[Federal Register Volume 64, Number 142 (Monday, July 26, 1999)]
[Notices]
[Pages 40466-40469]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-18921]
[[Page 40465]]
_______________________________________________________________________
Part III
Department of Transportation
_______________________________________________________________________
Federal Transit Administration
_______________________________________________________________________
Electronic Payment System for Transit Fare Collection, Parking Payment,
Electronic Toll Collection and Other Applications; Notice
Federal Register / Vol. 64, No. 142 / Monday, July 26, 1999 /
Notices
[[Page 40466]]
DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
Request for Proposals for an Operational Test of an Electronic
Payment System for Transportation and Other Applications
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice.
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SUMMARY: The U.S. Department of Transportation (US DOT) announces a
Request for Proposals from eligible applicants for an operational test
of an electronic payment system for transit fare collection, parking
payment, electronic toll collection and other applications. The US DOT
is interested in identifying and evaluating issues associated with the
establishment of partnerships between public transit service providers
and other entities in the development and use of multiple-application
electronic payment systems. The Department is specifically interested
in an operational test of a payment system that includes a variety of
applications, but must at a minimum include transit fare collection,
parking payment and electronic toll collection.
DATES: Proposals shall be submitted by 4 P.M. EST on or before October
25, 1999.
ADDRESSES: Proposals shall be submitted to Walter Kulyk, Director,
Office of Mobility Innovation (TRI-10), Federal Transit Administration,
400 7th Street SW., Room 9402, Washington, DC 20590 and shall reference
Electronic Payment System Demonstration.
ELIGIBILITY: Only public transit agencies and metropolitan planning
organizations (MPOs) in the United States are eligible to submit
proposals in response to this RFP. In the case of MPO applicants, a
statement explaining why a local transit partner is unable to submit
the application and serve as a grantee must be included in the
proposal. This eligibility restriction applies only to the agency
submitting the proposal and serving as the applicant and does not limit
project partners. All agencies submitting proposals in response to this
notice consent to be publicly identified as respondents.
FOR FURTHER INFORMATION CONTACT: Bert Arrillaga, Chief, Service
Innovation Division, (TRI-12), at (202) 366-0231 or Sean Ricketson,
Office of Mobility Innovation, (TRI-11), at (202) 366-6678. This notice
is posted on the FTA website on the Internet under http://
www.fta.dot.gov/library/legal/fr99toc.htm. Questions and replies
regarding this notice will be posted on the FTA website under http://
www.fta.dot.gov/office/research/its.htm.
Contents
I. Background
II. Visions, Goals and Objectives
III. Project Development
A. General
B. Management Oversight
IV. Partnerships
V. National ITS Architecture
VI. Project Evaluation Activities
VII. Funding
VIII. Schedule
IX. Proposals
A. Technical Plan
B. Management and Staffing Plan
C. Financial Plan
X. Proposal Evaluation Criteria
I. Background
Recent developments in electronic payment systems and card
technology present a unique opportunity for public and private
institutions to establish mutually beneficial partnerships in the
development and management of electronic payment systems for
transportation. These developments include stored-value card systems
created by financial institutions, contactless smart card systems for
public transportation, electronic toll collection systems on highways
and card systems for human service agency program management and
benefits delivery. Private industry and public agencies foresee
substantial benefits in establishing partnerships to develop further
capabilities in electronic fee collection, delivery of benefits
payments, funds transfer, settlement and clearinghouse functions.
However, a number of institutional issues continue to restrict the
formation of these partnerships. Through the development of an
operational test this project intends to be a step towards identifying
and addressing the complex institutional issues surrounding electronic
payment systems in transportation.
The decision to focus the scope of the operational test on
integrating transit fare collection, parking payment and electronic
toll collection systems rests on a number of factors. Based on
responses the US DOT received from the Federal Register Notice, Request
for Letters of Interest in an Operational Test of Transit Fare
Collection and Other Applications, dated November 24, 1998, it is
considered that the transit industry is progressing in the development
of integrated transit payment systems. With limited research funds
available, the US DOT feels that this operational test could facilitate
the next step to the development of an integrated, multi-modal
transportation payment system infrastructure. However, there is a
concern that a project integrating transit, parking and toll collection
(given the modal balance found in most areas) may have a limited
transit component. Therefore, it has been determined that the lead
applicant (the agency submitting the proposal and potential grantee) be
limited to transit agencies or MPOs to ensure sufficient participation
by a public transit partner. Because this eligibility is more
restrictive than first presented in the Request for Letters of
Interest, the response period to the RFP has been extended to ninety
days.
II. Vision, Goals and Objective(s)
The vision this operational test supports is one of a seamless
transportation payment infrastructure where local transportation
agencies and other organizations are not limited by institutional
constraints in the development of transportation payment products.
Examples of possible products are pre-paid integrated accounts for toll
payment, parking and transit, or stored value cards for transit and
parking meter use. Ideally, only local creativity and transportation
needs should limit the development of such products.
While the goals and objectives described below are focused on
technical and institutional outcomes, the success of the test will
depend upon whether it makes a positive contribution to the enhancement
of local transportation service and operational efficiency. This focus
must be maintained throughout the lifecycle of the operational test
(planning, development, implementation and evaluation) by the grantee.
The goal of the operational test is to provide solutions to transit
and other service providers exploring the feasibility of developing
multi-modal transportation payment systems and integrating
transportation payment with other payment applications. Additionally,
the operational test is intended to offer insight to those interested
private sector partners (i.e., the electronic payments industry,
financial services industry, and other industries) interested in
integrating their services with a transportation payment system.
The objective of the operational test is to evaluate and document
the integration of transit fare collection, parking payment and
electronic toll collection within one coordinated payment system.
Additional objectives, if feasible, are to evaluate and document the
viability and benefits of integrating transportation payment systems
with other payment applications.
[[Page 40467]]
III. Project Development
A. General
The operational test will need to achieve an optimal balance of
meeting local transportation needs while also providing a worthwhile
national model of payment system coordination and partnerships.
B. Management Oversight
The grantee and other local partners in the project will manage the
operational test. Additional guidance will be provided by a U.S. DOT
committee composed of transportation industry representatives. This
committee is already established by the U.S. DOT to provide feedback on
electronic fare payment activities. The grantee will consult with the
committee prior to any significant changes in project scope or
direction. For this project, the committee may be augmented by experts
from other industries as needed. Concurrently, this committee will
direct a separately funded effort being conducted by the U.S. DOT to
develop and document a set of guidelines for the integration of
electronic fare payment with other payment systems. These guidelines
will provide recommendations for the integration of transit payment
systems with other payment systems such as benefits transfer, toll
collection, security, parking, retail, financial services, telephony,
identification and access control. The results of the operational test
are intended to contribute to the advancement of the guidelines
document. In turn, the development of the guidelines document is
intended to assist the committee, the grantee, and local partners with
the implementation of the operational test.
IV. Partnerships
The U.S. DOT will work with the lead public agency (applicant/
grantee) participating in the project to ensure the needed support to
achieve the objectives of the field operational test. The U.S. DOT will
verify that the required institutional, partnership and funding
arrangements are in place. All necessary partnership arrangements and
institutional agreements to support the proposed project need to be
documented by the applicant in the proposal. The grantee and
participating partners will be required to implement the first phase of
the operational test within 24 months from the time the cooperative
agreement is awarded.
V. National ITS Architecture
The National ITS Architecture provides a common structure for the
design of Intelligent Transportation Systems (ITS). The architecture
defines the function that must be performed to implement a given user
service, the physical entities or subsystems where these functions
reside, the interfaces/information flows between the physical
subsystems, and the communication requirements for the information
flows. In addition, the architecture identifies and specifies the
requirements for standards needed to support national and regional
interoperability, as well as product standards needed to support
economy of scale considerations in deployment. The proposal shall
provide a ``Statement of Intent'' to develop a system consistent with
the National ITS Architecture.
Proposals shall also provide a ``Statement of Intent'' to design a
system that is consistent with SAE J1708T Bus Vehicle Area Network, the
Transit Communications Interface Profiles (TCIP), and other applicable
protocols, or standards requirements as these emerge from the National
ITS Architecture Development Program. Information about SAE J1708T may
be obtained from the Society of Automotive Engineers, 400 Commonwealth
Drive, Warrendale, Pennsylvania, USA, 15096-0001; phone: 412-776-4841,
fax: 412-776-5760, or through the Internet at http://www.sae.org.
Information about TCIP can be obtained on the TCIP homepage at http://
www.tcip.org or by contacting the Institute of Transportation
Engineers, 525 School St., SW, Suite 410 Washington, DC 20024; phone:
202-554-8050. Copies of the Architecture Definition Documents, the
draft Standards Requirements Document, and the Standards Development
Program from the Architecture Development Program are available from
ITS America, 400 Virginia Avenue, SW, Suite 800, Washington, DC 20024,
telephone 202-484-4847. Electronic copies are available on the ITS
America Internet website, http://www.itsa.org. These documents provide
insight into the definition of the National ITS Architecture, and the
emerging approaches being taken toward standardizing interfaces that
would support the integration of transportation management components.
In developing plans for standards and architectural consistency,
proposals should recognize the practical benefits of this requirement.
The ability to integrate systems and exchange data among applications
offers some of the strongest benefits of ITS. As an illustration of
understanding of this point, plans should identify potential
opportunities for integration and data sharing among fare payment and
other systems and applications. Information about key indicators of the
electronic payment component of the ITS metropolitan infrastructure and
integration of it with other components can be found in, ``Measuring
ITS Deployment and Integration: August 1998'' available through the
Internet at URL Http://www.its.fhwa.dot.gov/cyberdocs/welcome.htm, the
report is document number 4372 in the Electronic Document Library
maintained at this website.
VI. Project Evaluation Activities
A major goal of the US DOT is to promote the development of
innovative applications of advanced technologies. In order to encourage
the widespread adoption of technological innovations, data and results
from the operational test must be analyzed, documented and reported.
Accordingly, evaluations are an integral part of the operational test
and are critical to the success of the National ITS Program.
This electronic payment system operational test will be evaluated
by a US DOT contractor funded separately by the US DOT. The contractor
will develop an Evaluation Plan which will specify the data collection
requirements which will enable an assessment of the achievement of the
goals and objectives of the National ITS Program applicable to this
project as well as the goals and objectives of the implementing
organizations. The contractor will assemble all the data collected in
accordance with the Evaluation Plan, analyze the data, and prepare the
Evaluation Report. The Evaluation Plan will also include an assessment
of the technological issues, operational issues, customer acceptance,
system reliability, attitudes of implementing organizations,
implementation and continuing operational costs, integration issues,
and a variety of institutional issues including partnership
arrangements, legal issues, clearinghouse operation, the reason for
selecting the type of system (closed or open), and the success in
obtaining multiple agency participants.
The operational test partners (all participating agencies and
institutions) will be involved in all phases of the evaluation.
Partners will be expected to provide the local goals and objectives,
review and comment on the Evaluation Plan, assist the contractor to
collect the data specified in the Evaluation Plan (including any
surveys that may be
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necessary), provide information on external factors that may affect the
project's results, and review and comment on the Evaluation Report
prepared by the evaluation contractor.
VII. Funding
Federal funds available for this operational test are $2.33
million. Federal funding shall not exceed 50% of total project costs.
Implementing organizations will be required to furnish the
specified evaluation data and perform reviews of evaluation documents.
No additional Federal funding will be provided for this effort. The
evaluation activities conducted by the evaluation contractor will be
funded separately by the US DOT.
The US DOT, the Comptroller General of the United States, and, if
appropriate, individual States have the right to access all documents
pertaining to the use of Federal ITS funds and non-Federal
contributions. Non-Federal partners must submit sufficient
documentation during final negotiations and on a regular basis during
the life of the project to substantiate these costs. Such items as
direct labor, fringe benefits, material costs, consultant costs, and
subcontractor costs, and travel costs should be included in that
documentation.
VIII. Schedule
The project must remain operational for a period long enough to
obtain valid evaluation data. The data collection period will be for a
minimum of twelve (12) months from the time that the project is fully
operational (i.e., all elements are working as intended). Upon the
completion of data collection there shall be a six (6) month period of
analysis and report coordination before a final evaluation report is
submitted. The system shall remain operational throughout the
evaluation process until the final report is received by the US DOT,
unless otherwise agreed to by the US DOT.
IX. Proposals
The US DOT will select one operational test proposal for funding
under this RFP. Applications should, where possible, focus on utilizing
currently available technology. The Department is specifically
interested in an operational test that includes transit fare payment,
parking payment and electronic toll collection.
Applications that offer the greatest potential for demonstrating
and evaluating the benefits of using electronic fare payment in a
multi-application transportation environment with at least one private
sector partnership are the most desirable.
Proposal Criteria
A proposal shall not exceed forty-five (45) pages in length
including title, index, tables, maps, appendices, abstracts, resumes
and other supporting materials. A page is defined as one (1) side of an
8\1/2\ by 11-inch paper, line spacing no smaller than 1.5 with a type
font no smaller than 12 pt. Proposals exceeding forty-five (45) pages
are strongly discouraged. Ten (10) copies plus an unbound reproducible
copy of the proposal shall be submitted. The cover sheet or front page
of the proposal shall include the name, address and phone number of an
individual to whom correspondence and questions about the application
may be directed. Each proposal shall include a Technical Plan,
Financial Plan, and a Management and Staffing Plan that describes how
the proposed objectives will be met within the specified time frame and
budget. These plans should be structured so that they contain the
following information.
A. Technical Plan
General Requirements
1. The technical plan must provide a general description of the
local transit market, toll collection system(s), parking payment
system(s), and other proposed payment system markets. Information shall
include transit ridership statistics, toll plaza throughput statistics,
parking systems and parking usage. Additionally, the technical plan
must provide an outline of the current fare collection, toll collection
and parking payment processes, and types of payment media currently in
use. In addition, other potential public/private agency(s) involvement
such as partnerships, merchants, retailers, etc. must be outlined.
2. Proposals must include documentation of any existing or planned
interagency agreements or public/private cooperative arrangements
necessary for the conduct of the operational test.
Project Overview
1. Define existing infrastructure (both physical and information
technology) and support systems in place, e.g., current fare collection
system and cash handling procedures, toll collection processes and
parking collection processes as well as current systems of those
additional non-transportation applications being considered for
integration.
2. Describe how the existing infrastructure will be expanded and
used to support the proposed system. Identify existing technological
and institutional linkages within and across modes.
3. Describe the proposed system and how it will be integrated with
other non-transportation applications and participating private sector
institutions.
4. Summarize the expectations of the proposed system (e.g. costs,
benefits, risks, operations, maintenance issues, plans, and system
support).
Technical Approach
The Technical Approach will be judged on its ability to incorporate
the requirements of a multi-modal, multi-application payment system
within the transportation infrastructure. The U.S. DOT recognizes that
a single payment instrument or technology may not meet all the
stakeholders' needs in a region; however, proposals will be evaluated
on demonstrated local willingness and capability to integrate the
proposed services among the necessary partners in the transportation
environment.
Within the Technical Approach the following areas need to be
clearly addressed:
1. Define and describe the goals and objectives of the system, and
the goals and objectives of each of the service providers participating
in the proposed payment system. Address both customer service and
operating efficiency.
2. Describe the system design concept. Describe the extent of
proposed system integration, type(s) of proposed media and/or payment
mechanisms, settlement and clearinghouse processes, and partners.
3. Describe implementation of the system in probable phases with
funding for each phase clearly specified. Document the schedule of
work, assumptions and technical uncertainties, and proposed specific
approaches to resolve any uncertainties.
4. Describe the approach by which the system design concept will be
refined, developed, and operationally tested.
5. Show evidence that the project team has considered service
delivery issues. Examples include: Who will use any new payment media?
What problems will it solve for the participating transportation
providers? What will the benefits of the new system be and how will the
project team market the system to the user?
6. Describe the plan for concluding the operational test (Closure
Plan), indicating whether hardware, software, and infrastructure will
remain in revenue service, be sold, or returned to participating
vendors, if applicable. Closure Plans may be contingent upon the
results of the operational test, in
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which case more than one Closure Plan may be developed.
B. Management and Staffing Plan
Provide names and positions of all personnel related to managing
the project. Identify key management and control responsibilities for
the overall program. Provide a timeline and define key milestones and
deliverables for the project. Provide estimated professional and
technical staffing in staff-months and staff-hours. Demonstrate that
the project manager is capable, available and able to commit to a level
of involvement that ensures project success. Include biographical data
on key management personnel.
C. Financial Plan
Provide a description of total project costs and of matching funds,
if applicable.
Provide a system budget identifying costs for system design,
development, implementation, project management, operations,
maintenance and evaluation support.
The applicant's evaluation support costs shall include the
following information:
Breakdown costs identifying them by one of the following: (1)
Local; (2) State; (3) Private; (4) Federal ITS; (5) Other Federal-aid;
(6) Other (describe).
Note: Costs attributed to Federal dollars proposed to be
received through award of this operational test are Federal ITS.
Provide cost estimates by phase by funding year as defined in the
technical plan.
All financial commitments to the project from both public and
private sectors shall be documented in signed Memorandum of
Understanding (MOU) and included in the proposal.
The proposal shall provide an in-depth description and assessment
of the total cost of achieving the objectives of the Electronic Fare
Payment System field operational test. The Financial Plan should
describe a phased approach that delineates what will be accomplished
with the project funding.
The proposal should provide a comprehensive, concise plan that
ensures systems integration of the functions necessary to support an
electronic payment system for fare collection. The plan shall include a
discussion of the ways in which design, acquisition, construction, and
other procurement activities will affect systems integration.
X. Proposal Evaluation Criteria
All proposals must include a Technical Plan, Financial Plan, and
Management and Staffing Plan that describes how the proposed objectives
will be met within the specified time frame and budget. The primary
evaluation criterion for the proposal will be the degree to which the
proposal demonstrates the potential for successfully testing a multi-
use payment system with multi-modal transportation capability. Proposed
projects must include viable transit fare collection, parking payment,
and electronic toll collection components. Significant consideration
will be given to those projects involving public agencies and private
sector partners with previous work or experience developing and
integrating electronic payment systems. Proposals must demonstrate
local viability and must also show strong potential for providing the
baseline for a national model. Proposals should emphasize the nature
and arrangement of any public-private partnerships. Proposals should
present the potential benefits as well as associated risks and costs to
transportation agency partners. Significant consideration will be given
to those projects with greater levels of private and local funding
contributions.
Issued on: July 15, 1999.
Gordon J. Linton,
Administrator.
[FR Doc. 99-18921 Filed 7-23-99; 8:45 am]
BILLING CODE 4910-57-P
