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The Problem and Its Solution The nationâs 6,000 plus transit agencies need to have access to a program that can provide authoritatively researched, specific, limited-scope studies of legal issues and problems having national significance and applica- tion to their business. Some transit programs involve legal problems and issues that are not shared with other modes; as, for example, compliance with transit- equipment and operations guidelines, FTA financing initiatives, private-sector programs, and labor or environ- mental standards relating to transit operations. Also, much of the information that is needed by transit attorneys to address legal concerns is scattered and fragmented. Con- sequently, it would be helpful to the transit lawyer to have well-resourced and well-documented reports on specific legal topics available to the transit legal community. The Legal Research Digests (LRDs) are developed to assist transit attorneys in dealing with the myriad of initia- tives and problems associated with transit start-up and operations, as well as with day-to-day legal work. The LRDs address such issues as eminent domain, civil rights, constitutional rights, contracting, environmental con- cerns, labor, procurement, risk management, security, tort liability, and zoning. The transit legal research, when con- ducted through the TRBâs legal studies process, either collects primary data that generally are not available else- where or performs analysis of existing literature. Legal Research Digest 51 TRANSIT COOPERATIVE RESEARCH PROGRAM Sponsored by the Federal Transit Administration September 2017 TECHNOLOGY CONTRACTING FOR TRANSIT PROJECTS This report was prepared under TCRP Project J-05, âLegal Aspects of Transit and Intermodal Transportation Programs,â for which the Transportation Research Board is the agency coordinating the research. The report was prepared under Topic 16-04 by Larry W. Thomas, The Thomas Law Firm, Washtington, DC. James B. McDaniel, TRB Counsel for Legal Research Projects, was the principal investigator and content editor. Responsible Senior Program Officer: Gwen Chisholm Smith Foreword Transit agencies face contracting issues when procuring hardware and software systems and licenses. Many of these issues affect transit agencies in the same way as private companies, but as public and quasi-public entities, transit agencies face procurement requirements that differ significantly from those facing private sector companies. After analyzing current applicable and pertinent federal and state laws, this digest examines issues that transit attorneys should be aware of when drafting technology contracts. It addresses how provisions differ depending on the nature of the contract, the type of technology being procured, and whether the system is controlled internally or externally by the agency. Specific focus is given to cloud computing as an alternative delivery mode, and indemnification. This digest also discusses federal, state, and local industry standards regarding liability and warranties, and the contract language that should be used to protect against data breaches, including inadvertent release of personal information. A survey was conducted to determine best practices, and the author included a compilation of sample contract provisions that would be helpful to a transit attorney drafting a stand-alone technology contract or technology provisions in a vehicle or construction contract. This digest should prove useful to transit executives and attorneys and students, as well as suppliers of relevant technology-based products.