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21st Century Operations Using 21st Century Technologies

Sound Transit ATCMTD Application Volume 1 - Technical Application

4. REAL WORLD ISSUES AND CHALLENGES ADDRESSED BY NEXT GEN ORCA.

Real World Issues addressed by Next Gen ORCA:

  • An account-based system with near real-time processing of transactions provides lower operating and maintenance costs and flexibility for expansion, while offering a better user experience expected by today's technology savvy consumer.
  • Next Gen ORCA will have fare instruments and distribution options for a wide spectrum of customers, from the unbanked to those using smart media with mobile products.
  • Open payment will provide customers with more options to pay, especially for infrequent and tourist riders.
  • Less cash fare payment reduces delay and dwell time for transit, improving efficiency and system performance and saving travel time, especially in downtown Seattle.

A Needs Analysis and Technology Survey were conducted as precursors to the ORCA Next Gen Strategy. As a result of these efforts, the ORCA Steering Committee determined the next generation system should be account-based and rely on an open architecture in order to increase the flexibility of the system, and be designed to accommodate both closed loop and open payments utilizing a variety of fare media. Tremendous growth is expected to occur in mobile payments in the coming years and to the greatest extent possible ORCA will be looking for ways to "futureproof" the investment. An open architecture will reduce reliance on a central system supplier for the interface of new devices or services. This flexibility may enable separate competitive procurements designed to lower acquisition costs and encourage responses that incorporate the best products and services.

Moving to an account-based system with near real-time processing of transactions provides lower operating and maintenance costs while offering a better user experience expected by today's technology savvy consumer. Next Gen ORCA will have fare instruments and distribution options for a wide spectrum of customers, from the unbanked to those using smart media with mobile products such as Apple Pay or Google Wallet.

With a system that accommodates open payments, Next Gen ORCA will seek to leverage new market-driven opportunities for fare payments by interfacing with the financial and wireless industries to accept a variety of contactless, open standard, fare payment media. This will provide customers with more options to pay, especially for infrequent and tourist riders who may not wish to obtain an additional, separate closed loop form of media. By continuing to offer the closed loop component of the system, however, it will ensure that payment media is accessible to all customers including those using transit benefits and the unbanked and underbanked.

Real World Challenges.

The implementation of Next Gen ORCA has challenges that will need to be addressed, including:

  • Multiple Partners: Seven agencies of different size, modes, complex fare structures, integration with many agency-specific technologies and organizational differences present program size and complexity challenges. This risk is mitigated by the extensive experience the ORCA agencies have in addressing these issues as part of the existing ORCA implementation.
  • New Fare Payment System: Account-based fare payment systems with open architecture and open loop payment capability are relatively new to the transit industry. However, this risk is mitigated by working with a consultant team with deep experience in this technology as well as continuing to review lessons learned by regions that are further along with implementation.
  • Timing of Replacement of Current System: The program schedule is driven by the expiration of the operations and maintenance agreement for the existing ORCA system at the end of 2021 and that most of the ORCA equipment will be at or well beyond end of life. A full analysis of potential mitigation strategies for this risk will be conducted very early in the program.
  • Transition to New System: Easing customer transition from ORCA to Next Gen ORCA is one of the single most important drivers. The transition period between systems includes customers using ORCA media at the same time as Next Gen ORCA equipment is being installed. Making this transition as seamless as possible will likely require the current ORCA vendor to provide support in allowing new Next Gen ORCA system components to interface with their ORCA backend system. To address this challenge, the existing vendor will be engaged early in the program.
  • Communication with Public: Negative publicity during the implementation may have significant impact on the success of the project both in terms of political support and user acceptance. This challenge will be mitigated by continued customer focus and engaged agency Public Information Officers.
  • Staffing Resources: Program success requires the agencies to have the ability to commit to the staffing support required to participate throughout the Next Gen ORCA program timeline, including Site Managers, Subject Matter Experts (SMEs), and other agency delegated point people. Additionally, in order to achieve alignment within each agency, there are expectations that regular communication is happening within the agencies. This risk is being mitigated by providing a three-to six-month look-ahead with anticipated resource needs prior to beginning each program phase and major task. Steering Committee members will commit appropriate staff as required. The ORCA Steering Committee is charged with informing and advising the ORCA Joint Board on program status, budget, risks, and issues. The ORCA Steering Committee consists of individual agency members selected and appointed by their agency Joint Board Member. Committee members constitute a cross-section of leaders with expertise in fare collections, policy, technology, operations and customer service. The Steering Committee has program scope and schedule authority within the budget authorized by the Joint Board.
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