OWNERSHIP & WARRANTIES:Florida innovates with sales of transponders


OWNERSHIP & WARRANTIES:Florida innovates with sales of transponders

Originally published in issue 51 of Tollroads Newsletter, which came out in Sep 2000.

Page:16

Subjects:sale or lease warranty

Agencies:Mark IV Amtech Kelly OOCEA

Locations:Florida FL

The ownership by the toll agency is usually spelled out in the agreement the motorist signs when opening a transponder account.

For example on the Pennsylvania Turnpike Commission’s (PTC) “E-ZPass Agreement” on the back of the application under ‘Terms of Agreement’ par 3 reads: “You understand that the E-ZPass transponder will remain the property of the PTC. Returned E-ZPass transponders must not be defaced to receive a refund.”

Further on under ‘Termination’ par 2 states: “The E-ZPass transponder is the property of the PTC but will remain in your possession unless a violation of this agreement has occurred or unless you decide to terminate the agreement. If you decide to terminate this agreement by returning the E-ZPass transponder to the PTC E-ZPass customer service center in good working condition, normal wear and tear excepted, the PTC customer service center will refund your deposit....”

What if the transponder conks out? Par 6: “If the E-ZPass transponder malfunctions for reasons other than abuse, and the E-ZPass transponder is returned to the PTC customer service center, it will be replaced at no charge.”

The toll agency takes the responsibility of providing the motorist with a functioning transponder. In turn the toll agencies and the manufacturers have warranty agreements.

One year or five years

The standard E-ZPass transponder supplied by Mark IV to its the twelve toll authority customers that are part of the joint purchasing and collaborating Inter Agency Group (IAG) get a 5-year manufacturer’s warranty. Tags that conk before 5 years are replaced at no charge by Mark IV. Tags that conk after 5 years will cost full price to replace. The warranty covers the battery and the electronics, though there is discussion of renegotiating this to have separate warranties for the battery and the electronics.

In any case in the E-ZPass group motorists are not affected by these warranty arrangements. They get a new one for nought since the toll agency has undertaken to keep them supplied with a good transponder.

Amtech (now part of TransCore) and Sirit the other two major north American manufacturers have a standard one year warranty on all their equipment, though Sirit has some contracts that are exceptions to that.

In Florida the Turnpike system run by FDOT has broken new ground since April last year in selling SunPass transponders manufactured by TransCore/Amtech to customers. They sell for $25 plus the state sales tax of $1.50. The SunPass system operates on the FDOT facilities as well as on toll facilities owned by independent toll authorities which use the FDOT Office of Toll Operations to do their toll collection. This includes among larger tollsters the Miami Dade and Tampa-Hillsboro expressway authorities and various bridges and causeways. Not included is the Orlando Orange County Expressway Authority (OOCEA) which has had its own ET system for five years. OOCEA is converting to a TransCore/Amtech system that should be interoperable with SunPass. OOCEA has continued with simpler Type 2 transponders and its own brandname E-Pass. For personal accounts the FDOT managed system uses Type 3 transponders which feature a display. Transactions are written back and stored in the transponder memory and they and the balance can be scrolled through in the display. The SunPass transponders also have three lights to give instant feedback to the motorist.

All this scrolling and the lights consume battery power. More important they make battery life highly variable and unpredictable. SunPass transponders therefore use a pair of common AAA batteries, so the motorist can replace the batteries when needed. The transponder has a low battery indicator to warn motorists when they need go get new batteries.

OOCEA’s earlier generation bumper mounted transponders remained the property of OOCEA and had a sealed battery much like the majority of transponders around the US. But now with their SunPass-interoperable system OOCEA is also selling its transponders to its customers on the same terms.

The Florida toll agencies offer a 45-day trial period with the transponder during which time the unit can be returned and the $26.50 refunded, if the customer decides electronic tolling is not for them. After that they have a warranty against manufacturing defects of 90-days according to SunPass and E-Pass literature.

As we went to press FDOT told us that they are extending the warranty they offer their customers to one year, because TransCore/Amtech had extended the warranty they offered. (Actually, the Amtech warranty seems to have always been for a year.)

OOCEA transponders (Amtech type IT2221) have no display or lights and they are equipped with a CR2032 type lithium battery shaped rather like a US cent. It is a battery type used in cameras and watches. OOCEA say they expect their batteries to last about 3 years.

The Illinois Tollway and Maine Turnpike have supplied their customers with Type 3 transponders with a display, but both are tending to go to a simpler Type 2 transponder without. Illinois now offers its customers a Mark IV ‘flat pack’ type 2. It doesn’t sell its transponders to customers but passes along the lower cost of the type 2 in a lower deposit. The Maine Turnpike which has an orphan AT/Comm system with type 3 transponders, but it seems almost certain to scrap these for a Mark IV type 2 flatpack system in order to be interoperable with the IAG in close-by Massachusetts and New York.

The flatpack units of the IAG group’s 12 toll agencies are now by far the most widely used in America. They are also used in Virginia and Illinois. They have a sealed case enclosing a battery estimated to have an average life of about 7 years. (see previous report.)

Some motorists don’t like the transponder on their windshield, the customer service people say. They like to take it off when they are nowhere near the toll facility and stick it in the glovebox or under the seat. Then there’s a scramble to find it and mount it as they approach the toll plaza.

At OOCEA the complaints about the windshield mounted tag are especially widespread. Customer service staff told us: “People ask why do they have to mess up their windshield. They want to know why they can’t keep their old ones. Some of them think the new ones are untidy on the windshield.”

That’s because Orlando motorists are used to the unusual bumper mounted tags read by loops in the pavement that OOCEA has had in use since 1995. These are described as ‘bumper mounted’ but we watched at the customer service center which mounts tags for all the customers at two separate facilities in Orlando.

In the last few years most Orlnado trnasponders have been stuck not on the bumper but inside the wheel-housing – quite out of sight. That’s possible because new vehicle wheelhousings are mostly plastic which doesn’t inhibit radio signals the way steel sheet in older wheelhousings blocks radio signals.

Losing control

An interesting issue in the Florida approach is whether the toll agency loses undue control by selling the transponder. The type 2 tags are built for multiple use with segmented memory and the ability to handle different applications, including tolling on different facilities, access to gated communities or work parking lots, mobile (m-) commerce including purchases at gas stations and drive-up windows with fast-food and the like. So long as the tag is the property of the toll authority, its use is subject to permission and perhaps a commission on each transaction.

If the authority no longer owns the tag then it can apparently be used for any purpose the owner decides. This is all a bit academic at present, but interesting issues could arise in the future. (Contacts Mark IV 905 624 3025, TransCore/Amtech 972 733 6600, Sirit 905 940 4404)