Montreal approves $13.37M water pipe project

Summary#

Montréal city council approved a contract with Fer-Pal Construction ltd. for water-pipe lining and street work in the boroughs of Plateau-Mont-Royal and Rosemont–La Petite-Patrie. The work is intended to renew water pipes and coordinate road and sidewalk repairs.

  • The contract is for $11,879,611.25, taxes included. The council also authorized $1,187,961.12 for contingencies and $304,606.79 for related costs, for a total maximum of $13,372,179.16, taxes included.
  • The work covers about 2.29 km of secondary water pipes, replacement of about 178 lead water connections on public property and 53 on private property, about 24,000 m² of road repairs, and minor sidewalk repairs.
  • Fer-Pal was the lowest compliant bidder with an experience clause. The public call for tenders received two compliant bids.
  • The contract includes daily penalties for specified delays: $1,000 for late schedule updates; $1,000–$3,500 for delays on a street, depending on its impact rating; and $500–$1,000 for other listed delays, including private-area repairs, street cleaning, and fixing defects. The city must evaluate Fer-Pal’s performance.

What it means for you#

  • Residents and road users in the two boroughs: Construction will take place on various streets, but the street list was not included in the supplied materials. City staff say pipe lining can reduce disruption compared with excavation; this is an expected benefit, not a guaranteed result.
  • Property owners with lead water connections: The work includes replacing about 53 connections on private property. The decision summary says this is under city bylaw 20-030, but does not explain the process or who pays.
  • The city and Fer-Pal: Fer-Pal will carry out the work. The city may apply the contract’s penalties when the specified delay conditions are met.

Money#

The council authorized spending up to $13,372,179.16, taxes included.

  • The amount includes the contract, contingency funds, and costs for professional and technical services. Contingency funds are authorized, but the materials do not say how much will ultimately be used.
  • The city’s estimate for the contract was $11,732,714.34, taxes included. Fer-Pal’s bid was 1.25% above that estimate and $549,388.75 below the other compliant bid.
  • The materials do not identify the funding source or give a separate estimate for the private-property work.

What is unclear#

  • Which streets will be affected; the referenced street list and map were not supplied.
  • The construction schedule and contract length.
  • How owners will be notified about private-property work, and whether or how they will pay for it.
  • How much of the contingency and related-services budgets will be spent.

Case for#

  • The work combines pipe renewal with road and sidewalk repairs, coordinating work in the same areas.
  • Fer-Pal’s bid was the lowest compliant one and was close to the city’s estimate.
  • City staff say trenchless pipe lining can speed up work, reduce disruption to nearby infrastructure, and reduce excavation-material disposal.

Case against#

  • Only two compliant bids were received, although seven firms obtained the tender documents.
  • The authorized total is higher than the base contract amount, and the materials do not say how much of the contingency or related-services budget will be used.
  • The decision does not explain the process or payment arrangements for the work on private property.