Three Years on, Results are Mixed for California’s Bold Move into Modularity for Open-Loop Procurements

After three years of operations, the California Integrated Travel Project, or Cal-ITP­, the state’s program that in part seeks to help mostly small transit agencies in California and elsewhere in the U.S. to purchase open-loop technology–has shown mixed results.

The “Mobility Marketplace,” perhaps Cal-ITP’s flagship offering, was considered California’s bold move into modularity when it opened for business in early 2022.

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Updated: Small U.S. Transit Agency Decides Not to Save Much-Used Closed-Loop Card; Replaces It with Open Loop

A small U.S. transit agency in northeastern Pennsylvania has launched open-loop payments, with plans to shut down its closed-loop card program, which is used for more than half of its rides but which would have required a major overhaul.

The agency, the Monroe County Transportation Authority, or MCTA, which delivers

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Small Transit Agency Buying Through Cal-ITP Sees Open-Loop Transaction Value Climb

Humboldt bus

Open-loop transaction value doubled for a small California bus agency last month, although credit and debit card payments still represented a small share of total fare revenue, Mobility Payments has learned.

The gains for Humboldt Transit Authority, in far Northern California, present perhaps a typical snapshot of one of the small municipal transit agencies that is buying its equipment through the state-backed Cal-ITP open-loop procurement program. The program is serving a few larger agencies, as well, and recorded its biggest quarter to date in terms of orders of nearly $1 million during the third quarter, as Mobility Payments reported.

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California Open-Loop Procurement Program Has Another Disappointing Quarter, with Low Orders and Adoption

Anaheim bus

Vendors with master service agreements under the California Integrated Travel Project, or Cal-ITP, received orders for validators of just under $70,000 combined, with gateway and inspection fees accounting for another $11,200.

The updated figures come from records obtained by Mobility Payments from the California Department of General Services.

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California Open-Loop Procurement Program Notches Second Out-of-State Project, but Overall Take-Up Remains Low

Capitol Corridor

After more than two years, the California Integrated Travel Project, or Cal-ITP, is still seeing low orders from transit agencies and minimal open-loop transactions, but the program did notch its second project outside of California, Mobility Payments has learned.

Among recent records obtained by Mobility Payments show a validator order for

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Two Years On, California’s Open-Loop ‘Mobility Marketplace’ has Failed to Take Off, though Deal May be Coming

Cal-ITP card at terminal

The California Integrated Travel Project, or Cal-ITP, did not add any new transit agencies for the third quarter in a row, as of end of 2023, and open-loop transactions remained low two years after the program began, records obtained by Mobility Payments show.

That could change during the first or second quarters of 2024, with a significant new project likely

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In-Depth: Open Loop ‘Mobility Marketplace’ Sees Few Orders or Launches During First Year; Backers Contend More Projects in Pipeline

Card tapped at terminal-California

California’s bold experiment into helping transit agencies procure technology to launch open-loop payments is off to a slow start, with only eight agencies–most very small–placing orders with state-vetted vendors through December, Mobility Payments has learned.

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