Auditor says City spent too much on Mercedes-Benz vans

The City of Ottawa purchased 71 Mercedes-Benz Sprinter vans between the years of 2011 and 2015, costing the city hundreds of thousands of dollars in savings.

The auditor general states there were cheaper models available and the city could have saved $703,000 over five years if it opted for the less expensive vans.

Auditor General Ken Hughes told the Rick Gibbons Show on 1310NEWS, “initially there was a particular requirement for a vehicle that had a high ceiling to allow individuals to stand up (in the van).”

Hughes said, “there weren't a lot of choices on the market, in fact there was only one vehicle that could meet that accommodation.”

Adding, “later purchases of vans could have been satisfied with competitor's vehicles, unfortunately (the city) continued to buy the Sprinter van for other applications when other cheaper alternatives would have been fine.”

The vans have a variety of uses, including transporting equipment, being used by the fire department for mechanical support, and City of Ottawa maintenance crews.

When Ottawa began purchasing the vehicles in 2011, the Mercedes-Benz Sprinter vans were the only vehicle of its kind to be sold.

According to the auditor's report, the 71 Mercedes-Benz sprinter vans cost the city between $46,000 and $64,000 per vehicle. 

The report states that Fleet Services purchased 14 Mercedes-Benz Sprinter vans instead of the comparable Ford Transit van, which would have netted $396,000 in savings.

Then in 2015, seven more Mercedez-Benz vans were purchased  for $419,000. Ford Transit vans would have cost $252,000. A difference of $167,000.

Another four Mercedes-Benz vans were purchased at a $324,000 price tag. Costing the city another $140,000 they could have saved if they had purchased the comparable Ford vehicles.

The city then stopped procuring Mercedes-Benz vans in 2015, opting for the cheaper Ford vans.

The auditor made eight recommendations for the city, management agreed with the recommendations made.