C. H. Guernsey and Company, 5555 North Grand Blvd, Oklahoma City, OK 73112

M -- PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT WRIGHT-PATTERSON AIR FORCE BASE, OHIO DUE 102099 POC Jared Stigge, (405) 416-8190 (jstigge@chguernsey.com). Secondary contact: Robert Bartlow, (405) 416-8326 (bbartlow@chguernsey.com). E-MAIL: Click here to contact Jared Stigge via email, jstigge@chguernsey.com. 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 Air Force is seeking interest and information specifically for the potential privatization of the potable water, wastewater, natural gas, electrical and central heating utility systems at Wright-Patterson Air Force Base, Ohio. OBJECTIVE: Should privatization result, the ownership, operation, and maintenance of Wright-Patterson Air Force Base's potable water, wastewater, natural gas, electrical and central heating utility systems will transfer to a utility service provider or providers, along with the obligation to continue to provide utility service for an indefinite and ongoing period. 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 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. Electrical: power is provided to Wright-Patterson via a 69kV line by Dayton Power and Light (DP&L). A secondary emergency delivery point is limited to 30 MVA. The on-base distribution system was installed in the late 1950's. The 69 kV transmission system delivers power to nine substations consisting of 69 kV circuit breakers, transformers and secondary switch gear. The overhead and underground distribution systems are in good condition, and the overhead system has generous excess capacity. Natural gas: gas is supplied to the base by DP&L at eleven metering stations at a maximum pressure of 45 psig. The on-base distribution system consists of approximately 131,000 linear feet of underground piping, withnumerous service regulators reducing line pressure at each building. The piping consists of approximately 68% polypropylene, 28% steel and 2% cast iron. The entire distribution system has a weighted average age of 18 years. Wright-Patterson currently uses approximately 20% of the total system capacity. Potable water: water is obtained entirely from wells drilled into the aquifer underlying the base. The base is divided into three areas, with each area having separate wells, treatment facilities and distribution systems. Volatile Organic Chemical (VOC) contamination has been detected in almost all of the drinking water wells; the treatment process therefore includes VOC removal (through air stripping units), scaling control, chlorination and, for housing areas, fluoridation. Potable water is stored in both ground level and elevated reservoirs in each area of the base; each area has electrically-powered pumps to transfer water to elevated storage, as well as diesel pumps for emergency purposes. Excess capacityexists in all areas, with areas A, B and C having excess capacities of 3.6 mgpd, 2.28 mgpd and 7.7 mgpd respectively. Wastewater: the wastewater collection system centralizes all waste at one point, where it is pumped by an on-base pumping station via a 20-inch main to its ultimate discharge into the City of Dayton collection system. The collection system consists of approximately 70% vitreous clay pipe and 30% sewer drain pipe; the average age of the collection system is 35 years. Approximately .8 mgpd excess capacity exists in the wastewater collection system. Central Heat/Steam: Wright-Patterson operates three primary thermal distribution systems providing high, medium and low-pressure steam and high-temperature hot water. These systems consist of approximately 330,350 linear feet of direct buried, above ground, trench and tunnel piping. Approximately 75% of the building area and 84% of the annual heating requirements of existing facilities at the main site are served by six central heating plants which burn coal or natural gas fuels. 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 proposal. 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: 4911/4 Million (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 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; (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, or 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 Ohio and the U. S. Environmental Protection Agency; and (11) business size (large, small, small-disadvantage, 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 or 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 their 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. Posted 09/29/99 (W-SN386330). (0272)

Loren Data Corp. http://www.ld.com (SYN# 0053 19991001\M-0001.SOL)