Commander, Pacific Division, Naval Facilities Engineering Command, Contracts Department, Building 258, Pearl Harbor, HI 96860-7300 (Code 0221)

S -- PRIVATIZATION UNDER 10 USC 2688, %UTILITY SYSTEMS: CONVEYANCE AUTHORITYM AT NAVAL REGION, HAWAII DUE 050300 POC Mr. Dean Burnett, Contract Specialist, Tel. (808) 474-7043 E-MAIL: Click here to contact the Contracting Officer via, burnetted@efdpac.navfac.navy.mil. DESC: POTENTIAL SOURCES SOUGHT PURPOSE: The Navy seeks to identify responsible sources and obtain information in regard to privatization of utility systems in accordance with 10 USC 2688, "Utility Systems: Conveyance Authority." Commander Naval Region, Hawaii (CNRH) is seeking interest and information specifically for the potential privatization of the electrical distribution systems which provide service to its customers on Pearl Harbor and other areas of Oahu. OBJECTIVE: Should privatization result, the ownership, operation, maintenance, technical engineering support/services, inherent liability and obligation to continue the service for an indefinite and ongoing period for the entire electrical distribution system will transfer to a regional or municipal utility or to a private company. All responsibility for maintaining reliable service, including such items as environmental compliance, maintenance, repair, major system renovations, required system capacity upgrades, system refurbishment and renewal, construction, equipment, manpower, and overhead costs will become the utility provider's responsibility. It is intended that privatization will reduce the Navy's life cycle costs while maintaining the same or better level of service with no impairment to the Navy's mission. SYSTEM DESCRIPTION: The following is provided only to give an approximation of the size, scope and general description of the Navy Electrical Systems (NES) which provide quality electrical power and services to customers in the Pearl Harbor Naval Complex as well as other outlying areas on Oahu including Naval Computer and Telecommunications Area master Station, Pacific (NCTAMS PAC). Please note that the Pearl Harbor Naval Complex has been listed as a Comprehensive Environmental Response, Liability and Compensation Act (CERCLA) site on the National Priorities List. Also included is the operating responsibility of providing Ship Services to the Naval Fleet. Ship Services include the connection of electrical, wastewater, steam, compressed air and placement of brows and platforms for Naval ships. Numbers provided are for estimating purposes only. Two networks of 11.5kV circuits serve the Pearl Harbor Naval Base Complex and immediate surrounding areas. One network is called the Puuloa Network and it serves the Shipyard, Naval Station, Marine Barracks, and the Hale Moku/Hukulani housing areas. The other network is called the Kuahua Network and it serves the Submarine Base, Fleet Industrial Supply Center, Makalapa Crater and PWC Compound/Commissary areas. A separate HECo substation serves each network; HECo's Puuloa Substation serves Puuloa Network and HECo's Kuahua Substation serves Kuahua Network. The Puuloa Substation, located in the Shipyard adjacent to the Navy's Station C, has a capacity of 66,000 kVA. The Kuahua Substation, located in the SUBASE area adjacent to the Navy's Station E, has a capacity of 40,000 kVA. The two HECo substations are served by three HECo 46 kV transmission circuits. Each substation is served by two of the three 46 kV circuits, one circuit being common to both substations. All three 46 kV circuits originate at HECo's Makalapa Substation. Within the Pearl Harbor Complex the majority of the power is distributed throughout the NES by underground 11.5 kV circuits. The networks are created by tying major switching stations together with 11.5 kV system tie feeders. 11.5 kV radial feeders originate from the switching stations to serve various transformer substations that step down the voltage to supply the customer with utilization voltage. The estimated peak electrical demand for the Pearl Harbor Complex is 61,700 KW. Annual electrical consumption is approximately 355,292,000 KWH. The NES also includes distribution systems servicing out lying areas which include NCTAMS PAC, Naval Magazines at Lualualei, West Loch and Waikele, Camp H.M. Smith, Radio Transmitting Facility (RTF) Lualualei, Iroquois Point Housing, Pearl City Peninsula, Waipio Peninsula, McGrew Point Housing, Manana housing, Catlain Park Housing, Radford Terrace Housing, Moanalua Terrace Housing, and Miller Park Housing. Barber's Point may also be available for inclusion in the statement of work. NCTAMS PAC, Wahiawa, System 1 is served by 2 separate overhead HECO 12.47 kV lines. These feeders transition to underground and connect to Navy switchgear in the main switching station. Electricity is distributed from the main switching station at 12.47 kV and is also stepped down by two 3,750 kVA transformers and distributed at 4.16 kV. All major facilities have local emergency power generated to feed their respective loads directly. NCTAMS PAC, Radio Transmitter Facility, Lualualei, System 2 is served by 2 separate HECO 47 kV lines. One line feeds substation A and another feeds substation E. A 5/6.25 MVA, 46 kV/11.5 kV, delta-wye transformer is installed at station E. A 15/20 MVA, 46 kV/11.5 kV, delta-delta transformer is installed at station A. Electrical power is distributed via an underground 11.5 kV three-wire ungrounded system. Three diesel engine generators are available to furnish standby power. PROCEDURES: This request for interested parties is for gathering information and is one required component of a complete and systematic process to evaluate interested parties under the Department of the Navy'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. The government will not issue a formal solicitation unless sufficient credible interest is identified. 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. The Government shall not be held responsible for the cost of a party's expression of interest or, if formal requests for proposal are issued, the cost of an offeror's proposal. RESPONSE: Interested parties should provide a statement of interest on company letterhead (not to exceed 20 pages in length). The statement shall include as a minimum the following criteria: (1) interest in purchasing this utility system; (2) capability and experience in ownership, operation and maintenance of similar utility systems; (3) financial capacity to purchase, expand, maintain and operate the utility systems; (4) a statement showing an understanding of the obligation to serve in regards to continuous utility service; (5) understanding of any applicable federal, state (to include Hawaii Revised Statutes, Chapter 269), and local utility laws and capability of complying with such; (6) understanding of any existing regulations or franchise requirements affecting utilities in the State of Hawaii and the ability and right to provide service and comply with these conditions; (7) understanding of federal, state, and local environmental laws and regulations and familiarity and experience with environmental compliance procedures and regulations for the State of Hawaii and the U.S. Environmental Protection Agency, Region 9; and (8) business size (large, small, small-disadvantaged; 8(a); women-owned). It is optional to include the following criteria: (9) a conceptual rate plan (excluding numerical analysis or proposed rates), i.e., will charges for utility service be made from existing rates developed specifically for service at the individual base (s); (10) ideas regarding conjunctive metering and billing for service on base (excluding numerical analysis or proposed rates); (11) discussion of a 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). Elaborate proposals or pricing information are 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. It should be noted that the RFIs for different utility systems may be issued in the same time frame. A separate response to each RFI is required. Respond electronically using MS Word/Office programs as well as a with a hard copy. Send electronic submissions to burnetted@efdpac.navfac.navy.mil All questions regarding any aspect of this solicitation are to be directed only to the Government Contracting Officer POC, Mr. Dean Burnett, at (808) 474-7043. Posted 03/16/00 (W-SN435381). (0076)

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