Title
Resolution Authorizing the City of Greensboro to Enter into a Contract in the Amount of $320,705 with Delerrok Inc. for a Turn-Key Mobile Ticketing Solution
Body
Council Priority: Create an Environment to Promote Economic Development Opportunities and Job Creation
Department: Transportation
Council District: Citywide
Public Hearing: NA
Advertising Date/By: NA
Contact 1 and Phone: Adam Fischer, 373-2861
Contact 2 and Phone: Bruce Adams, 412-6237
PURPOSE:
The City of Greensboro Public Transportation Division participated in a joint Request for Proposals (RFP) process for a turn-key Mobile Ticketing solution, to be funded with a NCDOT grant. Delerrok Inc. was the selected vendor. Each participating agency is in charge of contracting with Delerrok for their agency needs. A resolution must be approved to authorize the City Manager to execute this contract.
BACKGROUND:
The City of Greensboro Public Transportation Division received a grant award from the North Carolina Department of Transportation (NCDOT) Public Transportation Department in the amount of $288,634 to purchase mobile faring technology for the Greensboro Transit Authority’s fixed route and paratransit fleet. The City participated in a joint Request for Proposals (RFP) process with the Piedmont Authority for Regional Transportation (PART) and the City of High Point for a turn-key Mobile Ticketing solution in April 2018. The partners selected the firm of Delerrok due to the comprehensive and innovative solution they proposed. This purchase includes their Touchpass mobile readers, which allows for electronic validation of fares purchased via mobile devices. Each agency is in charge of their separate procurement process. The City will be using this grant funding to purchase 119 Touchpass readers (covering both the fixed route and paratransit fleet as well as five spare units) and smart cards to replace the existing GO Pass.
While the grant funds will be used to purchase the necessary hardware, Delerrok will charge the City monthly per bus fees based on the amount of transactions occurring on the Touchpass readers. There is a fee of $0.10 per transaction for up to 49,000 transactions; transactions numbering between 49,001 to 196,000 has a fee of $0.05 per transaction; and transactions over 196,001 have a charge of $0.03 per transaction. The City Manager’s Office approved the Public Transportation Division to enter into a five (5) year contract with two (2) additional renewal periods of one (1) year for a potential total contract duration of seven years to take advantage of the transaction fees quoted.
BUDGET IMPACT:
NCDOT Advanced Technology Grant funding is available for this project in State, Federal, and Other Grants Fund account 220-4509-01.5235. Staff estimates the City will also pay approximately $36,000 in service fees during the first year of operation of the Delerrok Touchpass system. These service fees are based on the amount of transactions performed monthly and will be invoiced monthly.
RECOMMENDATION / ACTION REQUESTED:
The Department of Transportation recommends and requests that the City Council approve the attached Resolution authorizing the City Manager to enter into a contract with Delerrok Inc. for the purchase of Mobile Ticketing Technology.