is the a pass transition. it is happening for the november event in window. there has been a number of activities that have taken place to support that. what i want to talk about is some of the specific things that mtc has done to support it. mta will be talking about the planned activities in place but based on our lessons learned we have dedicated a special efforts to ensure a transition is moved. the first is we have increased staffing of the customer service center. we have added five additional staff this month. they have been trained. secondly, an important aspect is a refresher training for frontline personnel. they are our best chance at helping a customer when they are on the site trying to choose a card for the first time. we have given a change order and are providing additional

support. as well, we have just authorized last week additional outreach teams to serve as ambassador. implementing the decision for the frontline personnel are key teams at bus stations, other locations try to coach people, trying to teach them what is going on. you mentioned for this month only we have the existing fast pass members, that we are providing them with a pre loaded card so that people will not be left in the woods. what they will need to do is figure out how they are going to get their pass reloaded for next month. that is part of what the investors will be doing. here is your card, do you know what you need to do? based on our previous

experience, we had an outreach team that was pretty busy. i guess as well there were some questions about the vice performance of the readers themselves. we had a change order with our contractor where we're doing a campaign. they are inspecting the readers and making sure that they are operational. if not, we have an adequate spare supply so that we can ensure that availability of devices is within the 99% range. as well, the contractor is working with mta to ensure their maintenance staff are fully trained. we want to get the device is up to that level so that once the contractor goes away we want to make sure it stays there. it is just a matter of ensuring maintenance staff are sufficiently resources and are bringing additional staff and are trained to do the job well. that is happening right now. some of the people that should have been here today are out there making sure the devices

are going well. our goal is to get the devices up and make sure that were continues so that as we see these subsequent transition to occur, devices will be there working for the customers. that concludes our comments. i would be happy to ask any questions or we can transition over to the mta staff presentation. >> i did not expect there to be two presentations today. i am just wondering what your responsibilities are to each other for managing this, who is ultimately in charge of making sure that klipper is going to work in san francisco. >> mt si's job is -- job is to support mta in their transition. they are the lead. what i would say is we have been operating in the smart card with ac transit, golden gate, so we

have experience under our belts. we are not going to allow a gap to happen. for example, talking about the devices. ac transit was at about the same level for their buses. the institute -- they instituted some changes and now they are up near the 99% range. we have used the experience of what we did with ac and applied it here. we did not wait for need to figure it out. we have contractors that are assisting us. we have put quite a bit of effort into this. in our eyes, it has been a success. >> but at the end of the day, the policy stops with the mta. i appreciate you. thank you so much for working through these issues. >> thank you for the

opportunity to present this transition. >> good afternoon. just to clarify, we would like to apologize because there were two presentations. the overarching program, clipper, covers all of the issues, the of reach as well as the implementation. mt a certainly makes the policy decisions and are to be held accountable.

primarily the reason for two presentations are to address the specific issues from the m.t.a. site from which the mtc was not directly involved. they did support us in oversight. the automatic fare collection program, the project utilize two contractors. ours was the one that did all the infrastructure to get all of the old gates disconnected to get our systems and infrastructure preparations done. that is on track at about two and a half million dollars. the second contractor that is utilized for the installation is cubic. they perform the installation of the fare gates, the ticket vending machines, both displays for the subway stations. that contract value is roughly at $90 million.

the demolition and infrastructure preparations began earlier this year and were substantially completed in july. equipment installations began on august 2 and were substantially completed earlier this month. just a point of clarification, i think there was a lot of information in the media about the program cost being $30 million. i believe the publication or directing the cost at cubic. if you the contract is $90 million. the overall program to install the infrastructure is roughly $30 million. that program cost includes the to the contract, 19 million, a two and a half million for the job order contracting, as well as the administrative cost not only for the mta, mtc bargaining for their station, as well as the marketing outreach for

systems integration. it is an overall cost of $30 million. >> could you provide that budgeting to us after this meeting? there have been a lot of numbers that have been used. i just want to get a chance -- a sense of what the city has done. >> yes, sir. the new infrastructure is comprised of ticket vending machines, clipper cards, and the new limited use tickets for our cash customers. many machines all have credit, debit, and cash capability. each fare gate has a smart card reader with a separate magnetic card reader and it includes a new extra wide accessible gate. the new system includes new revenue ridership monitoring and control capabilities and it utilizes the central database that we already used for the

fare box system. it might help if we could count -- and to an overhead for the fare gate issue that was expressed earlier. it was unfortunate on september 17 the press found it necessary to demonstrate fare evasion that it illegally to bypass our gates. i will keep talking until we can switch over. >> are wanted to thank the presser for pointing this out. -- i wanted to thank the pressure for pointing this out. >> this program is not like any other program that mta implements. we complete our construction to a construction date and then go back to compare the performance with the contract to make sure that we have everything that was

paid for. it is not unlike the vehicle programs were vehicles are produced, procured to us to burn in. during that time, we find a idiosyncracies, inadequacies, things that we did not expect. this type of program is a technological program. in a technology contract you have a where you have to settle in. -- you have a period where you have to settle in. what i mean by that, the logic. does the logic that was written in code devised of each element in infrastructure, does it perform the way it is required? in july, in the test lab, we found we had a potential vulnerability with our sensors. vulnerability was related to the fact that we procured infrastructure that was standard contractor infrastructure. we did not reinvent the wheel. it saved us money in design

cost, retooling costs, and in doing that, most of the infrastructure has been utilized in agencies around the u.s. which are gated forbearers systems. what i mean by that is the inflows that you have to tap into, if you do not use the tap out mechanism that is inherently in this infrastructure, it puts a burden on the sensors to identify if someone is in the lane wanting to fix it. the center logic that we found in july was at a logic that allowed a patron on the outside or unpaid area to be able to circumvent the sensors that are trying to denote whether someone is in a lane exiting. in this graphic, this is the typical fare gate arrays. what you see is a set of gates

and the gates are installed in a location where our bare walls war -- open and close. each fare gate plane has a set of five sensors. these centers operated in logic to control the gates. in open mode, if a patron is entering, they hit the target and it overrides the centers on the exit mode and entry is formed. the exit mode, -- i am sorry. you have a question? in the exit mode since we are not using a tap out function, the beings have to form that logic to allow the gates to open.

we have targeted readers at each gate for entry. magnetic readers are temporary. as i mentioned earlier, we had a problem in july. the problem with the normal logic was found in some of our testing in which we use our staff. part of our testing team, a lot of our operations personnel was part of the testing team to put the gates through tests. it is just unfortunate, that at that time, we determined we would go ahead with the installations and we would also parallel a software update that we would roll out at the end of the installation. it is unfortunate that factions

>> from my standpoint, the public was mystified as to why there was a decision to implement a tapping, tap out system. i wonder if you could talk about that decision, why was that not something that we figured out beforehand? it seems like an obvious problem with what you implemented. >> logic would drive you to believe that would be a simple enough system to utilize. however, we have a combination system that is needed in the subway, yet it is open in the avenues. you can open -- enter the vehicles through the doors and you do not even need to tap to enter the vehicle. we knew it was going to be a huge transition period to move from our magnetics and multi types of their media to start types and it would be difficult

on our patrons if we drove the paper media away initially. utilizing a tap in, tap out would not deal with the people having the paper transfers, the people with other types of their media. we chose not to activate that out. it is still a component of our gates. at such time that we feel the transition is strong enough, we move most of our products over to the smart clipper card. it is time for a policy change. the agency will then take a look at at tap out technology. supervisor dufty: how many vendors did you look at? how many criteria? what kinds of technologies did you evaluate? >> the program itself is actually very old.

starting the initial look at the vendors. in the transition of the contractors on the translink clipper card side, when cubic took over on that side we would remove the technology and moving the fare gate system and the

opportunities that push us in the direction to analyze cubic was american recovery and investment act funds. the funding team available was enough to move was in the direction, saying that we had to be shovel ready. we were not in the place to do a full performance check. it was a sole source situation and not through city contracting. by virtue of the fact it was a contractor. the mta was granted the funding, but the m o u and partnerships that the mtc had utilize their contracts. supervisor chiu: having this competitive contracting process

is an important point. the fact that we had problems with this that were publicized greatly by the press that came out of it, it gives me a lot of concern and it is something that i think that many of us will be monitoring as it proceeds. >> the fare gate issues, circumventing the sensors, oct. 3rd be deployed the software updates we have been working on since july. this deployment reconfigured the sensors and open logic to mitigate the methods demonstrated. the second stage of software deployment happened on october 15, where the contractor used new configurations for station flow. if we could switch back to the power point, i could go to the remaining slides.

the limited use ticket recovery process feet, which became an issue recently, the new ticket vending machines issued limited use tickets for cash customers. we had instituted an issuance fee on these cards intended primarily to recover costs on the ticket and the kurds the use of the full clipper card so that over the life of the program the agency was not expending a tremendous amount of funds to purchase limited use tickets that would be only for a handful of trips. in the recent budget date budgeted approximately $2 million in revenue recovery directly through the cubic contract at 30 cents per ticket. since then they have suspended

the feet. october 1, easing the transition process for the customers. we are currently soliciting bids from other vendors for subsequent ticket orders and ticket costs in the range of 69 cents per card. about 50% of the cost we have been paying to a contract. we are also evaluating options to currently close the budget gap caused by the fis suspension. >> can you tell us if you think this be will be proposed again? >> we believe that if we can get strong enough competition on these cards, and the card prices are continually coming down. but they do not level out, finding the cards at 16 cents per card now, one year from now we firmly believe it will be even lower. if that is the case we believe that we will not have to

institute any other types of fees for the cards. supervisor chiu: is that how similar the vending machines for limited use, but they charge? do they have charges like this? >> some of them do, some of them do not. much of it has to do with how they deploy their products. i know that in atlanta when the program was rolled out, the cost for their limited use cards were 42% per card. since the time of the rollout in 2006, they have found other ways to transition their customers over to the final product. the hard card, but can be used an unlimited number of times. they have diminished the use to defray the costs.

clipper our reach, the out reach that mtc controls in the region, it bears saying here that the agency has done extensive outreach on the program. it is a learning process as we get through it, but we believe that our average efforts have paid dividends as well as established a lot of the positioning for future policy changes that may in the future help us to transition to people from magnetics and fair media. the materials we have been putting out are multilingual. english, spanish, and chinese. we recently added russian, specifically for the materials in the distribution within the city. as those, this month, the type about reach we have done for the

events and senior youth card applications, we have spent over 2400 hours of personnel at the fair gates in september to assist customers in transitioning to our new system. we had 93 new mobile distribution events in bus shelters. this was primarily for adult card distribution. there were 86 low-income, sr., disabled events. with 14 youth outreach events. it sounds like a lot, but it is only scratching the surface. we have a tremendous amount about reached to continue with. as we go through the efforts we are finding more and more places to go and ways to deal with the out reach. >> thank you both for the

efforts you have done already. i would like to reiterate the questions around what are the plans for providing multiple language information around the vending machines, updating the website, doing the same. i was highly encouraged continuing education workshops. i think that the media has done a good job of doing what they can, but obviously not everyone reads our newspapers or watch television when dealing with word of mouth or on the ground type campaigns with community- based organizations and other direct outreach efforts. my suggestion is that that would be a fruitful way to market. >> on the ticket vending issue, currently the machines are trilingual. rudimentary. we are working on a software update, i believe. in the middle of november we should roll out an update to the language used and functional use

in the three different languages. it will be the next step. i do not think it will be the end of it, we will have to continue to work on updates that provide better communication to our customers. is there anything else that we need to add? >> i think that the only additional thing to be bad is that we work closely with mtc to make sure that we are utilizing all of the resources possible to maximize the out reach that we do, supplementing whenever necessary. >> i wanted to mention that i know that this hearing has lasted longer than expected. i think that supervisor avalos and dufty have to leave, so i will assign myself to this committee for the purposes of maintaining forum. >> so that we can move on to other questions might have, i

think you alluded to the fact that we were utilizing the media. i think we have a fairly robust program where we utilize the radio, television, and the internet. we have been putting out facts to our customers. the team has also been conducting weekly customer service conference calls with mtc personnel where we identify issues and solutions, attaching those issues to the solutions. that concludes my presentation. we have a full complement of staff that can answer questions. supervisor chiu: i have a couple of follow-up questions. talk about the repair and maintenance projects as i have seen them, not being able to expect the cards? >> let me step back and broaden

that question. we have had difficulty on two fronts. not so much with variegate targets right now, but our primary focus is on the difficulty within the trolly and the rolling stock. these are older generations that were installed under the previous contractor. they are still good. the technology is still good. however, they have been installed since the spring of 2007. there was a time when fingertip maintenance was being done by the contractor. however, that has done -- that has gone by and it is incumbent on the agency to do the maintenance on those pieces of equipment. mtc spoke earlier about assisting s with staff training and using techniques that golden gate had employed to try to get the percentage functioning up on

those targets earlier. the fare gate target and infrastructure maintenance, the way it is established right now, we have a one-year contractors warranty and maintenance that is currently being reviewed with extended warranty opportunities. primarily because the operating budget is so constrained right now, it would be difficult for us to focus a hiring campaign on maintainers in a short period of time, maintaining that equipment in the opera will fashion. there is the opportunity to extend the maintenance. we simply have not had our final decision with that or got uncomfortable with the numbers yet. in the long run, what the agency intends to do is utilize our staff to maintain the equipment.

if we employ an extended maintenance. through the contractor, we intend to, throughout the normal hiring process, those that we are bringing on board and training emphasizes the contractor learning the system so that at that point when the maintenance time is over, we can supervisor chiu: take overchiu these talk -- over. supervisor chiu: these talk about the operation and maintenance of these copper cards for the historical vehicles in the city. >> i would like to defer to greater green power on that. supervisor chiu: it is very confusing right now, especially for regular cable car writers. >> cable cars can be incorporated when we have a device that can read the card