SEPTA postpones 'smart-card' faresSEPTA postpones
 

By Paul Nussbaum
The Philadelphia Inquirer, August 20, 2009
SEPTA has postponed for a fourth time its deadline for a "smart-card" fare system.

The latest deadline is Sept. 30 - 61/2 months after the original March 17 requirement for manufacturers to submit proposals for an electronic system to replace tokens and paper tickets for its buses, subways, trolleys, and trains.

SEPTA has also decided to seek federal stimulus funding to help pay for the new fare system, its chief financial officer, Rich Burnfield, said Tuesday.

SEPTA will apply for about $100 million from a $1.5 billion federal grant program for national and regional transportation projects. The Obama administration will announce the winners of those grants on Jan. 15.

Passengers would be able to wave a smart card at a sensor on a turnstile or fare box and be on their way.

SEPTA says it wants a system that will allow passengers to use credit cards, prepaid SEPTA cards, and even cell phones to pay for their trips.

The process has fallen far behind the schedule announced by SEPTA in November, when the agency said it hoped to award a contract by April. Now the contract is unlikely to be awarded until at least late fall.

It will be several years before a system can be built and installed.

The system is expected to cost about $100 million, although SEPTA has urged bidders to offer innovative financing proposals, such as public-private partnerships, to reduce the cost to the agency.

That novel financing request has made providers wary of bidding on the project, and General Manager Joseph Casey said "only a handful" of vendors were likely to bid. Two contractors, whom he declined to identify, asked for an extension from Tuesday's deadline.

SEPTA officials Tuesday tried to put a positive face on the latest delay, saying improving financial markets could ultimately mean better funding offers from vendors.

"We're hopeful this is the last extension we're asked for," said John McGee, SEPTA's revenue and ridership chief. "We know our customers and our board are looking for something new."