Summary#
Montréal City Council unanimously adopted a position to award three heating, ventilation and air-conditioning (HVAC) maintenance contracts to Baulne inc. The agglomeration council makes the final decision at a later meeting. The stated goal is to maintain HVAC equipment in 39 city buildings.
- Each contract is for 34 months, with two optional 12-month extensions. The work includes preventive maintenance and on-demand service.
- The contracts cover mainly fire stations, as well as the Montréal fire department’s headquarters and training centre. Baulne must be available 24 hours a day, 365 days a year.
- Baulne was the lowest compliant bidder in a public call for tenders. Two bids were received for each of the three lots.
- The decision authorizes up to $2,874,122.94, including taxes: $2,395,102.45 for the contracts and $479,020.49 for contingencies. Montréal will evaluate Baulne’s performance.
What it means for you#
- City residents: The decision concerns maintenance of city buildings. It does not directly change residents’ rights, services, taxes or fees.
- City administration: If the agglomeration council approves the contracts, the city would hire Baulne for the work and assess its performance. City staff currently oversee this privately provided service.
- Taxpayers: The authorized spending is for the contracts and a contingency budget for unforeseen work; the decision does not say all contingency funds will be spent.
Money#
The decision authorizes a maximum of $2,874,122.94, taxes included.
- Contract amounts, taxes included and excluding contingencies: Lot 1, $903,360.71; Lot 2, $678,201.04; Lot 3, $813,540.70.
- Contingency budgets, taxes included: $180,672.14, $135,640.21 and $162,708.14 for Lots 1, 2 and 3, respectively.
- No separate cost for the optional extensions is stated.
What is unclear#
- The materials do not make clear whether the listed contract amounts include the two optional extensions or only the initial 34-month term.
- The decision authorizes contingency spending but does not give details about how the city will decide when to use it.
- The resolution refers to financial information in the file for how spending will be charged, but those details are not provided here.
Case for#
- City staff say the contracts cover 39 buildings and require year-round availability for service calls.
- Baulne was the lowest compliant bidder for each lot.
- City staff’s estimates were higher than Baulne’s bids for all three lots, before contingencies.
Case against#
- Only two bids were received for each lot, so the materials show limited competition.
- The contingency budgets add $479,020.49 to the contract amounts, and the decision does not explain how use of that money will be controlled.
- The optional extensions could lengthen the contracts, but their separate cost is not clear from the materials.