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

S -- HEADQUARTERS, DEFENSE LOGISTICS AGENCY (HQ DLA) 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 AUTHORITYM. DUE 021400 POC Christine Davila (210) 377-3081 or Randy Underwood (703) 471-1441 E-MAIL: cdavila@ch2m.com, cdavila@ch2m.com. PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT THE DEFENSE DISTRIBUTION DEPOT SUSQUEHANNA, PENNSYLVANIA AT NEW CUMBERLAND, PENNSYLVANIA. Category: S Utilities and Housekeeping Services Potential Sources Sought E -- Purchase of Structures and Facilities -- Potential Sources Sought M -- Operation of Government-Owned Facilities -- Potential Sources Sought Y -- Construction of Structures and Facilities -- Potential Sources Sought Date Published: Contact: For the Defense Logistics Agency: CH2M HILL, 613, NW Loop 410, Suite 200, San Antonio, TX 78216 POC: Christine Davila (cdavila@ch2m.com), Tel (210)377-3081. Questions may also be addressed to Randy Underwood (eunderwo@ch2m.com), Tel (703) 471-1441. Synopsis: PRIVATIZATION UNDER 10 USC 2688, UTILITY SYSTEMS: CONVEYANCE AUTHORITY AT THE DEFENSE DISTRIBUTION DEPOT SUSQUEHANNA, PENNSYLVANIA (DDSP) LOCATED IN NEW CUMBERLAND, PENNSYLVANIA. SOL: N/A, DUE: February 14, 2000. POTENTIAL SOURCES SOUGHT PURPOSE: Headquarters, Defense Logistics Agency (HQ DLA) 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". HQ DLA, its major subordinate command, Defense Distribution Center (DDC), and the base, DDSP, are seeking interest and information specifically for the potential privatization of the potable water, wastewater, and electrical utility systems at DDSP. The utility systems will be evaluated on an individual basis; but the privatization may combine and group as many systems as feasible. OBJECTIVE: Should privatization result, the ownership of DDSP's 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 DLA'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. The subject base is DDSP's "East Site" located at the southeastern end of New Cumberland, Pennsylvania, near Harrisburg, Pennsylvania. The base has an area of 848 acres of land operated under permit from the Army through the Army Material Command. It contains approximately 175 buildings including military family housing areas, with a total area of approximately 6,105,000 SF. Water- The Pennsylvania American Water Company, with its own treatment and storage facility located one mile from the Base, supplies potable water through two water mains to the DLA facility. The purchased water enters through an 8 inch line in the northwest corner of the Base and through a 10-inch line in the southwest corner of the Base. The 10 inch line is valved to fill a one million gallon in-ground covered concrete reservoir. The reservoir supplies the potable water to the southern section of the Base and serves as a backup emergency fire demand system. The distribution system piping totals approximately 105,600 lf, including mains and service connections. Water main sizes range from 4-inch to 20-inch. Pipe materials include Cast Iron, Ductile Iron and Asbestos Cement. Some of the Cast Iron mains date back to 1918. Average daily water usage is approximately 200,000 gallons. Wastewater- Wastewater treatment is provided on site. The Base owns and operates a Smith & Loveless Model R "Oxigest" package treatment plant. The plant uses activated sludge in the contact stabilization mode to provide secondary treatment. The secondary effluent passes through an anthracite sand filter prior to disinfection with chlorine gas. The final effluent is discharged to the Susquehanna River. On a biannual basis, about 118,000 gallons of liquid sludge is removed from digester tank by an outside contractor for disposal off base. The wastewater collection piping totals approximately 44,000 lf, and includes both gravity and pressure piping. Pipe sizes range from 4-inch to 12-inch. The gravity system is made up of about 22,200 lf of Vitrified Clay pipe, 1,355 lf of Terracota and 14,050 lf of PVC pipe. Most of the Vitrified clay pipe was installed between 1918 and 1960. The force main system consists of approximately 4,550 lf of 4 and 6-inch Cast Iron pipe and 1,850 lf of 4-inch PVC pipe. Thirteen pump stations are utilized to convey flows to the wastewater treatment plant. The majority of the stations are of the duplex submersible design. Pump capacities range from 100 to 600 gallons per minute. The majority of the stations were installed between 1970 and 1980. Wastewater flows averaged approximately 0.088 million gallons per day (mgd) in 1999. Electrical- Power is supplied from Pennsylvania Power & Light through one utility-owned 69 kV overhead transmission line to the Government-owned main substation. The main substation contains the incoming transmission structures, transformers, switches, reclosers, breaker and connecting bus and cables. The substation reduces the voltage to 12.47 kV for distribution throughout the facility. The primary distribution system consists of three, three-phase, four-wire circuits rated at 15 kV from the main substation. The overhead portion totals approximately 32,400 circuit feet (cf), and the underground portion (in conduit) totals approximately 7,900 cf. The secondary system consists of approximately 45,200 cf. of underground (in conduit). The system also includes 19 three-phase transformers, 184 single-phase transformers, 4 reclosers, 5 sectionalizers, and approximately 100 streetlight fixtures. The 1998 annual consumption was approximately 46,789,630 kWh with a peak demand of approximately 5.4 MW. 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 DLA'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 Pennsylvania 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 DLA facilities 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, to the following address: CH2M HILL, 613, NW Loop 410, Suite 200, San Antonio, TX 78216, ATTENTION: Christine Davila (cdavila@ch2m.com), Tel (210)377-3081 Posted 01/11/00 (W-SN414863). (0011)

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