Montreal, December 6, 2006 - The STM Board of Directors today passed a by-law authorizing a $183 791 000 loan to finance the pu
The STM takes an important step
towards acquiring articulated buses
Montreal, December 6, 2006 - The STM Board of Directors today passed a by-law authorizing a $183 791 000 loan to finance the purchase of 202 low-floor, articulated buses. The total amount includes the awarding of a contract to Nova Bus worth $171 944 289 for the STM. As a prerequisite, the acquisitions of these articulated vehicles must first be approved by the Québec Transport Ministry, with respect to their eligibility for subsidies through the government’s public transit funding programme, and the approval of the minister for Municipal Affairs regarding the loan by-law.
As part of the 2007-2009 three-year capital spending plan (PTI), this project is part of the strategies adopted to better meet the needs of public transit clients, namely on-time performance, service regularity and less crowding aboard buses. Its goal is to improve the offer of service, by increasing passenger capacity by about 10% on nine highly travelled bus routes. Moreover, the purchase of articulated buses will enable the STM to reduce its operating costs by some $3.7 million dollars a year.
“This is an important step in the process leading to the acquisition of articulated buses, which should be operational in Montréal by 2009,” explained STM Chairman, Claude Trudel. “This new type of vehicle will enable the STM to provide improved service to its customers and lead to increased ridership on bus routes showing a strong potential for growth.”
2003-2007 bus acquisitions
Moreover, the Board of Directors also authorized a loan by-law to proceed with a group purchase of standard low-floor buses with other public transit companies in Québec, once the required authorizations are obtained. This $172 343 500 investment by the STM will allow for the purchase of 305 of these buses and is also part of the 2007-2009 PTI, in accordance with the bus fleet management plan. The overall amount includes the exercise of purchase options contained in the 2003-2007 bus purchase contract and the awarding of additional orders to Nova Bus worth $161 773 273 for the STM. Buses will be gradually delivered each year until 2012.
The STM is responsible for group purchase contracts for the acquisition of articulated and low-floor buses, and they are the result of a call for public tenders among Canadian bus manufacturers.
As a public transit corporation, the STM is a key component to economic growth in the Montréal area, contributing to the quality of life of its citizens and protecting the urban environment. It develops and operates an integrated bus and metro network, while courteously providing safe, reliable and comfortable public transportation services. Its customers, employees, corporate and commercial partners are proud of their association with the STM because of its reputation for delivering quality services at a fair price.
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