RICHARDSON, Texas--(BUSINESS WIRE)--Electronic Transaction Consultants Corporation (ETC Corporation) today stated that it had reached a settlement agreement with the Washington State Department of Transportation (WSDOT) concerning claims of delay in starting toll operations for the bridge on State Route 520. The settlement addresses, among other things, ETC Corporation’s claims against WSDOT for changes in scope and schedule delays.
Tim Gallagher, ETC’s CEO, stated, “Throughout the project, ETC Corporation has worked as a true partner with WSDOT to deliver one of the industry’s most advanced toll systems, going above and beyond the scope of the contract to support WSDOT and its Good To Go! program. Now that we have reached this settlement, both ETC Corporation and WSDOT can focus on the future and continuing to provide superior systems and customer service to Good To Go! customers.”
ETC Corporation is WSDOT’s customer service and back office operator. The statewide customer center opened in February 2011 and started processing tolls on WSDOT’s existing toll facilities. Tolling operations on the SR 520 bridge began in December 2011.
In addition to ETC Corporation’s claims against WSDOT, the settlement resolves WSDOT’s claims of additional costs due to schedule delays of the SR 520 tolling system, and dismissed or unprocessed Tacoma Narrows Bridge infractions, many of which were roadside transactions incorrectly sent for processing. In addition, the settlement avoids what could have been significant costs associated with a dispute review process and potential litigation costs.
While there was no cash involved in the settlement, the agreement includes extension of the contract with ETC from 2014 to 2018 (subject to achievement of certain near-term milestones). The four-year extension is valued at $29 million, for which WSDOT receives a $2.4 million discount. ETC’s original five-year contract with WSDOT was $23 million. ETC Corporation has further agreed to provide WSDOT with a special software license independently valued at $4 million supporting the Good To Go! systems.
About ETC Corporation: For more than a decade ETC Corporation has delivered innovative solutions to the toll industry that increase mobility, improve operational efficiency, and support high levels of customer service. Today, ETC’s solutions collect nearly one-third of the toll transactions in the United States, representing more than $1 billion in annual revenue on some of the most technically advanced toll facilities in the industry. These solutions enable all-electronic toll collection, dynamic pricing, HOT lanes, interoperability, and open road tolling. ETC’s lane-to-back office integrated solutions are supported by an impressive array of operations and maintenance services. ETC offers its solutions and services as both a customer-delivered model as well as through a hosted environment at ETC’s state-of-the-art technology and operations centers. For further information, please see www.etcc.com.