Toronto Mulls Negotiated Contract For $1.25B Streetcar Project

July 19, 2008 9:10 a.m. EST

Toronto, Canada (AHN) - The Toronto Transit Commission has temporarily put on hold the auction for the supply of 204 new low-floor streetcars worth $1.25 billion after the failed bids of Bombardier Transportation and Tram Power Ltd. Instead of going through a new bid process, the TTC might opt for a negotiated deal, according to news reports Friday.

TTC will approach suppliers individually to replace its aging fleet as well as acquire new units to stay on schedule for TransitCity light rail's expansion, it said in a statement. TTC is looking at several suppliers in the next four weeks.

"The provincial law requires all transit properties to be fully accessible by 2025. If we didn't have accessible cars we'd have to retire them all," says TTC chairman Adam Giambrone, according to the Sun.

Tram Power failed to complete its documentation requirements especially the posting of a security bond with their bid. Bombardier, on the other hand, failed to come up with a design that would address tight turns on existing rail tracks.

Bombardier will have a second chance to clinch the streetcar contract, reports said.