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42 Smartcard Interoperability Issues for the Transit Industry Card issuance machines (CIMs); and The central system (NextFare). As part of their parallel contracts, CTS and GFI integrated their onboard systems and interfaced the GFI farebox to a new CTS driver-control unit (DCU). The CTS smartcard reader resides in the GFI Odyssey farebox or stands beside existing fareboxes that will remain on some contracted sub- urban operators. The entire system is designed to communicate over the NCTD/MTS-provided network, which includes fiber-optic lines to each station and between operator sites. The program is being implemented in two phases. Phase I is 95-percent complete as of Novem- ber 2004 and includes the deployment of bus DCUs, fareboxes, and a limited function central system. Phase II includes the deployment of the remaining system components (i.e., DCUs and smartcard reader kits for contracted bus agencies, commuter rail and trolley equipment, HCRs, full customer services, and smartcards). Phase II is in the final design review phase. The Com- pass system will be operated entirely by following full system deployment. The Compass system will use an ISO 14443 Type A Mifare contactless smartcard capable of supporting expanded functionality beyond transit applications. As such, SDR is con- sidering commercial opportunities for the Compass card such as on-street metered parking, use in coffee houses, and several opportunities at the new downtown Petco baseball park. For now, however, SDR is focused on achieving the goal of a transit-application deployment in 2005. Fare Policies The following fare policies and customer features define the Compass program: Card Fee--Fee amount undecided ($5 being considered); Fare Products--Monthly passes initially, then multiple transit products, including e-cash, passes, ticket books, and day passes; Fare Categories--Adult, youth, senior/disabled, and operator employee; and Other Features--Balance protection/fare replacement and autoload. Internet enrollment and fare product purchases (future capability). Transit Benefits Programs None are available. Loyalty Programs None are available. 3.1.10 Octopus In 1994, Creative Star Ltd. (now called Octopus Cards Ltd. or OCL) was established to over- see the development and implementation of a smartcard system for transit fare payment. OCL is a joint venture among six major transport operators in the Hong Kong region. After a 3-year test and trial period, OCL launched the Octopus smartcard program. The Octopus card, a stored- value smartcard based on Sony's Felica card technology, is accepted on virtually all of Hong Kong's transportation systems, including rail, ferries, buses, coach (shuttle) services, taxis, and tramways. The Octopus card may also be used to pay for parking at garages and car parks and on-street metered parking. The Octopus card is the first and largest multipurpose, contactless smartcard-based payment system in the world with nearly 11 million cards in circulation used in over 8.3 million daily transactions totaling HK$56.7 million. More than 95-percent of the pop- ulation aged 16 to 65 uses an Octopus card.