Montreal sewer rehab contract awarded

Summary#

On December 15, 2025, Montréal city council unanimously awarded a sewer rehabilitation contract to CGI Environnement inc. The decision authorizes a maximum total expense of $8,159,313.85, taxes included, for work in Côte-des-Neiges–Notre-Dame-de-Grâce, Outremont and Plateau-Mont-Royal. City staff say trenchless lining is intended to renew sewer pipes while reducing disruption compared with excavation.

  • The contract covers about 6.8 kilometres of sewer pipes on various streets in the three boroughs.
  • The contract amount is $7,321,397.12, taxes included. Council also authorized $732,139.71 for contingencies and $105,777.02 for related expenses.
  • CGI was the lowest compliant bidder in a public call for tenders that received three bids.
  • The City must evaluate CGI’s performance under the contract.

What it means for you#

  • Residents in the three boroughs: Sewer work is planned on various streets. The supplied material does not include the street list or a work schedule. City staff say lining can help keep traffic moving and reduce disruption; those are expected benefits, not guarantees.
  • Taxpayers: The City centre covers the expense. Some work is eligible for an 86% TECQ24 grant; the remaining share is charged to taxpayers. The 86% applies to eligible work, not necessarily the whole contract.
  • Other residents and businesses: The decision does not directly change taxes, sewer service rules or residents’ rights.

Money#

The authorized maximum expense is $8,159,313.85, taxes included; the amount net of tax rebates is $7,450,541.09.

  • CGI’s contract is $7,321,397.12, taxes included. The remaining authorization is for contingencies and related expenses; it is not stated that all of it will be spent.
  • The expense is included in the City’s asset-management budget and borrowing bylaw 22-046. Some eligible work is funded at 86% through TECQ24; the rest is borne by taxpayers.

What is unclear#

  • The supplied material does not give the specific streets or a schedule for the work.
  • It does not say how much of this contract’s work qualifies for TECQ24 funding, or the grant amount for this contract.
  • It does not explain what would trigger use of the contingency budget or how much of the related expenses will be needed.

Case for#

  • The award went to the lowest compliant bid: $817,947.40, or 10.05%, below the City’s estimate.
  • City staff say lining can renew pipes without trench excavation, with less disruption to nearby infrastructure and faster site restoration.
  • The contract’s performance evaluation and delay penalties provide some means of monitoring delivery.

Case against#

  • The authorized maximum is about $838,000 above the contract price because it includes contingencies and related expenses; the material does not say how much will ultimately be spent.
  • City staff note that CGI’s price for a major pipe-lining item was especially low compared with the estimate and other bids. The decision does not explain whether that difference creates delivery or cost risks.
  • Without the street list or schedule, residents cannot tell from these materials when or where the work will affect them.