Summary#
Montréal city council approved a 24-month framework agreement with Orange Traffic inc. to supply structural traffic-signal equipment (lot 1), with an option to extend it by 12 months. The agreement lets the city order equipment as needed; city staff say the goal is to keep supplies available for traffic-signal maintenance, upgrades and new installations.
- The city may order up to $1,351,680.59 in equipment, taxes included, and council authorized $135,168.06 in contingency spending, taxes included.
- The agreement was awarded through public call for tenders 25-21235. Orange Traffic was the lowest compliant bidder among two bids.
- The city must evaluate Orange Traffic’s performance. Under the tender terms, the city may impose a $750-per-day late penalty, up to 10% of the contract value, if the supplier misses a milestone.
- The decision covers lot 1 only; lot 2 is not included.
What it means for you#
- Residents: This is a purchasing decision, not a change to traffic rules or a new direct service for residents. The equipment is for the city’s traffic-signal work.
- City services and boroughs: They may obtain equipment through the agreement as needs arise. The city says orders will require credit authorization and will be paid from the budgets of central services and boroughs.
- The city: It is not required to buy a set quantity. The agreement allows purchases on demand, up to the authorized amounts.
Money#
The city authorized up to $1,486,848.65 in total, taxes included, including contingency spending.
- Orange Traffic’s equipment price is capped at $1,351,680.59; the contingency budget is $135,168.06.
- The agreement itself has no budget allocation. Each purchase order must have its own credit authorization.
- The amount is not necessarily what the city will spend: purchases depend on actual needs.
What is unclear#
- The materials do not say how much equipment the city expects to order or how much of the authorized maximum it will use.
- The extension is optional; the materials do not say whether the city will use it.
- The resolution requires a performance evaluation, but does not set out its timing or how its results will be used.
Case for#
- The city needs traffic-signal equipment for maintenance, upgrades and new installations. A framework agreement allows it to order supplies as needs arise.
- Orange Traffic submitted the lowest compliant bid, which was $172,041.80 below the other compliant bid.
- City staff say the equipment supports safer intersections and mobility. These are stated aims, not guaranteed results.
Case against#
- Orange Traffic’s bid, including contingency, was $117,242.53 (8.56%) above the city’s estimate.
- Only two bids were submitted, although six firms obtained the tender documents. The materials do not explain why the others did not bid.
- The city will need to authorize and fund individual orders, and the eventual total spending is not known.