4.160
To transition to the Proposed Franchising Scheme, franchise contracts would be let under three tranches. Figure 1 summarises the implementation plan for Tranche 1 of the Proposed Franchising Scheme. The implementation would require significant additional expertise to provide temporary, specialist support to the TfGM team, and to supplement TfGM resources whilst the future operating model roles are filled. This would include support in areas such as commercial, legal, procurement, business change and operational continuity, information services, programme delivery and operating model design.
4.161
A franchised operation would require some new systems and significant amendments to the various supporting systems that are currently utilised by TfGM and the current operators. TfGM would look to utilise existing systems where possible. A single supplier of on-bus equipment would be selected who would make the equipment available to franchise operators, either via a lease or through a managed service arrangement.
4.162
The approach to transition has been designed to mitigate some of the biggest risks to TfGM and GMCA that would result from a move to the Proposed Franchising Scheme. These include risks associated with patronage, revenue, interest from operators in bidding into the Greater Manchester market, operational continuity, mobilising services when franchising starts, TfGM and GMCA reputation, and customer experience. The approach to transition and implementation of the Proposed Franchising Scheme (such as what activity and resource would be required and thereafter managed) is set out in section 47 of the Assessment. In addition, section 48 of the Assessment considers how TfGM would manage any risks associated with the Proposed Franchising Scheme on behalf of GMCA (such as risks around operational continuity and changes to ticketing).
4.163
The planned phased transition to the Proposed Franchising Scheme could potentially introduce some short-term complexity and confusion for some customers in terms of fares and ticketing, especially when travelling between franchised and non-franchised areas within Greater Manchester where different ticketing arrangements are in operation. This complexity would not affect the majority of passengers at any one time. TfGM’s approach to address this would be to first mitigate as far as possible the need for customers to purchase additional tickets and where that was not possible provide low cost add-on tickets, a concessionary scheme and the ongoing use of system one tickets with a system of reimbursement where appropriate.
4.164
Although large scale cessation of services is considered unlikely, limited reductions have the potential to result in short-term disruption of the market. TfGM has identified a number of commercial arrangements to protect passengers in the event that a current operator either reduces services or entirely exits the Greater Manchester market prior to that operator’s services being made subject to franchising. This includes the emergency letting of short-term contracts to replace withdrawn services. These are set out in the Assessment at section 31.3.
4.165
In order to facilitate the mobilisation of individual franchises once the procurement process has completed, TfGM and franchise operators would create a Mobilisation Plan, discussions around which would commence during the early stages of procurement. This would include clarity on obligations, timescales and resources, as well as details on the criteria that must be met for franchised services to ‘go live’.
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