North Bay seeks $694,000 dozer after $450,000 excavator fails to meet needs

After spending more than $450,000 on an excavator that failed to meet operational needs and resulted in significant maintenance costs, city staff are looking to purchase the right piece of equipment for more than $700,000. According to a staff report, city staff is requesting the approval to purchase a new Caterpillar D5 high track dozer for landfill operations for a cost of [...]

Article content After spending more than $450,000 on an excavator that failed to meet operational needs and resulted in significant maintenance costs, city staff are looking to purchase the right piece of equipment for more than $700,000. According to a staff report, city staff is requesting the approval to purchase a new Caterpillar D5 high track dozer for landfill operations for a cost of $694,242.69 (plus HST). Recommended Videos The purchase will be funded in part through the trade-in of a recently acquired Caterpillar M322 excavator.

The cost of the excavator was $453,334.73 (plus HST). However, the report doesn’t identify how much the city will receive for the trade-in. The Nugget contacted the city for clarification and is waiting for a response.

“The excavator was purchased and placed into service in 2025 for Sewer and Water capital and maintenance work,” according to the staff report, which is going to council tonight. “During operation, it was identified that the unit is not suitable for work around buried infrastructure such as pipes and utilities, as it does not provide the fine, controlled movements required for safe excavation in these environments. “This limitation creates risk when working in close proximity to critical infrastructure.

Although successful reviews and demonstrations were conducted prior to the original purchase, operational use of the unit in this specialized application has since confirmed the machine is not suitable for the intended purpose and is being returned through this proposed exchange.” The Caterpillar D5 high track dozer is required for landfill operations. City staff state the one currently being used needs replacement due to ongoing high maintenance costs and inefficiencies with the current unit.

The purchase of a new dozer will include a maintenance and repair contract with Toromont Caterpillar for up to a maximum of 12,000 hours over a 10-year term. The maintenance program is estimated to be approximately $386,160 (plus HST) over a 10-year term, according to the staff report. “The program provides significant operational benefits, as the original equipment manufacturer has the specialized tooling, trained technicians, and field service capabilities, including crane-equipped service trucks, to efficiently maintain and repair the unit,” according to the staff report.

“Given the dozer is a critical, single-unit piece of equipment for landfill operations.” City staff state over the last three years, the existing dozer has averaged approximately $112,000 annually in maintenance and repair expenses. In addition, frequent downtime has required the rental of dozers and other heavy equipment to maintain operations, resulting in additional unplanned costs.

A future replacement plan for the excavator has not yet been finalized, according to the report. “A suitable unit is currently being rented for capital project requirements. Future needs will be evaluated to determine whether purchasing or renting a replacement unit is the most cost-effective long-term solution,” according to the staff report.