New recurring revenue business model builds growth in North American market.
International Road Dynamics Inc. (IRD) announced today that it has received notice of the award of a multi-year contract with the North Carolina Department of Transportation for the supply, installation, operation and maintenance of truck pre-clearance sites in the state. The contract with the state has a value of approximately US$4.1 million over a period of eight years. IRD will also generate an additional revenue stream from enrollment fees paid by program participants.
Under the contract, IRD will supply and install up to ten new pre-clearance sites in the state at existing truck weigh stations. These systems will allow vehicles enrolled in the TransExpress program to bypass the weigh stations following a check of their credentials and safety history in the state. Under the voluntary program, trucks elect to carry an electronic identification transponder and pay an annual fee to be included in the program. The enrollment of the carriers and the collection of fees will be the responsibility of IRD. The state DOT verifies and authorises trucks to participate after a background check.
The IRD team for the project includes the North Carolina office of PBS&J for local civil engineering services, and T&H Electric as a local installation contractor.
Mr. Terry Bergan, President and CEO of IRD notes, “This is an important new contract for our company, and an example of how we are extending our market presence and growing our business through innovative partnerships with our customers. This multi-year contract will provide IRD with a strong and recurring revenue stream from the both the state contract and enrollment fees, and it opens the door to similar partnerships in other regions. We are also exploring additional value added services that can be included in programs such as TransExpress to provide added functionality for users.”
“As one of the leading providers of technologies and solutions for the global intelligent transportation systems market, we are working closely with our customers and partners to improve the safety and efficiency of transportation infrastructure in North America, and around the world,” Mr. Bergan concluded.
“Expanding the TransExpress program in North Carolina will improve safety and mobility on our interstates, and save time and money for participating drivers and companies,” N.C. Department of Transportation Secretary, Lyndo Tippett said.