November 17, 2008

Procurement

Consortium model for $1 billion Windsor border project sparks concerns

Loss of work for locals

VINCE VERSACE

staff writer

The prospect of a consortium being in control of building the new Windsor $1.6 billion border feeder road project is worrisome to the area’s construction association.

“If the project were to be awarded that way it could potentially result in some distance between the consortium and local contractors,” said Jim Lyons, executive director of the Windsor Construction Association (WCA).

Lyons explained that the WCA and its members have been trying to get an idea from the Ministry of Transportation what the “logical next steps” could be in starting the process to build the feeder road.

In doing so, they learned that Infrastructure Ontario (IO) could be taking over the project and this prompted a meeting involving IO and the association.

During this meeting WCA officials were told the project could enter a request for quotation process and potentially land in the hands of one consortium.

“There is no one around here that can really get that project. They call it value for money and that is why they want to go that way,” adds Lyons.

“We would prefer the project remain with the MTO and it be offered to tender in the traditional method.”

IO has said in published reports that it expects local workers to secure a majority of the project even if a consortium is in control of the project.

The entire new border crossing network includes a nine-kilometre border feeder highway, below grade through Windsor.

This highway would then link to a new cable-stay bridge crossing in west Windsor’s Brighton Beach area. The entire project could create over 10,000 full-time jobs over the course of construction.

The equitability and transparency on how contractors and subcontractors will be able to access or bid on any work under a consortium is a real concern, says Lyons. If the feeder road project were broken down and tendered it would be “much better to dole it out that way”, he says.

Lyons believes that breaking up the feeder highway project up into four or five packages would encourage competitive bidding and give local, provincial and national contractors the opportunity to form partnerships.

Also, this process has resulted in savings before for other Ontario highways projects, he adds.

The province is responsible for construction of the feeder road and the federal government will be responsible for the bridge and plazas. Construction is expected to begin in 2009. Plans are currently at the environmental assessment stage.

The association and IO will hold future discussions on the matter but there is no definite time set for their next meeting, said Lyons.

IO was unavailable for comment.

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