October 16, 2015

Bombardier Transportation advised Toronto Transit Commission staff yesterday (Oct. 15) that the delivery schedule and public commitment made on July 29 that would see 23 new streetcars in Toronto by the end of this year, with 20 available for service, will not be met.

There are just 10 new streetcars available for service in Toronto today. Based on the original contract schedule, 67 of 204 new streetcars on order should be serving TTC customers. The eleventh new streetcar is not scheduled to be shipped to Toronto until Oct. 21. Bombardier is stating the TTC will now see a total of just 16 streetcars in-service at the end 2015. Given Bombardier’s failure to meet past commitments, the TTC has no confidence in this latest schedule.

TTC CEO Andy Byford has advised TTC Chair Josh Colle and the TTC board of this development. He is recommending that the board now bring forward a deferred staff report to its Oct. 28 meeting regarding future sanctions that may be levied against Bombardier. TTC staff will also recommend to its board that it commence legal action, or make a claim allowed for already in the contract, of $50 million for late delivery. The TTC will also seek damages for maintenance and overhaul costs of the existing streetcar fleet; service and customer impact costs, such as supplementing streetcar routes with buses; and TTC staff time that has been expended on this matter, and will continue to be expended.

TTC customers are rightly frustrated by the lack of accessible streetcars in service today. The TTC has been working with Bombardier to resolve quality issues, and will continue to do so. The new streetcars that are in service today have performed exceedingly well; however, the TTC will not accept streetcars that do not pass its high standard of quality assurance, reliability and safety.

“I am incredibly disappointed to learn that Bombardier, yet again, will not be meeting their commitments to deliver new streetcars to Toronto,” said TTC Chair Josh Colle. “They have let down the TTC, our customers, the good workers in Thunder Bay, and all Toronto residents. We will not let Bombardier's incompetence hold our patient and loyal customers hostage. We will consider all legal and financial actions at our disposal to address this situation.”

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