Summary#
Montréal city council unanimously adopted a position to extend the existing framework agreement with Wolseley Canada inc. for 12 months, from December 19, 2026, to December 18, 2027. The agglomeration council makes the final decision at a later meeting. The extension’s stated aim is to keep an on-demand supply of gate valves available for city units and boroughs, mainly for sewer and water system maintenance.
- The agreement covers on-demand gate valves for all city business units and boroughs.
- The contract ceiling stays at $1,886,618.73, taxes included; the extension adds no amount to that ceiling.
- The 2024 contract followed a public call for tenders that received four bids. The materials do not say whether Wolseley submitted the lowest compliant bid.
- Orders are not guaranteed: the City need not buy minimum or forecast quantities, and each order needs credit approval.
What it means for you#
- City units and boroughs: They may continue ordering gate valves under the agreement if the agglomeration council approves the extension. Prices are subject to indexation on the agreement’s anniversary, based on the Industrial Product Price Index.
- Residents and taxpayers: The decision does not directly change taxes, fees, or residents’ rights. It concerns supplies used mainly to maintain the City’s water and sewer networks.
Money#
The extension adds no amount to the existing contract ceiling, which remains $1,886,618.73, taxes included.
- City staff estimate $1,640,538.03 for the extension, including taxes, with another $246,080.70, taxes included, held for possible quantity changes within the same ceiling.
- By July 2026, purchases totalled $456,844.99, taxes included, or 27.9% of the contract.
- The agreement does not require the City to buy forecast quantities. Each purchase order must receive credit approval.
What is unclear#
- The materials record city council’s position, not the agglomeration council’s final decision on the extension.
- The actual amount the City will spend during the extension is unknown; it depends on orders and price indexation.
Case for#
- City staff say extending avoids another tender and the related time and costs.
- Staff report that the 2024 bids were 13.5% below their estimate, and that Wolseley’s prices had not risen during the first two years even as market prices were estimated to rise by 10%.
- The City can order only what it needs, within the existing ceiling.
Case against#
- The City had used only 27.9% of the contract by July 2026. Staff attribute this mainly to fewer repair jobs and occasional use of some non-standard valves.
- The extension keeps the supplier in place without a new competition for the additional year; the materials do not compare its terms with new bids.
- Indexation can change prices during the extension, while the total contract ceiling remains fixed.