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Utah Transit Authority to install new ticketing system that supports both closed and open loop payments

By Tom Phillips • 27 April 2023 • Updated 2 May 2023 • nfcw.com
Utah Transit Authority (UTA) tram
TICKETING: UTA is investing in a fare collection system that enables open and closed loop payments

The Utah Transit Authority (UTA) in the USA is to implement a “next generation” account-based ticketing system that will support both open and closed loop contactless fare payments, mobile ticketing, flexible fare structures and fare capping across its public transportation networks.

The authority’s board of trustees approved an eight-year US$32m contract that covers a three-year supply and deployment period and a five-year post-deployment period for “a fare collection system that is fully compliant with PCI security standards to enable open payments” at a meeting last month, UTA says.

“Included in this procurement, UTA will purchase and install new fare validation hardware for all buses and rail platforms, new ticket vending machines that will vend tokens for the closed-loop accounts, and mobile inspection devices to be used by authorized employees to perform electronic fare validation functions,” the meeting minutes reveal.

System requirements

UTA  originally issued a request for proposals for the new system in May 2022 after conducting a study of its existing systems that “reported disparate fare collection subsystems that have neared or exceeded their useful life and, in some instances, become unsupportable”.

The new system “must support UTA’s fare structure, including flat fares, discounted fares, station-based fares, transfer credits and fare caps. This system must also support three account types: 1) closed loop, 2) open loop and 3) sponsored accounts,” according to the original request for proposals.

“Additionally, this system must integrate with existing trip planning, operations management and reporting systems. Finally this system must support core functions such as fare validation, trip construction, fare calculations and payment processing.”

“UTA also intends to procure a mobile app that will enable smartphones to function as tokens to prepaid closed-loop accounts. Patrons must also be able to utilize this mobile app to manage closed-loop accounts (eg reload value). Patrons must also be able to utilize this mobile app to purchase fare tickets,” the request adds.

The transit authority has selected transport and parking solutions provider Scheidt & Bachmann to implement and host the new account-based ticketing system.

UTA was one of the first transit authorities in the US to roll out open loop contactless fare payments but stopped accepting fare payments made with general-purpose cards and mobile wallets because of low uptake levels in September 2018.

Next: Visit the NFCW Expo to find new suppliers and solutions

Explore: Scheidt & Bachmann, Utah Transit Authority (UTA)

Learn more: Account-based ticketing, Closed loop, Contactless, Contactless mobile payment (CMP), Fare capping, Mobile payments, Mobile ticketing, NFC Mobile Payments, Open loop, Travel and ticketing

Territory: USA

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