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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

OVERVIEW OF ELECTRONIC FARE PAYMENT SYSTEMS

The collection, processing and safekeeping of passenger fare revenues and ridership data are essential and important to a public transit system. The development of registering farebox systems and advancements in support technology and software systems has provided the transit industry with a number of advances and efficiencies in the fare revenue and passenger recording structures. Electronic Fare Payment (EFP) systems, also known as Automatic Fare Collection (AFC) systems, use electronic communication, data processing, and data storage techniques to automate manual fare collection processes. The use of this technology makes fare payment more convenient for travelers and revenue collection less costly for transit providers. EFP systems reduce labor-intensive cash handling costs and risk of theft, improve reliability and maintainability of fare boxes, and permit sophisticated fare pricing – based on distance traveled and time of day. EFP systems permit the automation of accounting and financial settlement processes and creates multimodal and multi-provider transportation networks that are seamless to the rider, but operationally and organizationally sound for multiple providers. Electronic fare media – either in the form of magnetic stripe cards or smart cards – are capable of storing information in a read and/or write format. Magnetic Stripe Cards: The most common type of electronic media used in transit EFP systems is the magnetic stripe cards – standard “credit-card” sized devices using international standards (ISO) for the encoding of digital data on a machine readable magnetic stripe embedded on the card. The inexpensive cost, proven technology, and high consumer acceptance of magnetic stripe cards have made them successful in the transit industry. Magnetic stripes can be imprinted on cards made of heavy paper, thin plastic, or heavier plastic such as that used for standard credit cards and ATM cards. A number of transit authorities use read-only magnetic stripes for buses and subways. Magnetic stripe cards that are read-write capable can also be used as stored value cards. Stored value fare cards hold value worth more than one transit fare. Because fares are deducted in an automated fashion, time-based and/or distance-based fare structures are possible. Stored value cards also store information that can be used in multi-operator transit networks. Trip origins and destinations can be recorded on cards and subsequently read and used to split revenues between the different transit operators. Magnetic stripe cards can also be used as an “electronic purse” where stored value can be used for small purchased from cooperating merchants.
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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

Smart Cards: Smart cards, sometimes called integrated circuit (IC) cards, are similar to magnetic stripe cards – but store the information on an embedded microcomputer chip rather than the stripe. The term “smart card” is a generic name for cards that vary in their sophistication and design. Most smart cards require readers like the magnetic stripe cards, but with specialized contacts. The two types of smart cards used in the transit industry are: • Contact Smart Cards: Integrated Circuit (IC) smart cards each contain a microcomputer in addition to electronically erasable programmable memory (EEPROM) and read-only memory (ROM). The EEPROM can be used to store information on the cash content of the card (use history and other data subject to change). ROM is used for storing the microprocessor’s operating program, as well as card identification number for some transactions, guarding against tampering, and providing for data encryption, for security and privacy purposes, if necessary. Proximity Smart Cards: Proximity, or contactless, cards can be used for identification purposes. Proximity ID cards simply identify their presence in the vicinity of a cardreading unit. They also share similarities with non-rewritable stripe cards such as ATM or credit cards. They are used for keyless entry systems, personnel identification, and inventory security in stores. In transit fare applications, they provide the operational capabilities for time-based and distance-based fare structure, inter-modal and interoperator transfers, and ancillary use as an “electronic coin purse” for small non-transit purchases with sophisticated security capabilities.



Smart cards offer the following benefits over magnetic-stripe media for use in multipurpose arrangements: • • • The higher expected reliability of smart cards and the supporting equipment The greater data and processing capabilities of smart cards The move toward adoption of smart cards by the banking and financial services industries – and the potential for joint arrangements

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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS Cost Categories for EFP Systems: The major cost categories to be considered when planning for new EFP systems include: • System design and development effort • Procurement and installation of fare collection and dispensing equipment • Procurement and installation of computer system • Installation and modification of communications system and infrastructure • Purchase and production of fare media • Day-to-day administration • Maintenance and repair • Marketing • Sales and distribution • Revenue accounting • Training (administrative, maintenance, operators, and the passenger) Target Objectives and Benefits of EFP Systems: The introduction of electronic fare payment would be expected to produce various benefits to a transit agency. These include: • • • Improved flexibility: in terms of the range of fare options that can be offered and the ability to modify the fare structure Improved revenue accounting and security: in terms of improved ability to track transactions and discourage employee theft or mishandling of fare revenues Reduced fare abuse: including reduction of counterfeiting of media and short payment or illegal reuse of media (primarily transfers). If bill and coin validators are part of the farebox system, the use of foreign currency, arcade tokens, and other forms of non-valid currency are eliminated. Improved ridership data: generated from fare payment Reduced operator and rider interaction and administrative and operational requirements: that is, related to the need for operators to sell and verify the validity of media (e.g., flash passes and transfer, in particular) Improved convenience for riders: for purchasing and using the media Ancillary revenue: from float and unused value on stored-value cards Expansion of employer programs: passes easier to distribute through employer programs, often at subsidized rates, thus promoting new passengers and additional revenues
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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

The additional advantages of contactless card systems for transit agencies are as follows: • • • • Potential for lower fare collection equipment maintenance costs, because there are no moving parts in the read-write units Greater reliability of equipment, because there are no open slots that can be jammed (e.g., from insertion of foreign objects) Greater convenience for riders, especially for elderly and disabled riders who may have difficulty inserting a card Faster boarding of buses and entry through turnstiles

FLORIDA EFP CASE STUDY: PINELLAS SUNCOAST TRANSIT AUTHORITY

Introduction: Florida’s Pinellas Suncoast Transit Authority (PSTA) was selected as the transit agency to present a case study of the implementation of the Electronic Fare Payment system technology. PSTA provides public transportation to Pinellas County, Florida – with the major metropolitan areas of St. Petersburg and Clearwater. PSTA currently operates 133 buses in the peak period and carried approximately 10,119,000 passengers annually. PSTA, similar to many public transportation systems, has progressed through different types of fare revenue collection systems. The most recent history being:  Installation of GFI Genfare CENTSaBILL electronic registering fareboxes in the late 1980’s Upgrade of the CENTSaBILL units with the addition of the Ticket Reader/Issue Machine, commonly referred to the GFI TRiM unit, in 1995 System-wide transition to the GFI Genfare Odyssey Electronic Revenue Center system in mid 2001





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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

Overview of GFI Genfare Systems Used By PSTA: To provide the reader with an understanding of the features of each of the three phases of GFI Genfare revenue collection systems used by PSTA – as well as the upgrades and additional features and benefits provided by each subsequent technology – a brief overview of the GFI Genfare revenue collection systems is presented. The GFI Genfare’s CENTSaBILL Electronic Registering Farebox provides for the rapid collection and driver verification of deposited coins and dollar bills in a high-security setting. A 16-button keypad allows the driver to record fare types. Route/run segmenter software provides additional data reporting capabilities as well as complete breakdown of passenger and revenue information. The CENTSaBILL cashbox has tamper-proof electronic identification numbers, automatically locks when removed, and has separate sections for coins and bills. Several optional features are available to provide enhanced security, transactional database software, transfer printers, and the Transfer Reader/Issue Machine (TRiM). The GFI Genfare Transfer Reader/Issue Machine – or TRiM – is an optional accessory to the CENTSaBILL farebox. The TRiM prints and issues magnetic tickets or transfers using inexpensive, non-negotiable, paper or plastic stock. TRiM also automatically reads and validates transfers issued by other TRiM units. It can process all types of magnetic documents, allow maximum fare collection flexibility. TRiM units require the magnetic ticket media to be passed through the reader. In conjunction with the CENTSaBILL system, revenue and passenger data are recorded. The latest generation of GFI Genfare bus mounted farebox systems is its Odyssey Electronic Revenue Center system. The Odyssey consolidates all functions in one space saving unit, providing new and innovative features as well as improving data registration, security and ease of operations. The Odyssey is supported by a new GFI data system that provides built-in custom operations and report generation. The system is transactional based and includes revenue reports, card usage reports, fleet operations reports, and security/audit reports. The Odyssey can be programmed to accept cash, proximity smartcards, credit cards, transfers and magnetic cards. The Odyssey accepts and validates coins and bills; and, returns unacceptable coins and bills to passengers. The Odyssey is supported by GFI’s V7 data system software that works with the Windows 95/NT operating platform. The V7 ODBC export option transfers the GFI V7 data files in standard data base format for special reporting by most commercial applications, including adhoc reporting and spreadsheet programs. The V7 data system is LAN compatible.

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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

Additional information on GFI Genfare products is accessible from their website: http://www.gfigenfare.com/. Similar information on other vendors supplying EFP fare collecting systems can be obtained by visiting the American Public Transportation Association (APTA) website: http://www.apta.com/sites/business/farecol.htm.

GFI Genfare Budgetary Price Quotations: January 2003 GFI Genfare provided budgetary quotations for their two EFP bus mounted farebox systems. These quotes were provided for budgetary purposes for an imaginary 100 farebox bus system, assuming no available existing reusable equipment. Actual prices would vary with time, system needs, and existing situations. One final caveat was that these costs did not include any capital improvement costs related to necessary modifications to money counting rooms, etc. With those caveats, full 100 unit fare revenue collection systems with all necessary support equipment, tickets, spare parts, and installation were estimated to cost: GFI Genfare EFP System   CENTSaBILL with TRiM Units Odyssey Total Price $1,142,450 $1,319,199 Unit Price $11,424.50 per unit $13,191.00 per unit

PSTA’s Transition Process of Adding TRiM Units to CENTSaBILL Fareboxes: The following section will attempt to highlight the background, actions and results related to PSTA’s decision to add the GFI Genfare TRiM units to their CENTSaBILL fareboxes in 1995. First, PSTA’s strategic approach was directed toward these issues:  Improving the farebox recovery ratio  Establishment of value-based fares while encouraging increased ridership and new riders  Streamlining the bus operator’s responsibilities in handling fare collections  Making the boarding process more efficient and user friendly The conclusion was that all of these strategic issues could be positively impacted by the elimination of transfers. This lead to PSTA’s decision to add TRiM units to the existing CENTSaBILL fareboxes. This represented a $540,000 capital purchase which was funded from Federal Transit Administration funding.

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With implementation of TRiM units PSTA also introduced the following changes to their fare structure:       Base fare stayed at $1 Eliminated 10 and 20-ride punch cards Added 20-ride premium card for express service at $27 Monthly passes transitioned into “31-day passes” and the prices increased from $38 to $40 for regular and stayed the same ($25) for reduced fare. Weekly pass transitioned to 7-day pass and its price increased from $11 to $12 A daily pass was introduced at $2.50 regular and $1.25 reduced.

PSTA’s TRiM units special features:    Permitted the sharing of the farebox logic for tasks such as issuance, receipt, reading, writing and printing of fare cards Encoded and issued a fare card or emergency transfer from the TRiM unit, utilizing magnetic stripe ticket Received previously encoded fare cards, with date, and time.

PSTA Results With TRiM Units and New Fare Structure: The following table documents the positive impacts that the TRiM units and the revised fare policies had on PSTA ridership, passenger revenue, and use of pre-paid passes for the first two years following installation and implementation:     Revenue passengers increased 9.1% The increase in passenger revenue was even more pronounced, increasing by 27.4% The average passenger fare increased by 18.3% The number of passengers using pre-paid fare media rose from 17% to over 60% FY 94-95 7,993,849 $4,832,700 $ 0.60 16.8% 15.0% FY 95-96 FY 96-97 8,299,915 8,717,827 $5,727,235 $6,157,84 $ 0.69 56.6% 50.1% 5 $ 0.71 60.2% 54.0% % CHANGE +9.1% +27.4% +18.3% ----Page 7 of

Revenue Passengers Passenger Revenue Average Fare % of Passengers Using Prepaid Fare % of Revenue Using Prepaid Fare

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Next Assessment of PSTA Fare Collection Technology and Structure: As PSTA’s original GFI Genfare CENTSaBILL fareboxes aged, their reliability decreased and maintenance requirements increased, PSTA decided to pursue an assessment of the fare collection policies and system. In early 2000, working in cooperation with the Pinellas County MPO, PSTA contracted with the consulting firm of Tinsdale-Oliver and Associates, Inc. of Tampa, Florida to conduct an assessment of the PSTA fare collection technology and structure. This report examined several factors related to the fare collection process, including: a review of the existing system, data collection needs, fare strategies and payment options, and a review of technology. The study was completed in July 2000 and among the recommendations, those related to farebox systems and technology were:  To replace the aging fare revenue collection system due to its reduced reliability and increased maintenance requirements. That the new system be upgraded to a state-of-the-art magnetic stripe technology, which supports period passes, stored-ride card, and stored value cards and have the capability of accommodating contact smart cards in the future.



Based upon the findings and recommendations of this study, PSTA made the decision to pursue the acquisition of an upgraded EFP system. PSTA Procurement Process for the GFI Odyssey: The following provides a summary of the process used by PSTA in 2000 to procure their new GFI Odyssey electronic revenue center system.  PSTA developed a Fare Collection System Committee comprised of all PSTA directors, managers, lead supervisors, and supporting staff. Based on findings from the Tindale-Oliver report and the report from the PSTA staff member who attended the APTA Fare Collection Workshop, the Committee was informed that there were only three viable vendors for the desired EFP farebox system: o GFI Genfare – Elk Grove, Illinois o AGENT Systems, Inc. – Dallas, Texas o Cubic Transportation System, Inc. – San Diego, California Subsequently, Cubic informed PSTA that it would not be pursuing the contract.  PSTA hosted vendor demonstrations for both GFI Genfare and AGENT.
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In addition to the vendor demonstrations, PSTA also contacted other transit properties that were using these two farebox systems. On November 16, 2000, the PSTA Fare Collection Committee met and made the recommendation that it would be in the best interest of PSTA to pursue the purchase and installation of the GFI Genfare Odyssey fare revenue system. Among the Committee’s justifications were: o GFI Genfare was a strong company in the transit industry with which PSTA had a good working relationship for over 10 years o The PSTA revenue rooms in both operating divisions could be used with no modifications. All fuel lane probes, receivers, and vaults could be used. Modifications would be required with AGENT. o The Odyssey system did not require more than one cash vault per bus, as did the AGENT system. o The Odyssey fareboxes had built-in cassettes for tickets, AGENT did not. o The Odyssey fareboxes were built as one complete unit, with the separate driver control unit. The AGENT system was three units, with the Wayfarer ticket machine mounted separately from the farebox. PSTA felt the close proximity of the ticket issuer/reader to the farebox was critical for both space concerns and to provide the bus operator better control of the fare collection process. o The Odyssey farebox could be operated in by-pass mode during any periods of malfunction. AGENT could not. o The base prices for either unit were the same – $10,000 per farebox. o AGENT did not offer any contactless card technology. Odyssey provides for that option. o The GFI Version 7B software offered transactional information and pass/ticket monitoring. o GFI offered a trade-in value for existing equipment.  The PSTA Board of Directors approved the recommendation to purchase the GFI Genfare Odyssey fare revenue system on January 21, 2001.  Purchase orders were subsequently issued in a total amount of $1,925,250 to purchase 164 fareboxes and supporting equipment – which is $11,965 per farebox unit.  The GFI Genfare Odyssey system was installed on all PSTA buses in early June 2001.



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PSTA’s Experience With the GFI Genfare Odyssey Electronic Revenue System: The following a general listing of some of the implementation issues, benefits realized, and general “lessons learned” by PSTA during their transition to the GFI Genfare Odyssey electronic revenue system:   The current mix of pre-paid versus cash fares is 70% pre-paid / 30% cash The transition to the Odyssey system was not as traumatic for either PSTA or their passenger as the addition of the TRiM units for several reasons, including: o The use of the magnetic strip pre-paid passes had been in place o The general fare policies remained relatively the same All PSTA Operators were required to attend a one hour training session PSTA and GFI installed the new fareboxes on the approx. 150 bus fleet over a long weekend, beginning on Friday afternoon and finished with most by Sunday evening. Complete installation of the remaining units was completed by Tuesday evening. It took an average of 20 minutes per bus once the process got organized. Following the installation, PSTA developed a post-trip farebox inspection form for the Operators to provide timely reporting of any concerns and problems Some of the changes caused by the introduction of the Odyssey system included: o The system was programmed not to accept pennies (PSTA’s choice). o In addition to the “pass-thru” feature for the magnetic cards, the Odyssey farebox also include a “swipe” option. The addition of the “swipe” option did initially slow down the boarding process due to the passengers’ unfamiliarity with the process and their initial tendency to swipe the card too fast. With time, the passengers have adopted well and are using the “swipe option” more than the “pass thru” option. This provides PSTA benefits in both improved boarding time and less wear-and-tear on the “pass thru” mechanisms. The Odyssey farebox incorporated currency validators that provided a mixed blessing for PSTA: o The validators have proven to be very effective and have eliminated the acceptance of foreign currency, “slugs”, and other materials. o The speed of the dollar bill validators did slow down the boarding process. A subsequent upgrade in bill validator units did improve the processing time PSTA reports that the Odyssey fareboxes have proven to be reliable with few coin or dollar bill jams
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The Odyssey farebox has a by-pass mode for coins that permits the operator to accept fares during times the farebox is malfunctioning. Additionally, when activated all passes are printed with the date of first use and the date and time that the pass expires. In the event the pass has been damaged or the farebox fails to read the pass, the operator can visually inspect the pass to determine if it is still valid. The farebox magnetic stripe ticket stock is 7-mil thermal paper for daily tickets and 10mil thermal plastic for 7-day and 31-day tickets. PSTA discovered that each pass actually has two pre-encoded expiration date. The first – the absolute date – which is set when the tickets are printed and the second – the expiration date – which is the date (in days) that the pass is valid for after validation. PSTA has the pass manufacturer set the absolute date far into the future to keep ticket stock and pre-sold tickets valid. PSTA replenishes the ticket stock in the fareboxes at the garage, usually on a weekly basis. PSTA imports the GFI data into their FleetNet data reporting system PSTA has set up the Odyssey system to record data hourly. Other “event” definitions are programmed by GFI. PSTA staff pointed out that the use of ridership data to develop passenger loading profiles was sometimes frustrated by operator errors in properly coding run numbers or doing so in a timely manner. To avoid these real life issues, PSTA is working with GFI to program all farebox data to be automatically recorded on a fifteen minute cycle. The Odyssey system included GFI Genfare’s newest software package – it’s enhanced V7 Data System. Features of this new software include: o Works with Windows 95/NT Operating System o Is LAN compatible, allowing several workstations to have simultaneous system access o The data files are in standard data base format for special reporting use by most commercial applications, including adhoc reporting and spreadsheet programs o Provides for transactional data – permitting several uses and analysis of the data collected o Built-in data management operations and report options are available o The system can be queried using SQL, then importing the data into Excel or Access The V7 Data System is a very user-friendly system, with easy to read screens in a Windows format. Data is recorded and available for the following information: bus, fare
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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS vault, run, route, operator, fare type, time of day, all activity related to probing and emptying fare vaults, all mechanical problems, etc.  Among the numerous pre-programmed reports available are: o Farebox Security Report: listing all alarms, use of electronic keys, etc. o Bypass Mode Report: all occurrences when farebox place in bypass mode o Exception Summary Report: all instances of incorrect driver-inputted data and logins o Cashbox Audit Summary Report: providing detail on probes, alarms, coin and bill counts, detail on buses not probed or emptied, etc. o Maintenance Report: by bus, detail related misreads, problems, alerts for required PM’s, failures, etc. o Probing Summary Report: history of last probing of all farebox units by bus o Cashbox Last Seen Report: provides date and time of last probing of each cashbox o Route Sum Report: provides ridership & revenue detail for each route, with detail by bus and run o Daily Route Summary Report: ridership, revenue, ticket counts, fare type, classified & unclassified revenue o Monthly Route Summary Report: same at monthly level o Monthly Summary Report: revenue and ridership detail by day PSTA EFP Process and Data Flow Overview: Figure A provides a representation of the data and process flow of PSTA’s EFP system.

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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

Figure A -- PSTA Electronic Fare Payment (EFP) Data / Process Flow
Data Sets Established Fare System Information: Bus #, Farebox #, Cash Vault # Revenue System Parameters: Fare Sets, Rules Route / Run Bus Operator ID

I.

II.

On-Board Vehicle Storage Starts EFP Data Flow

Fare Unit Data Storage: Operator, Bus, Run, Route, Farebox, Cash Vault, and Time

Data Collected: Passengers by Type, Time, Fare Category, and Money Collected

III.

Data Transfer / Storage

Upload data during probing process at fuel island or with portable probes

Data Archiving

IV.

Data Management

GFI V7 Data System FleetNet

V.

Operational Reports

Oper & Perf Reports * Ridership * Revenue & Audit Reports * Maintenance * Security / Exceptions

VI.

Data Analysis

Ridership * Passengers * Marketing * Scheduling * Operations

Financial * Revenue Collected * Pass & Transfer Use * Cashbox Audits & Exceptions * Security

Maintenance * Problems, Mis-reads * Preventative Maintenance Alerts

VII.

Management Reports

PSTA Management Reporting

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RESOURCE FOR ADVANCED PUBLIC TRANSIT SYSTEMS (RAPTS) ELECTRONIC FARE PAYMENT SYSTEMS

REFERENCES 1. University of South Florida, Center for Urban Transportation Research, Resource for Advanced Public Transit Systems (RAPTS) Program Web Site, currently found at: http://www.rapts.cutr.usf.eng/ 2. “APTS Needs Assessment for Sarasota County Area Transit Final Report”; University of South Florida, Center for Urban Transportation Research; October 2002. 3. “Multipurpose Fare Media: Developments and Issues”; Transit Cooperative Research Program; Research Results Digest Number 16; June 1997. 4. “Electronic Fare Payment Media in Transit: Are Smart Cards the Answer?”; Mark Mistretta; University of South Florida, Center for Urban Transportation Research; August 2001. 5. “Final Report: Assessment of Fare Collection Technology and Structure for PSTA”; Tindale-Oliver and Associates, Inc. with cooperation with Kittelson and Associates, Inc.; July 2000. 6. PSTA Staff Memorandum Documenting Recommendation of PSTA Fare Collection Committee; January 11, 2001. 7. Correspondence from Mr. Richard Galli, GFI Genfare Director of Sales, Eastern Region; January 10, 2003. 8. American Public Transportation Association (APTA) Business Members Web Site, currently found at: http://www.apta.com/sites/business/farecol.htm/ 9. GFI Genfare Inc. Web Site, currently found at: http://www.gfigenfare.com/

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