Installing Taxicards in Subsidized Taxi Programs

transcript

Using Taxi Cards in Subsidized Taxi Programs What role should new technology play in the context of the ailing taxi industry?

A Presentation by Terra Curtis

September 27, 2016

International Conference on Demand-Responsive Transportation

Nelson\Nygaard Consulting Associates

How Taxi Vouchers Work from a Cash Flow Perspective

Taxi Cards: A Better Way?

Replace paper with digital solution

Like a bank debit card – Put money in an account – Charge taxi rides

Used for ADA supplemental taxi

subsidy programs in San Francisco, Los Angeles, Chicago, and other cities

Source: SFCTA

Benefits

Customers – No more paper to carry – Opportunity to reload value online – Nothing to print, mail, or keep safe

Drivers – Easier payment processing

Companies – Simpler invoicing

Cities – Fraud protection and automated trip validation – Real-time record of trips – Flexibility to change program rules – Cooperation among cities

Alameda County City-Based Taxi Subsidy Programs

CASE STUDY

Available Products & Vendors

MJM Innovations CabConnect

Pre-Paid Debit Cards

Swipe technology

Integration with PSP units (and meters)

Vendor-provided hardware

Vendor hardware integration with meter

Real-time Trip Data

Integration with Eligibility Database

Flywheel Integration

Flywheel and TaxiOS – Taxi hailing mobile app and fleet management software

Source: Flywheel

Mixed Regulatory Environment

Berkeley – All taxis required to accept scrip – Not required to accept credit cards

Fremont

– No provision related to credit cards

Hayward – Recent revisions require credit card

acceptance and centralized radio dispatch

Oakland – Required to accept credit cards – Potentially will require trip data tracking – Fleets with more than five vehicles

required to have radio dispatch

Region – Clipper Card Updates, East

Bay Paratransit fare payment

Taxi Market Considerations

None of the taxi companies have payment devices compatible with either vendor’s debit card products

Facing challenges attracting/retaining drivers Lost business due to competition from TNCs Limited wheelchair accessibility

Benefits and Costs

Estimated Annual Implementation Costs

Potential Annual Cost Savings

MJM: $128,434

CabConnect + Flywheel:

$65,074

$64,150

Costs and savings estimated over a 5-year period for both systems implemented in Hayward, Oakland, and Fremont

Cost savings include reductions to printing/mailing and reduction to program misuse

Outreach/communications costs not included (will remain the same)

What’s happening now?

What is the role of technology in the context of the ailing taxi industry?

Terra Curtis

415-284-1544 tcurtis@nelsonnygaard.com

Thank You!

Marin’s Paperless Voucher System

MJM – Debit card – Payment processing hardware

CabConnect

– Debit card – Payment processing hardware

smartphones (partnership with Flywheel)

– Used in San Francisco Source: MJM Innovations

Taxi Market Considerations

Berkeley – All taxis permitted in

Berkeley required to accept scrip

– Five taxi companies service majority of trips, but many owner/operator companies

Fremont – One contracted provider – Non-accessible, use mobile

payment app

Hayward – One contracted provider with

multiple business arms – Enterprising owner, willing to

work with programs but payment hardware not connected to meter, GPS

Oakland – Two contracted providers,

using mobile payment app

Installing Taxicards in Subsidized Taxi Programs

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