Staff Report #5
August 27, 2025
To All Commissioners
Re: 2025 Work Program – Finance – Second Quarter Update
Recommendation
That the report be RECEIVED for information.
Background
The following report is provided as an update on significant projects as set out in the 2025 Work Program that were scheduled to commence and/or be completed in the second quarter, with the lead on same being the primary responsibility of the Finance department.
10.12 – Smart Card On-Board Validator Updates
During recent maintenance contract extension discussions with Scheidt & Bachmann (SnB) regarding the ongoing support and maintenance for smart card hardware and software, it was identified that the current smart card readers, or on board validators (OBV), were nearing end of life from a maintenance perspective. After further discussions with the vendor, it was determined that a project managed approach to upgrade all units at one time was the best option in order to mitigate the risks of maintaining two different units from both a two system and ongoing maintenance perspective.
As set out in Staff Report #5 dated May 9, 2025, the Commission approved the contract award to SnB for $1,851,610 to design, build and install replacement OBV’s. After the award of the contract, an initial project kick-off meeting took place in July with the vendor providing details regarding their project team and governance structure, along with the project plan outlining the necessary phases and timelines. The following table summarizes the plan and proposed timelines.
| Project Plan / Phases | Period / Timeline |
| Notice to proceed | May 2025 |
| Hardware design | July 2025 – August 2025 |
| Software design & development | September 2025 – March 2026 |
| Procurement and manufacturing of OV41’s | August 2025 – March 2026 |
| Deployment to 5 buses – pilot | May 2026 – June 2026 |
| Installation and commissioning | June 2026 – August 2026 |
| Project completion | August 2026 |
At the time of writing, hardware specifications are currently in the approval process with the vendor’s team also providing initial software design documents in anticipation of their detailed software design work beginning in late September. Further progress will be provided within the monthly Capital Budget Financial Update staff reports.
Recommended by:
Mike Gregor, Director of Finance
Concurred in by:
Kelly S. Paleczny, General Manager