July 17, 2008

Bids ruled non-compliant

The Toronto Transit Commission today announced that it has cancelled the Request for Proposal process to purchase 204 new low-floor streetcars. The bids it received have been deemed non-compliant. The TTC is now reviewing its options to ensure the current streetcar fleet is replaced starting in 2012 with new, accessible vehicles.

The TTC received two submissions for the $1.25 billion project. TRAM Power Ltd. and Bombardier Transportation submitted bids, but upon review TRAM Power failed to pass step one of the bid review process as it was not commercially compliant. Bombardier Transportation failed on step two – a technical evaluation that required a pass/fail on key criteria related to negotiating the tight turning radii on the TTC’s existing streetcar rail system.

A Fairness Monitor was retained to oversee the procurement process and concurs that the TTC has followed the process as set out in the RFP and also concurs with the cancellation of the RFP.

Under its procurement rules, the TTC may contact any vendor, including those who responded to a Request for Expressions of Interest, a process undertaken before the RFP was issued, and begin discussions to determine what, if any, issues or concerns any of the companies may have with respect to the requirements of this RFP.

The TTC is confident that it can work with a vendor to remain on schedule and meet its needs for new streetcars, including the option to purchase up to an additional 364 streetcars for Transit City. Using the specifications set-out in the original RFP, the TTC will now contact known and proven streetcar manufacturers to identify and discuss the issues that led the companies to a decision either not to bid, or to submit a bid that is not compliant.

This process will take approximately four weeks to complete. The TTC will then make a recommendation to the Commission on next steps.

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