State of California’s purchasing agreements allow public transit agencies across U.S. to skip procurement and quickly modernize fare collection systems
For immediate release
Sacramento, CA—California is making it easier and more affordable for public transportation providers anywhere in the U.S. to acquire the tools to allow riders a convenient option to pay their fare using a contactless credit/debit/prepaid card or mobile wallet on a smart device.
The California Department of General Services (DGS), in collaboration with the California Integrated Travel Project (Cal-ITP), conducted a Request for Proposal that established six Master Service Agreements (MSAs) allowing public transportation providers to purchase directly from vendors without further competitive bidding.
Agencies throughout the U.S. can take advantage of the MSAs to purchase the key hardware and software needed to accept contactless payments.
“Open-loop contactless fare payments that accept contactless bank cards and mobile wallets are proven to lower expenses and will increase ridership, and California is streamlining the process for transit providers all over the country to make implementing the system as simple as tapping to pay,” said Monterey-Salinas Transit General Manager/CEO Carl Sedoryk.
The building blocks to launch contactless fare payment systems are available from six different vendors via the DGS Cal eProcure website and the California Mobility Marketplace:
- Payment Acceptance Devices (PADs), including validators for buses, trains, and light rail, allowing customers to pay with contactless credit/debit/prepaid cards and mobile wallets on smart devices; and
- Transit Processor Services, the fare calculation and processing software that charges the correct fare when a rider taps to pay, including the ability to offer fare capping.
“Simplifying the payment options for public transportation not only adds convenience, but it can help increase ridership, which supports California’s goals to reduce carbon emissions,” said DGS Director Ana M. Lasso. “DGS is proud to play a part in broadening access to public transportation across the country by utilizing its purchasing power for local governments.”
More information about the benefits of offering open-loop contactless fare payments is available on the California Mobility Marketplace, which is managed by Cal-ITP. Supported by the California State Transportation Agency, Cal-ITP is a Caltrans-led statewide solution to make travel planning and payments simpler and more cost-effective for transit providers and riders. Through Cal-ITP, numerous transportation providers in California—including Monterey Salinas-Transit, Sacramento Regional Transit light rail, Clean Air Express, and Santa Barbara Metropolitan Transit District—have launched successful contactless payment demonstrations.
To make the transition to contactless fare collection as easy and cost-effective as possible, Cal-ITP provides extensive support to transit agencies. Agencies that would like to take advantage of Cal-ITP’s technical assistance can indicate interest via this Cal-ITP Support Request Form: bit.ly/Cal-ITPsupport.
For more information, email [email protected].