RFP-123-26 kastow - orphan well package - monroe #001

The Commonwealth of Kentucky, through the Energy and Environmental Cabinet's Division of Oil and Gas, is soliciting proposals for the Kentucky Abandoned Storage Tank and Orphan Well (KASTOW) Reclamation Program, specifically for Monroe County Package #001. The procurement seeks a contractor to plug and remediate nine orphan oil and gas wells with permit numbers 45990, 52426, 53211, 109899, 109964, 110040, 110502, 110503, and 110504. Key project objectives include complete well abandonment, site reclamation, and environmental remediation, with contractors required to demonstrate no prior affiliation with the abandoned well operators. The RFP requires a comprehensive lump sum bid with individual line-item costs for each well site, and contractors must be prepared to handle potential TENORM-impacted metals disposal. Proposal submissions are due by December 5, 2025, at 3:00 PM Eastern Time, with an anticipated contract award date of December 22, 2025. The project timeline mandates substantial completion within 365 calendar days from the award date, with final completion required one year after substantial completion. Contractors must submit a 5% bid bond and demonstrate the ability to comply with federal grant requirements, Davis-Bacon Act prevailing wage standards, and Buy America infrastructure preferences.

The contract is subject to several important restrictions and preferences, including reciprocal preference for Kentucky resident bidders and potential preferences for qualified bidders or the Department of Corrections Division of Prison Industries. Contractors must obtain specific insurance coverage, including $1,000,000 combined general liability and $500,000 automobile liability. The project is federally funded through Department of Interior grants, which subjects it to Uniform Guidance requirements and specific compliance standards. Financial terms include the Commonwealth's right to withhold retainage up to 10% of payments until 50% project completion, then 5% thereafter, with final payment contingent on satisfactory completion and submission of required documentation. Liquidated damages are set at $200 per calendar day for delays beyond substantial and final completion dates. While specific total project value is not explicitly stated, the comprehensive nature of the well plugging and remediation suggests a significant investment, with reimbursement for TENORM-impacted metals disposal to include a 10% administrative fee. Successful bidders must also comply with Kentucky nondiscrimination employment laws and demonstrate apprenticeship program participation.