Byford, Tory berate Bombardier on streetcar delays: Report

Production and delivery delays continue to plague the new low-floor Flexity Freedom streetcars Bombardier Transportation is building for the Toronto Transit Commission. TTC CEO Andy Byford, who is said to “revel in chaos,” is frustrated with yet another missed deadline. And Toronto Mayor John Tory is “completely dismayed,” as Toronto Star City Hall Reporter Jennifer Pagliaro reported on Monday, April 25, 2016. We reprint the article, in full:

Bombardier is again saying it will step up production on Toronto’s new streetcars after renewed criticism over its failed promises to deliver them.

But efforts to “significantly accelerate” manufacturing mean the company expects to deliver only 16 new streetcars this year, the Montreal-based manufacturer said in a statement Monday. That’s well below what Bombardier promised earlier this year, leaving city officials including Mayor John Tory “completely dismayed.”

“I think their performance has been woeful on this contract to date,” TTC CEO Andy Byford told reporters at city hall. “It’s about time Bombardier owned this problem.”

There are only 17 new, low-floor accessible streetcars in operation so far, three of them delivered since January. Bombardier is therefore promising only 13 additional vehicles by year’s end — which averages out to fewer than two per month.

The previous schedule promised at least four new vehicles each month starting in April, for a total of 54 by the end of this year.

And it is far fewer than the number on the original schedule, which would have had 73 streetcars on the tracks by the end of last year.

The new schedule — not the first to promise ramped-up production — comes after Byford said last week he’s still frustrated about blown deadlines.

Bombardier recently appointed a new president for transportation in the Americas, Benoit Brossoit, who “has given his go-ahead to a plan for added capacity to accelerate the pace of delivery of the TTC (light rail vehicle) project.”

The company says it will use a second manufacturing plant in La Pocatière, Que., along with an additional assembly line in an unspecified location to help with production that is currently being completed in Thunder Bay.

Previously, problems with the sizing of parts for the streetcars’ frames shipped from Bombardier’s Mexican plant were holding up assembly.

A spokesperson said Monday “dimensional issues with some parts and sub-assemblies” remain an issue and that the La Pocatière site already has a track record of producing properly fitting components on time for the Toronto cars.

Asked whether they’re doing enough to prevent further delays, spokesperson Marc-Andre Lefebvre said: “What Bombardier is implementing today is bringing online the full force of our integrated manufacturing model.”

The company says it remains committed to its promise of delivering all 204 streetcars ordered by the end of 2019.

“Bombardier Transportation is taking decisive action to ensure deliveries of streetcars to the Toronto Transit Commission (TTC) and its riders,” said a statement from the company. “Bombardier acknowledges the disappointment of the TTC with regards to delivery of this project so far, but is still committed as ever to support its customer in the full delivery of this order.”

The city is pursuing a legal claim for $51 million — or 5% of the total $1.25 billion order — after Bombardier missed the first contracted deadline.

On Monday, Tory said he is “completely dismayed” by the update.

“It is no way to do business,” he said. “It is causing great harm to the city . . . It’s frustrating. What more can we do? We are the customer here who signed the contract; we’re paying on time, we’re doing everything we’re supposed to, and I really think the questions have to be asked of Bombardier.”

Byford told a news conference that he pushed Bombardier officials to come up with a solution during an “uncomfortable” meeting last week and asked for a public explanation.

TTC chair Councillor Josh Colle, flanking Byford on Monday, said the company has taken “encouraging” steps to increase production to meet the end-date of the contract. But he said Bombardier should do whatever it takes to meet the deadlines.

“At this point, I think Bombardier owes the City of Toronto an apology,” he said. “The riders and the customers have been very loyal and patient. The city, who has invested a great deal with them, has done that all in good faith and continues to be disappointed.”

Responding to Colle’s comments, Lefebvre said: “As we’ve said many times, Bombardier regrets that its performance on this project has been disappointing to the TTC and its riders and we apologize for it.”

The delays have forced the TTC to continue refurbishing aging streetcars to keep operating at the current capacity — costs included in the legal claim against Bombardier.

Byford said it’s not clear what the revised schedule means for those costs, but that the city is consulting with lawyers on its options.

The current contract limits the city’s legal claims for damages to $51 million.

A STRING OF BROKEN PROMISES

April 2009: Bombardier wins bid to build 204 streetcars. August 2014: First streetcars to arrive are put in service on the 510 Spadina route. Full delivery is promised by the end of 2019

December 2014: Only three streetcars are in operation after a prolonged strike and manufacturing flaws, while the contract promised 43 delivered by that time.

February 2015: A revised schedule promises 30 streetcars in Toronto by the end of the year, enough to convert the 510 Spadina, 509 Harbourfront and 511 Bathurst routes.

June 2015: TTC CEO Andy Byford says delivery issues are on track towards resolution, with just six streetcars in operation when 50 should have been delivered.

July 2015: TTC officials say they will make legal claims against failed delivery as per the contract, while Bombardier recommits to all streetcars being sent by 2019.

October 2015: Ten streetcars are in service, at a point when 20 were expected. A revised schedule promises only 16 by the end of the year. Bombardier promises to produce one car every five days in 2016.

March 2016: Bombardier promises four streetcars will be delivered every month starting in April under a new revised schedule, and 54 by the end of the year.

April 2016: An amended schedule promises ramped-up production, but reduces the 2016 promise to just 16 streetcars delivered by year’s end.

Moving targets

73: Streetcars originally slated to be in operation by the end of 2015

17: New streetcars actually in operation

54: New streetcars supposed to be running by the end of 2016, according to Bombardier’s March update

30: Total streetcars now supposed to be delivered by the end of 2016

204: New streetcars supposed to be delivered by the end of 2019