Pickering firm recommended for $186M garbage contract
Posted October 19, 2011 2:27 pm.
This article is more than 5 years old.
A Pickering firm run by a former NHL prospect has been recommended as the winning bidder for a city garbage contract worth more than $180 million, Counc. Denzil Minnan-Wong revealed on Wednesday.
But CUPE 416 president, Mark Ferguson, says an announcement shouldn’t have been made until council had a chance to review all bids.
The contract, which council will vote on at a meeting on Oct. 24, is for a period of seven years starting on Aug. 7, 2012. There are also options for two, one-year extensions. The total contract value is $186,405,881.65.
GFL Environmental Corp., which the city says was the lowest bidder meeting specifications, beat out three other firms with a bid of $17,471,353.25 a year.
Miller Waste Systems Inc. had the next lowest bid at $20,978,787.46 a year.
“It is premature for Denzil Minnan-Wong to announce the so-called ‘winning’ bidder today, a week before council has had a chance to review all of the bids and perform the due diligence necessary before making such an important decision,” said Ferguson.
The lucrative garbage out-sourcing deal will be for collection west of Yonge Street to the Etobicoke border and will affect about 165,000 homes.
“Not only are we going to get the best price, but we are going to assure that the customer service remains high,” Minnan-Wong vowed.
Mayor Rob Ford campaigned on contracting out garbage as a way to save money.
“This award is estimated to save approximately $11.9 million or 32% in the first year,” a city staff report stated.
“The savings over the main 7-year term of the contract is anticipated to be approximately $78.4 million excluding inflation.”
Ferguson believes there are too many unanswered questions surrounding GFL, which is run by Patrick Dovigi, a former NHL prospect drafted by the Edmonton Oilers.
“What is GFL’s history and record like in other municipalities? What ties do they have to other firms? What is their record as an employer?”
Coun. Gord Perks said the company has several notable blemishes on its record.
“Green For Life and an associated company called National Waste have a very checkered history here in Ontario,” he alleged. “Recently they were chased out of Kawartha Lakes for jacking their price and really poor performance and some oddities in the way they were charging the township.”
“On top of that, Green For Life got in trouble at the Ontario Labour Relations Board for hiring day labourers instead of having regular employees. We certainly don’t want an unreliable workforce delivering this critical service.”
