Summary#
Montréal city council approved a contract with Insituform Technologies Limited to rehabilitate about 6.1 kilometres of sewer pipes in the Sud-Ouest, Mercier–Hochelaga-Maisonneuve, Verdun and Ville-Marie boroughs. The total authorized spending is $7,148,437.05, taxes included.
- The contract was awarded through public call for tenders 524003. Insituform submitted the lowest compliant bid, with an experience requirement; three firms submitted compliant bids.
- The resolution authorizes $637,837.80 for contingencies and $132,221.25 for related costs, including professional and technical services.
- The City must evaluate Insituform’s performance under the contract.
- For each day the contractor is late finishing the work, it must pay a penalty of 0.1% of the contract price before taxes and contingencies, with a minimum of $1,000 per day. There is no bonus for finishing early.
What it means for you#
- Residents and taxpayers: Sewer work is planned in the four named boroughs. City staff say trenchless pipe lining can reduce disruption and excavation compared with rebuilding pipes by digging them up. The decision does not give a construction schedule or list the streets in the material provided.
- Taxpayers: The cost is assigned to the central city, not to the boroughs. The decision does not directly change taxes or create a new fee.
- Insituform: The company must carry out the contracted work and can face daily late penalties. The City will also evaluate its performance.
Money#
The City authorized a maximum total of $7,148,437.05, taxes included.
- This comprises the $6,378,378 contract, $637,837.80 in contingencies and $132,221.25 for related costs.
- The decision summary says the total is $6,527,475.83 net of tax rebates. Of that net amount, $5,871,053.69 is eligible for the TECQ24 grant program, under its agreement; the remaining $656,422.14 is at taxpayers’ expense.
- The spending is assigned to the Direction de la gestion des actifs (Asset Management Directorate) under borrowing bylaw 22-046. No separate cost estimate for staff or the performance evaluation is given.
What is unclear#
- The supplied material does not include the attached street list or a work schedule.
- The contract’s duration is not stated.
- The decision does not say how much of the authorized contingencies or related-cost budget will actually be spent.
Case for#
- City staff say the work would renew aging sewer pipes and that delaying it could mean some pipes need more costly reconstruction instead.
- Staff say pipe lining can be faster and less disruptive than excavation, while reducing soil disposal and greenhouse-gas emissions.
- The winning bid was $1,107,048.27 below the City’s estimate, and $527,290.90 below the second-lowest compliant bid.
Case against#
- The decision authorizes more than $770,000 beyond the contract price for contingencies and related costs; the materials do not say how much of this extra budget will be needed.
- The work will affect streets in four boroughs, but the supplied material does not identify the locations or timing, making it hard to assess the local effects.