Loren Data Corp.

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COMMERCE BUSINESS DAILY ISSUE OF FEBRUARY 25,2000 PSA#2544

HQ IOC, Attn AMSIO-ACI, Bld 350, 5th Floor Middle Bay, Rock Island IL 61299-6000

S -- PRIVATIZATION OF UTILITY SYSTEMS AT WATERVLIET ARSENAL, WATERVLIET, NY DUE 032800 POC Valiant Duhart, (309) 782-8517, (duhartv@ioc.army.mil) E-MAIL: click here to contact the contract specialist via, duhartv@ioc.army.mil. The Public Works Contracting Team at the Industrial Operations Command (IOC) Acquisition Center, Rock Island, IL, is seeking interest and information for the privatization of the electrical, natural gas, potable water, and wastewater utility systems located at Watervliet Arsenal, Watervliet, NY. Should privatization result, the assumption of ownership, operation, maintenance and the obligation for continued service for an indefinite and ongoing period shall transfer to the new owners. Ownership of the entire utility plant and/or distribution system may transfer to a regional, municipal, co-op or private utility company. All responsibility for maintaining reliable service, including such items as environmental compliance, maintenance costs, major system renovations, construction, equipment, manpower, and overhead costs shall become the utility provider's responsibility. The commodity associated with the systems may or may not be included. All water rights and rights to Federal power shall remain with the Government and not transfer to the new owners. It is intended that the privatization will ultimately reduce the Army's life-cycle costs for operating and maintaining utility systems and services. REQUESTED RESPONSE: This market survey is for gathering information from interested parties. We solicit your comments and ideas to help make this a more affective process. Any innovative ideas to achieve the Government's objective of obtaining fair market value, maintaining service reliability and reducing life cycle costs are welcomed. In order to minimize costs to both 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 interest be determined sufficient, a formal request for proposal may be forthcoming. Interested parties should provide a statement of interest on company letterhead (not to exceed 15 pages in length). The statement should include the following criteria: (1) Capability and experience in ownership, operation and maintenance of similar utility systems. (2) Financial capabilities to purchase, expand, and operate the utility systems. (3) Statement detailing the understanding of the obligation to serve in regards to continuous utility service. (4) Statement detailing the legal right to serve, own, operate, and maintain utility systems within state laws and an understanding of any applicable Federal, territorial, and local environmental compliance procedures and regulations for the State of New York and the U.S. Environmental Protection Agency. (6) Discussion regarding your company's ability to provide reliable service, respond to emergency situations and adhere to safety rules and regulations. (7) Conceptual rate structure. (8) Discussion of your conceptual basis of a proposed purchase price (e.g. capitalized earnings value, replacement cost new less depreciation, original cost less depreciation, or other). Elaborate proposals or pricing information is neither required nor desired. Any innovative and conceptual ideas to achieve the stated objective are encouraged. INSTRUCTIONS: Interested parties must provide a complete name, mailing address, area code and phone number and fax number, e-mail address, business size (large business, small business, small disadvantaged business, woman owned small business or other), DUNS number, CAGE code and tax identification number. Site visits are not considered necessary for preparation and submittal of statement of interests. Interested parties should submit a statement of interest on company letterhead to HQ, Industrial Operations Command, Public Works Contracting Team, Attn: AMSIO-ACI-S, Valiant Duhart, Rock Island, IL 61299-6000. All interest statements shall be treated as containing proprietary information and shall be kept in confidence. The Government considers this process as "procurement sensitive" and will not divulge details of interest to non-Government entities. Only Government officials crucial to the program will review submitted statements. Therefore, the Government encourages responders to be forthcoming in their submittals. Only written responses will be accepted. The Government does not intend to pay for the information received. Posted 02/23/00 (W-SN427715). (0054)

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