Research Overview

Multi-Modal Integrated Payment Systems are integrated, interoperable electronic fare payment systems that can be utilized by all modes at all times.

The vision for the Multi-Modal Integrated Payment Systems research is to deliver to travelers the ease of use and convenience that comes from one payment system that can be used across modes. Transportation agencies will benefit from simplified transactions, streamlined revenue collection, improved efficiency, and lower transaction costs.

Research Goals

• To research the national policy requirements and investigate technological options for an interoperable, multi-modal payment platform.
• To identify target markets of early adopters that demonstrate the greatest sustained value in having integrated electronic payment formats.

Research Approach

This research program assesses the impediments to deploying multi-modal, integrated payment systems (MMIPS) and identifies whether there are opportunities for markets and business models that would lead to sustainable markets for these technologies. While the private sector has done much to develop and deploy electronic payment technologies for transit and tolling systems, further research is needed to extend these systems across all modes by addressing interoperability.

The FTA and the FHWA will cooperatively investigate the potential for multimodal, integrated payment systems. In partnership, they will build upon previous research into electronic fare payment systems, tolling systems, parking reservation and payment systems, standards, and back-end financial transaction models that currently support transit and highway systems. New research will begin with a feasibility assessment of integrated systems, including analysis of new and emerging technologies and models for operations, financial transactions, and consumer electronics capabilities. This first phase will assess the platform of various electronic payment techniques and technologies, such as smart cards, bank-owned cards, cell phones, personal digital devices (e.g., BlackBerry, iPod), and transponders.

Further research will be conducted to determine the ITS standards needed to create an open architecture environment. Research will also be done to evaluate the technological capabilities and flexibility for identifying and assigning fees based on usage of the system. Finally, research will be conducted to identify benefits and costs.

If it is determined that an integrated, multi-modal system is technologically feasible, non-technical research will address institutional issues and customer acceptance, assess market opportunities, analyze back-office clearinghouse operations, and develop one or more business models for consideration in developing policy options.

The research is expected to result in the demonstration and evaluation of an integrated system comprised of transit bus service, parking, and tolls.

Research Outcomes

The outcome of the research will result in the facilitation and expedition of multi-modal, commercially-available, regionally-integrated, next-generation electronic payment systems that accept multiple payment media and are cost effective.

Research Contacts

Yehuda Gross
Program Manager, Transit and E-Payment
ITS Joint Program Office
Research and Innovative Technology Administration
(202) 366-1988
yehuda.gross@dot.gov