Procurement Authorization – Supply Of Signals Equipment - South Yonge Resignalling
Toronto Transit Commission
Meeting Date: November 14, 2007
Subject: Procurement Authorization – Supply Of Signals Equipment - South Yonge Resignalling
It is recommended that the Commission authorize:
1) the award of a contract to Alstom Signaling Inc. in the amount of $1,455,654.00 US equivalent to $1,537,752.89 CND for the supply of 121 Signal Head Layouts (including standby parts) on the basis of the lowest tendered and evaluated price.
2) funds in the estimated amount of $215,285.40 CND that will be paid directly to the Federal and Provincial Governments for GST and PST, and
3) funds in the estimated amount of $1,500.00 CDN that will be paid for freight and brokerage, bringing the total authorization for this contract to $1,754,538.29 CND
(note: using exchange rate of $1.00 US = $1.0564 CND).
Sufficient funds for this expenditure have been included in Project 2.4, Resignalling of YUS in the State of Good Repair/Safety category as set out on pages 479-490 of the 2007-2011 TTC Capital Program, as approved by City Council on March 7, 2007.
South Yonge was first opened in 1954 and still has the majority of the original signal equipment in use. This area is in the worst state of repair due to aging equipment and must now be resignalled prior to the introduction of Automatic Train Control (ATC). Once ATC is implemented, the new conventional signalling equipment will be used as the auxiliary wayside system in the case of ATC failure, which will allow the trains to travel in manual mode. Signals provide the necessary information for the safe and efficient operation of the trains and are located at the beginning of every block section of track.
In addition, the Yonge-University-Spadina (YUS) Subway Line has been at capacity for a number of years, in the peak periods limited by the signal system, and has seen a significant increase in ridership over the past years. To accommodate future ridership growth through the increased throughput of trains and maximize efficiency, the YUS line area must be resignalled with ATC signal technology.
The Contract is for supply of signal layouts, ladders, stop release contactor brackets and masts, split base junction boxes, and stop release contactor key-by assembly units for installation by TTC forces on the South Yonge portion of the YUS Subway Line. The work includes all required design and manufacturing including assembly and pre-wiring of signals before delivering to the TTC; factory testing; supply of signal bases, mounting and assembly hardware, installation drawings, installation/maintenance manuals, adjustment procedures and signal sighting procedures.
Specifications and drawings were prepared and a Request for Proposals was issued to Alstom Signaling Inc. (Alstom) and Union Switch & Signal Inc. (US&S) on August 3, 2007 with a closing date of August 31, 2007. Alstom and US&S are the only approved suppliers as they are the only companies to manufacture both indoor and outdoor signal heads. Both companies submitted proposals. The base Proposal included a quantity of standby equipment, and also requested submission of unit prices for supply of additional parts. A Specified Option Price was required to be submitted for the supply of Automatic Train Operation (ATO) aspects with the signal layouts as well as additional standby equipment in specified quantities.
Freight is FOB plant. The Commission is responsible for arrangement of freight and Customs clearance and payment of brokerage fees.
Alstom Signaling Inc. (Alstom) submitted the lowest priced proposal and did not state any exceptions or qualifications. Alstom’s proposal stated that they were not licensed to collect Federal taxes or Ontario Retail Sales taxes, which will be self-assessed and paid by TTC. The Specified Option Price cannot be decided at this time until technical considerations regarding the final configuration of the ATC system for South Yonge is completed. The ‘Unit Prices For Extra Work’ have been reviewed and on average are about 18% lower than US&S and are considered acceptable and are recommended for acceptance. The proposal submitted by Alstom is recommended for acceptance.
Union Switch & Signal Inc. (US&S) submitted the second lowest priced proposal and also did not state any exceptions or qualifications. US&S’s proposal also stated that they were not licensed to collect Federal taxes or Ontario Retail Sales taxes. US&S’s Specified Option Price and ‘Unit Prices for Extra Work’ are higher than Alstom’s. Their proposal is considered commercially acceptable.
The state of the signalling equipment on the South Yonge segment of the YUS Subway Line is beyond repair and at its life expiry date. The resignalling of South Yonge requires signals to be placed in new locations to increase throughput, efficiency, and safety. These signals will become the auxiliary system once ATC is implemented and allow for the movement of manually operated trains. Signals are the basis of the subway system and trains cannot be manually moved without them. The proposal submitted by Alstom Signaling Inc. is compliant with the specifications outlined in the Request for Proposals.
October 16, 2007
Attachment: Appendix “A”