Directorate of Contracting, Bldg 4022, Fort Knox, Ky 40121-5000

S -- PRIVATIZATION OF NATURAL GAS UTILITY DISTRIBUTION SYSTEM, FT KNOX, KY DUE 040500 POC Contracting Officer, Steven Fries, Phone 502-624-8043; Fax 502-624-7165 or 5869 E-MAIL: Click here to contact the contracting officer via, friess@ftknox-emh3.army.mil. The Government is seeking responsible potential sources interested in the privatization of the U.S. Army-owned natural gas distribution system at Fort Knox KY. Fort Knox covers about 110,000 acres and is located 35 miles south of Louisville KY. The installation is predominantly an area of exclusive Federal jurisdiction. Privatization is defined as the transfer of ownership and operations and maintenance responsibilities, to include such items as environmental compliance, maintenance costs, major system renovations and upgrades, construction, equipment and manpower, of the Government-owned system to a municipal, private, regional, district, or cooperative utility company or to another entity. Fort Knox currently receives natural gas supply from the spot market by an area-wide Defense Energy Services contract delivered through Louisville Gas & Electric to the Government-owned distribution system through two master-metered delivery points that are served from 6-inch and 8-inch high pressure transmission lines. The Government-owned natural gas distribution system consists of about 100 miles of gas lines that range from less than 2 inches to 12 inches in diameter, 1800 building services and 900 main valves. About 70 percent of the system consists of polyethylene pipe that was installed during the last 16 years to replace steel piping. The steel piping which accounts for the remaining 30 percent of the system has an average age of 40 to 50 years. The system is in fairly good condition given its age and configuration. Fort Knox is a weather-sensitive customer that consumes about 1,500,000 decatherms of natural gas annually. Fort Knox intends to establish as a responsibility criteria that the privatized service contractor must be an existing regulated natural gas public utility that is subject to the rate and service jurisdiction of the Public Service Commission or other applicable regulatory authority within the Commonwealth of Kentucky. This request of information (RFI) is a component of a systematic processto implement the Department of Army's utilities privatization program. Should insufficient credible interest or responsive capability be identified for a privatization action, it is likely that no formal solicitation will be issued; otherwise a formal request for proposals (RFP) may be forthcoming. The statement of interest submitted shall address all of the following general criteria, to include at a minimum: (1) ability to satisfy the noted responsibility criteria; (2) capability and experience in the ownership, operation, expansion and maintenance of similar retail service systems; (3) financial capability to purchase, expand, maintain, and operate the utility system; (4) a statement expressing a willingness and understanding of an obligation to provide continuous utility service; (5) understanding of any applicable state or local utility law or franchise requirements, capability of complying with such requirements and representation of the legal right to provide the applicable service and to initiate theservice within a reasonable time after contract award; (6) understanding of the federal, state and local environmental laws and regulations, and familiarity and experience with environmental compliance procedures and regulations. A statement of interest should not exceed 15 pages in length. Send statements of interest to the Directorate of Contracting, Building 4022, Fort Knox KY 40121-5000 no later than 4:00 p.m. local time, 5 April 2000. Posted 03/17/00 (W-SN435567). (0077)

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