Summary#
Montréal city council unanimously adopted a position on file 1265593003, titled “Conclure des ententes-cadres avec Techno Feu inc., pour la fourniture de pièces de rechange pour des camions de pompiers E-One…” (enter framework agreements with Techno Feu inc. for E-One fire-truck parts). It sets the city’s position on contracts for parts; the agglomeration council makes the final decision at a later meeting. The stated goal, according to city staff, is to meet the fire service’s operating needs.
- The proposed agreements are for two years, with two optional 12-month renewals. Techno Feu would supply parts on request.
- The agreements cover mechanical parts ($1,186,435.41), electrical parts ($222,091.27), and various parts ($741,881.72), all taxes included.
- The resolution also authorizes $430,081.68 in contingency funds, taxes included.
- The resolution requires an evaluation of Techno Feu’s performance. Costs are to be charged to the budgets of the Service du matériel roulant et des ateliers as needs arise.
What it means for you#
- Montréal fire service: If the agglomeration council makes the final decision in favour, the city could order E-One truck parts from Techno Feu as needed, under the agreements.
- Residents and taxpayers: This is a purchasing decision, not a new service or a direct change to residents’ rights. It authorizes spending up to the stated amounts, but does not require the city to order all estimated quantities.
- Parts not included: The city removed some items from the lots because the bid did not meet the tender requirements for those items. Staff say those items will be included in a new purchasing process.
Money#
The stated agreement amounts total $2,580,490.08, including taxes and contingencies; actual orders depend on the city’s needs.
- The three parts amounts total $2,150,408.40. The separate contingency budget is $430,081.68.
- The agreements allow price adjustments based on Montréal’s consumer price index, beginning no earlier than the seventh month and following a written request from the supplier.
- The city received one bid for the mechanical and various-parts lots, and two for the electrical-parts lot. Techno Feu was the lowest compliant bidder for each lot. Its electrical-parts bid was 16.89% below the other compliant bid, before contingencies.
- No publicly available information in the supplied material gives the expected cost of the new process for the removed items.
What is unclear#
- The city council’s resolution sets a position for the agglomeration council; the supplied material does not give that council’s final decision.
- The material does not say whether the $2,580,490.08 estimate includes the optional renewal periods.
- The city does not commit to buying the estimated quantities, so the final amount spent is unknown.
- The material does not say how much the new process for the removed items will cost.
Case for#
- City staff say the agreements are intended to help meet the fire service’s needs for E-One truck parts.
- Dividing the tender into three lots allowed suppliers to bid on different kinds of parts. The electrical-parts lot received two compliant bids.
- For all three lots, Techno Feu’s bid was below the city’s latest estimate before contingencies.
Case against#
- Only one bid was received for the mechanical-parts lot and the various-parts lot, leaving less price competition for those parts.
- The total cost may change: the city may order different quantities than estimated, use contingencies, and accept price adjustments under the agreements.
- Some items were removed from the tender and require a separate purchasing process, whose cost and timing are not given.