The farecard system was given the name MetroCard by April 1993. On October 30, 1992, the installation of Automated Fare Collection turnstiles began. The MTA opened a request for bids to furnish and operate the farecard system, and Cubic Transportation Systems offered the lowest bid at $100 million. In July of that year, the MTA board approved the roll-out of the magnetic farecard system. By 1991, the token technology was becoming dated: almost all other transit systems were using magnetic farecards, which were found to be much cheaper than the token system. Three months later, the New York state legislature voted to allow the MTA to proceed for its plans for the new system. In March 1990, the MTA board voted to allocate funding for the magnetic fare collection system. However, bureaucratic actions and disagreements delayed the rollout of the system. In 1984, Ravitch's successor Bob Kiley said that he would try to create a system for the new farecards within the next four years. This plan was generally supported by the public. The card would replace the tokens that were, at the time, used to pay transit fares. It was the "highest priority" for then-MTA Chairman Richard Ravitch. The idea for a farecard with a magnetic strip for the MTA system was proposed in 1983. Īs of early 2019, the direct costs of the MetroCard system had totaled $1.5 billion. The MetroCard Vending Machines are manufactured by Cubic Transportation Systems, Inc. The MetroCard is managed by a division of the MTA known as Revenue Control, MetroCard Sales, which is part of the Office of the Executive Vice President. It will be replaced by OMNY, a contactless payment system where riders pay for their fare by waving or tapping credit or debit bank cards, smartphones, or MTA-issued smart cards. The MetroCard is expected to be phased out by 2025. The MTA discontinued the use of tokens in the subway on May 3, 2003, and on buses on December 31, 2003. The MetroCard was introduced in 1993 to enhance the technology of the transit system and eliminate the burden of carrying and collecting tokens. The MetroCard is also accepted by several partner agencies: Nassau Inter-County Express (NICE), the PATH train system, the Roosevelt Island Tramway, AirTrain JFK, and Westchester County's Bee-Line Bus System. It is a payment method for the New York City Subway (including the Staten Island Railway), New York City Transit buses and MTA buses. The MetroCard is a magnetic stripe card used for fare payment on transportation in the New York City area.
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