank has a capacity of 100,000 gallons. Two water supply pumps have a capacity of 120 gpm each and the diesel powered fire protection pump has a capacity of 1,000 gpm. The water system was constructed in the mid 1950s. Water production averages approximately 200,000 gallons annually. The water supply system includes approximately 1,000 feet of 2-inch water main pipe and 200 feet of 8-inch water main pipe. 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-SN382610). (0264)

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