The City of Ottawa is considering a $155-million deal to buy more than 200 new buses for OC Transpo as part of a limited time offer from a bus company headed by former Liberal cabinet minister Brian Tobin.

New Flyer, a major bus manufacturer, recently approached the city with a discount deal on purchasing new buses.

The deal would replace 226 of the city's oldest articulated buses with new ones, which the city says would improve bus reliability and performance.

"This proposal gives us either a fresh start or a jump start to deliver more reliable service now," said Alain Mercier, general manager of OC Transpo.

However, the company says there are other cities looking at purchasing the buses, and the deal could only be on the table for a limited time.

No money budgeted

While some councillors are in favour of the deal, the city doesn't have money budgeted for the new buses. If they decide to move forward, council will have to determine how they will pay for the buses -- whether it be from reserves, ventures or another option.

Still, Coun. Rainer Bloess says replacing the buses now would save taxpayers money in the long-term.

"That money is more than realized by the savings we would have both in maintenance, fuel and the environment of having a cleaner fleet," Bloess told CTV Ottawa.

Lawyers OK deal

New Flyer has an existing contract with the City of Ottawa.

Although the city has been mired with recent sole sourcing contract disputes, the city's lawyers have determined this deal would be considered part of an existing contract.

Still, some councillors remain concerned about rushing into a decision.

"One week – to me that's not enough time. To me, that's accommodating New Flyer, but we're leaving out taxpayers in order to get all questions asked and answered," said Coun. Christine Leadman.

City council will make a final decision on the offer on April 28. If the deal is approved, older buses will be taken off the road and replaced with new ones beginning in August.

With a report from CTV Ottawa's Vanessa Lee