Utility Privatization

Added: May 08, 2012 4:39 pm Modifiy Current Solicitation for Water and Wastewater to delete and replace Section C.6.2, Right of Access in its entirety and Section M, Evaluation Factors for Award in its entirety

Added: Sep 30, 2011 6:04 pm Verendrye Electric Cooperative, Inc. was awarded a Firm Fixed Price with Prospective Price Redetermination, 50 year contract for ownership, operation, and maintenance of the electric distribution system at Minot Air Force Base, North Dakota. This action is authorized by 10 U.S.C. 2688, Utility Systems: Conveyance Authority.

Added: Feb 10, 2011 7:43 am Privatization of Electric and Water Distribution and Waste Water Collection Systems.

Added: May 06, 2009 12:02 pm Amendment 0001

Added: Apr 27, 2009 10:24 am Amendment 0001 to Solicitation SP0600-09-R-0806 to privatize the applicable electric distribution, water distribution, and wastewater collection systems at Minot Air Force Base, ND.

Added: Feb 13, 2009 11:08 am Master Task Listings

Added: Nov 20, 2008 2:39 pm The Defense Energy Support Center (DESC) seeks to identify and obtain information from responsible sources in connection with the privatization of the electric distribution (NAICS 221122), water distribution (NAICS 221310), and wastewater collection (NAICS 221320) utility systems at Minot Air Force Base (AFB), North Dakota. Privatization is defined as the conveyance of a utility system to a municipal, private, regional, district, or cooperative utility company or other entity. The conveyance may consist of all right, title, and interest of the United States in the utility system. Utility Privatization (UP) will be accomplished in accordance with 10 U.S.C. 2688 Utility Systems: Conveyance Authority.



Contractor will be required to assume ownership of the electric, water, and wastewater utility systems at Minot AFB, North Dakota, and as the new owner, shall operate and maintain the system and provide utility services to the Government. Contractor shall furnish all necessary labor, management, supervision, permits, equipment, supplies, materials, transportation, and any other incidental items or services required for the complete ownership of and provision of utility services via these utility systems, including operation, maintenance, repair, upgrades, and improvements to the utility systems.



This Sources Sought Notice (hereinafter Notice) is an essential step in determining market interest and feasibility. Responses received will be used to develop marketing strategies for the potential privatization of utilities at this installation. Should interest be determined sufficient, a formal solicitation may be forthcoming. Interested parties should provide a statement of interest on company letterhead by no later than 3:00 pm EST on Friday, December 19, 2008. Responses are preferred via e-mail, but hard copies and facsimiles will also be accepted.



At a minimum, the statement of interest shall address: (1) capability and experience in utility privatization or owning and operating utility systems; (2) financial capability to justify potential award of such a contract; (3) a primary point of contact, including phone number and e-mail address; and (4) an indication of the size of the business (large, small, or any sub-category of small business). The potential opportunity for set-asides for small businesses and small disadvantaged businesses will be considered on the basis of the responses received.



This Notice is solely for the Governments use as a market research tool. As such, the issuance of a competitive solicitation is not guaranteed. If determined appropriate, then both a synopsis and a solicitation may be anticipated in the February 2009 timeframe. All responsible sources are encouraged to submit a response to this Notice. All information received will be considered. Failure to respond to this Notice does not preclude a firm from offering on any resultant solicitation; however, a lack of interest in this requirement may keep this effort from moving forward competitively.



This announcement shall not be construed as a commitment or authorization to incur costs in anticipation of an award. The Government is not bound to make any awards under this Notice.



If you are interested in this project, please provide the information requested above to the DESC Contracting Office.



Installation Description



The electric distribution system being privatized is described as follows:



The overhead electrical system was built in the early 1950s. Seventy percent of the distribution system is now underground. New construction is direct-buried duct, but older underground was direct buried. Even though a housing replacement project is underway, the designer (Design-Build Contract) chose to leave this cable instead of replacing it in the project. In about 5 years, some problems with this cable could begin, since 25 years is the approximate life of underground systems. Other short runs of overhead have been placed underground, allowing for renovation of some secondary lines. Two substations, North Substation and South Substation, provide power to Minot AFB. Two switching stations assist in distribution of power through the base. North Substation has a 15 megavolt amps (MVA) capacity and incoming feeder is 41.6 kilovolt (kV). South Substation has a 30 MVA capacity, with two 41.6 kV parallel feeders supplying this substation. Base demand is about 15 MVA. In 2004, South Substation's capacity was increased. Incoming feeders and high sides of transformers and switchgear are owned and maintained by Central Power Electrical Cooperative, while the low sides of transformers and 12.47 kV switchgear is owned and maintained by Verendrye Electrical Cooperative. Six circuits are fed from South Substation and four circuits are fed from North Substation. Of the four circuits from North Substation, three are housing circuits and one is dedicated to the hospital. The average burial depth of ducts and direct buried cables in the Main Base area is 3-4. This is true of all areas of the base including Flight Line, MSA, WSA, East Housing, and West Housing. The primary metering at the substations is located up stream of the Government identified PODs. The meters are owned and maintained by the Utility supplier. Specifically excluded from the electric distribution system privatization are: Airfield Lighting, Emergency Power Generators, Parking lots and pedestrian pathway lighting fed off the building internal source, and the WSA area.



The water distribution system being privatized is described as follows:



The water distribution system consists of approximately 52 linear miles of pipe. Pipe materials that are located within the distribution system are asbestos cement, ductile iron, cast iron, steel, copper, and polyvinyl chloride (PVC). Tracer wire is not located on new non-metallic pipes, except for a stretch of pipe thats less than a mile. Pipe sizes range from 1 inch to 16 inches. The average burial depth in both of the housing areas is approximately 8 ft deep. All other area across the base including the flight line and the WSA has an average burial depth of 11 to 12 ft deep. Water is supplied to the Minot AFB by the City of Minot water treatment plant (WTP). The current sources of water for the City of Minot are the Sundre Aquifer and the Minot Aquifer. The point where government takes ownership of the pipe lines approximately 11 miles south of the installation. The transmission line contains approximately seven miles of ductile iron, and four miles of PVC pipe. The 14 inch pipe enters into the installation just to the south. This is the only entry point for the water system. Potable water enters into the installation treated, and there is no chlorination facility located on the installation. There are a total of three pump stations: one potable and two non-potable. A SCADA system has been put in place at the only potable water pump station. The other two non-potable pump stations do not have a SCADA system set up. When chlorine levels are low, the SCADA system alerts base personnel, who then alert the City of Minot WTP to increase chlorine levels. There are six (6) potable water storage tanks located on the installation: four (4) elevated, two (2) underground tanks. The total capacity of the storage tanks is 3.3 million gallons (MG). Telemetry has also been installed with the tanks. There are two additional non-potable tanks that are installed on the flight line and the Weapons Storage Area (WSA). Cathodic protection has been added to a majority of the valves and fire hydrants. The anodes and test stations are in adequate working order. None of the pipes located in the water distribution system has any cathodic protections on the lines. The inventory listed below in Table 1 also includes the family military housing units. Minot AFB has approximately 26 acres of easements associated with the main transmission line. These easements will be transferred upon sale of the water system. Specifically excluded from the water distribution system privatization are, Irrigation systems and Non-potable fire systems.





The wastewater collection system being privatized is described as follows:



All domestic and industrial wastewater generated at Minot AFB is collected via a network of an estimated 268,400 linear feet of piping constructed of vitrified clay, polyvinyl chloride (PVC), polyethylene (PE), ductile iron, asbestos cement, concrete, and cast iron. The collection system consists of collection mains, precast manholes, and sewage lift stations. The collection mains range in size from 1.5 to 24 inches in diameter and are buried at a base-wide average depth of 12 feet. Tracer wire is not included with the non-metallic components. A series of sewage lift stations and associated force mains are located throughout the installation to pump wastewater through the collection system where gravity flow is not possible. There is no separate industrial wastewater system. Industrial wastewater effluent from the aircraft and missile operations, maintenance areas and the industrial areas flows into the sanitary sewer system after being processed through oil/water separators. All collected wastewater flows to the sewage treatment lagoons located in the northern part of the base. Minot AFB operates a series of stabilization lagoons to treat its wastewater. The stabilization system is comprised of two sets of three facultative lagoons each for a total of six lagoons. Wastewater is discharged to the lagoons where it flows by gravity or is pumped through the lagoon cells, and organic matter is allowed to decompose or settle out. The total surface area of the lagoons is approximately 311 acres with a storage capacity of approximately 345 million gallons. To increase capacity, stabilized wastewater is typically released from the final lagoon in each set twice a year, in the spring and fall, as necessary. The flow from the stabilization lagoons is discharged off base through three permitted outfalls. Minot AFB was issued a North Dakota Pollutant Discharge Elimination System (NDPDES) Permit, No. ND-0020486 by the North Dakota Department of Health (NDDH), Division of Water Quality in July 2004. This permit authorizes Minot AFB to discharge stabilized wastewater from the treatment lagoons to unnamed tributaries of Egg Creek through Outfalls 003, 001, and 011. There are six other outfalls (004, 005, 006, 007, 008, and 009); however, the permit states that there shall be no discharges from these outfalls except for emergency bypasses in accordance with the permit. Minot AFB has approximately 140 Acres of easements associated with the discharge of the lagoons. These easements will be transferred upon sale of the wastewater collection system. Specifically excluded from the wastewater system privatization are Oil / Water Separators (OWS), Grease Traps, and Storm sewers.





Additional installation information may be located at: http://www.minot.af.mil/