US ARMY MATERIEL COMMAND ACQUISITION CTR, WHITE SANDS MISSILE RANGE DIVISION, STEAA-WS (BLDG 126W), WSMR NEW MEXICO 88002-5201

S -- S -- PRIVATIZATION UNDER 10 USC 2688, "UTILITY SYSTEMS CONVEYANCE AUTHORITY" OF NATURAL GAS DISTRIBUTION SYSTEM AT DUGWAY PROVING GROUND, UT SOL W67HY8-8316-4001 A POC Contract Specialist Chris L. Brusuelas (505) 678-4323 Email Address: brusuelascl@wsmr.army.mil (Site Code DAAD07) E-MAIL: brusuelascl@wsmr.army.mil, brusuelascl@wsmr.army.mil. POTENTIAL SOURCES SOUGHT: The White Sands Missile Range Contracting Division seeks to identify responsible sources and obtain information in regard to privatization of a Natural Gas Distribution Utility System at Dugway Proving ground (DPG), Utah, in accordance with 10 U.S.C. 2688. Privatization will include ownership, operation, and maintenance, and obligation to continue the service for an indefinite and ongoing period. Although DPG has no existing natural gas system at this time, the Installation is very much interested in obtaining natural gas service. Since conventional funding for such a system is unlikely, the possibility of obtaining natural gas service through the privatization process is being explored. Under this concept, a private entity may be interested in financing, constructing, owning, and operating a natural gas pipeline and distribution system for Dugway Proving Ground. Should privatization result, ownership of the entire distribution system, including all operat ing responsibility shall remain with successful regional or municipal util ity or to a private 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. It is intended that privatization will reduce the Army's life cycle costs. SYSTEM DESCRIPTION: DPG has no existing natural gas system at present. However, between propane and heating fuel oil consumption, the installation uses annually the equivalent of about 200,000 decatherms in buildings that we desire to convert to natural gas heating. A considerable quantity of fuel oil and liquid propane gas is used for heating. Generally, individual facility tanks are used and are refilled by tank truck. The only central system on the Installation is a liquid propane system serving the Family Housing 104 Area. 104 Area. This liquid propane system is comprised of a central, 30,000-gallon, steel, aboveground storage tank, two vaporizers, and underground polyethylene pipe ranging in size from 3/4 inch to 11/2 inches. This system was completed in 1988 and remains in excellent condition. Real property records do not detail the quantity nor the capital investment in fuel or gas storage and distribution facilities other than the central liquid propane system in the 104 Area of Family Housing. An approximation of the size and cost of the remainder of the system was derived from fuel delivery point listing provided by the instalation. In addition to the 104 Area system, there are approximately 90 LP fuel delivery points throughout the installation, ranging in capacity from 250 to 15,000 gallons. In the housing area, there are approximately 226 fuel oil tanks; average capacity is 500 gallons. For the remainder of the Post, there are approximately 74 additional fuel tanks with capacities ranging from 500 to over 12,000 gallons. Delivery of fuel oil from the DPG tank farm to the multiple delivery points is by a DPG O&M contractor. Liquid propane (LP) is delivered to the 104 Area central system and individual facility delivery points by the LP supply contractor. PROCEDURES: This request for information is a required component of a complete and systematic process to evaluate interested parties under the U.S. Army Center for Public Works 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 unlikely that a formal solicitation will be issued. Should interest be determined sufficient, a formal request for proposals may be forthcoming. Interested parties should provide a statement of interest on company letterhead (not to exceed 20 pages in length) to: U.S. Army Materiel Command Acquisition Center, White Sands Missile Range Division, ATTN: STEAA-WS-C (Mr. Chris Brusuelas), White Sands Missile Range, New Mexico 88002- 5201. The statement shall include as a minimum the following criteria: (1) capability and experience in the ownership, operation, and maintenance of similar gas distribution systems. (2) Financial capacity to construct, expand, and operate a gas distribution system. (3) A statement showing an understanding of the obligation to provide continuous utility services. (4) Understanding of any applicable federal, state, and local utility laws, regulations or franchise requirements affecting utilities in the State of Utah and ioicapability of complying with such requirements. It should be noted that DPG is principally an area of concurrent State and Federal legal jurisdiction. (5) Understanding of federal, state, and local environmental laws and regulations and familiarity and experience with environmental compliance procedures and regulations for the Statement of Utah and US Environmental Protection Agency, Region 8. Elaborate proposals or pricing information are neither required nor desired. Any innovative and new conceptual ideas to achieve the stated objective are encouraged. No solicitation document exists for this request for "Sources Sought". This notice is for informational purposes only; it is not a request for proposals nor should it be construed as a commitment by the Government. The Government will not pay for any effort expended in to responding to this sources sought announcement. Responses must be submitted not later than 3:00 P.M. MTZ, 23 March 1999. It should be noted that individual "Sources Sought" for different utility systems may be issued in the same time frame. A separate response to each "Sources Sought" is required. The point of contact concerning this sources sought action is Mr. Chris Brusuelas at (505) 678-4323, or email brusuelascl@wsmr.army.mil. Posted 02/10/99 (A-SN297234). (0041)

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