What are smart cards and how can they be used by local authorities?

Smart cards are essentially a development of the credit card. They are the same size and shape, and made out of plastic. The differences are that smart cards have a computer chip imbedded in them instead of a magnetic stripe, and are able to hold much more information, and are more durable and less easy to tamper with and some are programmable and able to process information. Further details are provided in Section 3 of WP9-02 a market research report describing the current state of smart card use by local authorities in England. The section goes on to describe the functions of smart cards and how they can be used in local authorities.

WP2-01 - "Business Case including social, political and commercial considerations" - in Section 3 describes the background to smart card use, some multi -application schemes and provides an excellent grounding on the case for smart cards in local authorities.

WP3-01 - "Considerations for Multi Application Multi Sector Smart Cards" provides guidance to local authorities as they contemplate setting-up card schemes and is starting point for new entrants to this area as it sets out the policy management issues that need to be considered for both large and small schemes.

In a similar vein, WP3-10 provides a routemap taking into account a range of benefits, drivers, barriers etc.

In broad terms what are the potential costs and benefits of smart card schemes for local authorities?

WP2-01 - "Business Case including social, political and commercial considerations" - in Section 3 describes the background to smart card use, some multi -application schemes and provides a grounding on the case for smart cards in local authorities.

WP7-01b - "Strategic LA Smart Card Architecture" describes benefits to be gained from smart card schemes in Section 3 and goes on to describe how benefits are achieved in Section 4.

WP2-04 - "Financial Report on Implementation set up costs" goes into substantial detail on set up costs for schemes as a whole and for specific service/application areas.

WP9-02 - A market research report describes potential benefits in various local authority application areas in Section 3 and costs in Section 5.

Can we replace existing cards with smart cards and is there an associated cost saving?

Cards of various types are currently issued by local authorities covering applications ranging from library lending to employee identification. Most if not all of them could, potentially, be replaced by a single smart card with associated cost savings that could at least substantially offset the costs of smart cards if not entirely cost justify them. There are associated benefits to citizens to be taken into account including the convenience of carrying one card rather than several and the ability to pay for the services from the card’s e-purse.

WP2-01 - "Business Case including social, political and commercial considerations" - in Section 6 covers "rationalising the existing provision of cards"

WP9-02 - A market research report suggests that an analysis of existing cards should be one of the first steps when developing smart card strategy.

Can smart cards have an impact on social inclusion?

Improved access to services and social inclusion is one of the most important benefits to be gained from the use of smart cards in local authorities. WP3-04 - "Accessibility and Social Inclusion" deals with the subject in depth. As the report says "The Disability Discrimination Act requires local authorities to give consideration to needs of people with disabilities but there is a wider agenda of people with special needs. This includes older people, children, people whose primary language is not English, as well as people with disabilities. However the introduction of smart card systems offers exciting possibilities for making life easier for all these groups, and those who are presently socially excluded, if their needs are considered before new systems are introduced.

WP7-01b - "Strategic LA Smart Card Architecture" describes in Section 3 benefits to be obtained from smart card use, including many that relate to access and social inclusion.

WP8-02 - "Card Governance" covers the legal aspects of access in Section 5

Should we start with more than one smart card application and if so how many and which ones?

Many factors need to be taken into account when considering which and how many applications should be considered as part of the initial smart card project. If the project is too limited it may fail to demonstrate benefits and ultimately fail to achieve a critical mass of benefit. If the project is too ambitious it may prove to be too complex to be managed by limited resources and expertise. Much will depend on local conditions. The ability and willingness of service departments to participate in smart schemes will be very important. Local conditions in terms of social deprivation will be important - perhaps the greater the deprivation the greater the potential social inclusion benefits. There are also economies of scale to be achieved - see the "Smart question" on that subject below.

WP2-01 - "Business Case including social, political and commercial considerations" provides a list of possible applications in Section 5 and discusses applications issues throughout the report in terms of making the business case. The other reports in the Business Case section of the National Smart Card project WP2-03 report, WP2-03 spreadsheet and WP2-04 all consider applications from a financial point of view.

The WP5 reports, which are concerned with links to central government and other national initiatives, are a series of evaluations of local authority applications being undertaken in conjunction with the DfES’ Connexions Card.

The WP10 (Dissemination) reports are a series of case studies covering a wide variety of local authority applications and private sector commercial applications on local authority smart cards.

WP6-01 - "Commercial Applications" - says "The overall conclusion reached by this section of the National Smart Card Project (NSCP) was that there is a definite benefit to all parties by including carefully selected and implemented commercial applications on a Local Authority issued Smart Cards. The selection of applications will depend critically on the strategic choice relating to the card technology chosen initially, and the development trajectory envisaged. WP6-02 reports on progress in several pilot commercial applications.

Documents prepared as part of the National Smart Card Project Starter Pack cover a range of applications in detail. See ...

• WP9-03d
• WP9-03e
• WP9-03f
• WP9-03g
• WP9-03h
• WP9-03i
• WP9-03j
• WP9-03k

 Can smart cards be used in more than one local authority or even region and for more than one application?

Smart card interoperability is the cornerstone of improved citizen service delivery. Cards need to work across geographical and organisational boundaries to maximise the benefit to the citizen. Interoperability requires both technical and business interoperability. The former can be derived from using common technical standards and specifications but the latter requires the development and implementation of common business rules and policies. WP3-02 - "Interoperability within the local authority sector" deals with this subject in detail.

WP7-05 - "E-purse Cross Regional E-Payments" describes interoperability in terms of the needs for making payment across different regions. It says "Interoperability is defined as the ability of a complex card based payment product to provide the required functionality in any number of acquiring infrastructures despite the technological differences inherent in different systems. A useful analogy is the road network where there is a consistent and clearly understood set of rules of the road but a wide variety of vehicles that use it."

WP8-02 - "Card Governance" describes interoperability within the context of the complex area of card governance in Section 8. It deals in detail with legal/contractual issues.

Are there ways of obtaining economies of scale in smart card schemes?

Economy of scale is a key factor in local authority smart card schemes. Substantial items of capital and operating cost can cover multiple applications and multiple geographic areas. An obvious example is the card itself. A single card can carry multiple applications and therefore the physical card cost per application reduces as the number of applications on the card increases. Other examples are major capital items such as card printers and management systems which can be shared by applications with local authorities and between groups of local authorities. The process of authentication can apply to several applications/authorities etc. As the number of applications on a card increases and as the number of organisations in a card scheme increases, scheme management and operational complexity increases and the cost of managing these complexities can offset some if not all of the economies of scale. Optimising economies of scale therefore requires careful planning and research.

Are there local authority smart card partnerships and if so should we consider joining one, and if so how do we contact them?

Many local authority partnerships have been formed to address the challenges of e-Government and many of these are involved in smart card schemes. In fact the majority of local authorities in England involved in smart card schemes are doing so through partnerships. Only a minority is going it alone. One of the main reasons for partnership on smart cards is that to deliver real benefits to citizens, smart cards often need to relate to services that cross regional boundaries. Transport schemes are a good example of this. Another major reason is the availability of substantial economies of scale - see the question relating to this topic.

Are there different types of smart cards, and how should we choose which one is right for us?

Smart cards contain information that in order to be useful needs to be read by some sort of device and thereby gaining access to a display device or a network. There are two ways of doing this. Cards can either be plugged into, and therefore make physical contact with a reader, commonly referred to as a card terminal, or they can be read using RF radio frequencies. The way a smart card can be read is a key smart card differentiator:

• Contact smart cards - are read when the reader contacts a small gold chip on the front of the card.
• Contactless smart cards - are read via an antenna, eliminating the need to insert and remove the card by hand. Once such a card is in close proximity to a reader receiver, the card will begin communicating with it. Contactless cards can be used in applications in which card insertion/removal may be impractical or in which speed is important, for example almost all smart cards used for transport user applications are contactless - using a contact card would seriously slow down the loading of a bus.

Some cards ("hybrids) have two chips imbedded in them, one of each type, and there are now "Dual Interface Cards" that have one chip which can function either as contact or contactless, or both for different applications. Other key card differentiators are related to their capacity to hold information and their ability to process information or not. Some cards (memory) have a similar function to a floppy disc, they just store information, and others (microprocessor) are able to process information and run small programmes, such as Java Applets on contact cards.

What standards should we take into account for a smart card scheme?

WP3-03 - "Applicable Standards" focuses on this issue. It says: "Technical standards and operating rules are necessary to allow local authorities to purchase cost-effectively and with confidence that they will not be locked in to a restricted supply situation or implement systems that will become obsolete. Common sets of standards and rules are important to define and enable interoperability between local authority systems across the UK where such interoperability is felt to be desirable. Standards are needed as base level building blocks for the development of products and services; they are not detailed specifications. This is to encourage competition, diversity of design and new initiatives among suppliers. The balance between generality and detailed specification in standards is one which is difficult to achieve and different standards take different approaches. Nevertheless, a standard is not normally a specification." It goes on to describe those standards that apply to local authority smart card schemes.

WP3-02 - "Interoperability within the local authority sector" explains the need for standards in achieving interoperability. It says: "Interoperability requires both technical and business interoperability. The former can be derived from using common technical standards and specifications.."

WP3-10 - "Routemap Overview" offers a number recommendations related to standards including "The use of standards is highly desirable so as to avoid becoming locked in to any particular supplier and to ensure interoperability of services. In government work, where formal procurement takes place, standards should be mandated."

WP7-11 - "Analysis of Potential for Federating Identities" deals with the issue of standards compliance in this context.

WP9-03m - "Standards" is part of the NSCP Starter Pack and provides guidance for the use of standards at the implementation level.

What hardware and software is required and what products and services are available from which suppliers?

Depending on how your Local Authority chooses to implement their Smart card scheme, the quantity of hardware and software can vary. If the scheme is deployed as per the recommended guidelines there will be specific hardware required for each stage, for example: Database Server (Cardholder database), Web Server (National Smartcard website), Service Point outlets (Enrolment application, website), Smart card production bureaux (Print and Perso).

The National Smart Card Project Starter Pack will function effectively with different hardware, such as servers, Smart card readers and TWAIN compliant imaging devices. Smart card printers (Print and Perso) will require some tailoring of the software. Brands used during development and testing included: Microsoft Windows XP, 2000 Server, Compaq (Servers and clients), Fargo (Smart card printer), Orga (Smart card readers), Hewlett Packard and Logitech (TWAIN compliant imaging devices).

How can we benefit from the experience gained and investments made by other local authorities in smart card schemes?

Local authorities that have already been involved in planning and implementing smart card schemes are sources of enormous amounts of knowledge that could be valuable to other local authorities. The value may lie in general lessons learned but it could also be in the form of relevant products that have been developed. A local authority that uses a particular library system may have developed a smart card interface that could be used by other local authorities. Costly duplication could be avoided. Any local authority considering embarking on a smart card scheme should therefore initially consider joining an existing e-government partnership that is involved in smart cards, or even forming one, and identifying those local authorities that have or may have created relevant values.

WP2-01 - "Business Case including social, political and commercial considerations" - in Section 3 describes the background to smart card use, some multi -application schemes.

WP9-02 - a market research report, list some of the local authority smart card schemes that were in progress in mid-2003.

WP5-05 - lists central government smart card schemes.

WP7-04 - describes existing smart card with e-purse schemes.

What should be the business objectives of the scheme, and how should we prepare a business case?

The whole of the business case section of the National Smart Card Scheme was devoted to addressing these issues.

WP2-01 - "Business Case including social, political and commercial considerations" - covers the subject in broad terms. It says "Smart cards have, for some time, offered a potential way of improving the delivery of services in a number of sectors. With the advent of widely available, lower priced, high capability cards, this potential is now beginning to be realised. Analysis of existing deployments shows that large schemes have both the capacity to address service delivery issues, and the potential to do this in a way that the investment can be recouped over a time period which makes schemes sustainable.

WP2-03 - consists of a spreadsheet and a report "Financial Model - Assumptions and Commentary" that illustrates in details the elements of cost and revenue that should be built into smart card scheme financial models. It says "This document accompanies the Financial Model, which is presented as a spreadsheet. It highlights a number of assumptions and considerations that should be well understood before using the spreadsheet model. It can also be used for reference when inputting data to the model.

WP2-04 - "Financial report on implementation set-up costs" says: "This document sets out the basic costs of an "entry level" local authority instigated multi-application smart card scheme. It is designed to inform local government decision makers and strategists of the cost involved for initiating a local scheme to the point that a single card can be issued to citizens for access to a "typical" range of local services. The selection of card applications is intended to be indicative rather than prescriptive, and is based upon information gathered from consultation and research conducted within the National Smart Card Project.

WP2-05 - "Business Models" provides a strategic business model approach, discusses options facing individual local authorities and sets out a practical business model approach for local authority instigated multi-application smart card schemes.

WP3-01 - "Considerations for Multi Application Multi Sector Smart Cards" describes policy issues.

WP4-08 - "Sources of Help and Information" provides valuable sources related to business case development assistance.

WP6-01 - "Commercial applications" considers the business case for private sector involvement.

What are the key legal issues we should take into account for our smart card scheme?

The Legal and Data Protection section of the National Smart Card Project deals in detail with legal issues, the main ones being indicated by the following report subject matter:

• WP8-01 - "Financial Services Regulation
• WP8-02 - "Card Governance"
• WP8-03 - "Securities Issues, incorporating electronic signatures, PKI and certification issues
• WP8-04 - "Information Law, incorporating Data Protection Toolkit"
• WP8-05 - "Public Procurement Regulations"
• WP8-07 - "Corporate Structures"
• WP8-08 - "Risk Register"
• WP8-09 - "Commercial Conditions of Contract"

Are there data protection issues related to smart card schemes?

E-Government policy recognises the need to safeguard citizens' rights in respect of Data held about them. There could be a complex web of relationships involved in a Smart Card Scheme. A Card Issuer needs to establish the data protection relationships involved in a Smart Card Scheme and deal with these appropriately by contracts with Data Processors or contracts or protocols with others, ensuring at the same time that Data Subjects are aware which Data Controllers Process their information. WP8-04 - "Data Protection and Information Law" deals with this subject in detail.

Data protection is also taken into account in WP7-11 - "Analysis of Potential for Federating Identities.

Can our smart card schemes enable holders to make payments (e-purse)?

Smart card E-purses are able to hold electronic money and can be used to pay for goods or services in particular smart card schemes. Several of the National Smart Card Project reports deal with various aspects of using smart cards to make payments and the nature of e-purses.

WP7-03 - "E-purse Basics" - describes what e-purses are the types of e-purse available. It says: "E-purses divide into "Open" and "Closed" types. E-purses described as open are ones that can be used for a wide variety of transactions just like money, for example to pay for school meals and library rental and leisure activities etc. E-purses that are described as closed, on the other hand, are ones with their use restricted to only school meals or only travel etc, and therefore are more like tokens than money.

WP7-04 - "Existing E-Purse Schemes" - says: "The UK banks have incurred excessive costs in proprietary e-purse schemes with little or no return and can only be described as currently being very averse to hearing the word ‘e-purse’.

WP7-05 - "E-Purse Cross Regional E-Payments" - says "any Local Authority local or cross border e-payment scheme that represents cash values as opposed to tokens, must allow the cardholder to use that value in payment for a wide range of services and goods. A failure to do so will lead to the "ghetto-isation" of the payment method and ultimately its failure.

WP7-14 - "Retail Payments Sector Considerations" documents the business, operational, regulatory and payment system considerations that will affect the decisions of the retail banks, building societies and other financial institutions when they consider involvement in the provision of payment services to Local Authorities. It also highlights any obstacles to their involvement and describes potential means by which these may be overcome. Finally it identifies key requirements of any adopted national smart card scheme that would facilitate and encourage retail financial institutional involvement.

WP8-01 - "Financial Services Regulation" covers legal issues relating to e-purse and WP8-08 - "Risk Register" details risks associated with e-purse.

What legal issues are there related to smart card financial transactions (FSA)?

WP8-01 - "Financial Services Regulation" is the main National Smart Card Project report dealing with the subject. It investigates the key legal issues surrounding financial services regulation and consumer protection as it may impact on e-money, debit facilities and credit facilities if they were to be made available on a Local Authority Smartcard.

WP7-03 - "E-purse Basics" - describes the Financial Services Authority’s role in controlling who is able to issue e-money. Organisations issuing cards with open e-purses are in effect operating as banks and may be regulated similarly.

WP714 - "Retail Payments Sector Considerations" - says "With regard to the Regulatory Environment, Local Authorities need to be aware of the controls which will be exerted upon them if they wish to provide financial card products. Card products must conform to the legislation and requirements of controlling bodies. These include the Financial Services Authority - an independent body that regulates the financial services industry within the UK, the Consumer Credit Act 1974 - requires most businesses that offer goods or services on credit or lend money to consumers to be licensed by the OFT and compliance - The rules which govern the usage of the card are controlled and enforced by a number of bodies, all with different areas of responsibility and accountability.

Is information available on security issues such as authentication and Public Key Infrastructure?

WP8-03 - "Security Issues" - considers the legal issues connected with electronic signatures, PKI, biometric identifiers and the security measures set out in ISO 17799. It charts the legal background to the above issues, and considers the current position under English law. Section 7 of this report considers the issues in the context of a Smart Card Scheme and the way in which certain risks may be managed by means of contract.

WP3-04 - "Accessibility and Social Inclusion" deals with the subject of authentication in Section 5. It says: Authentication provides users with a secure way to prove their identity during a transaction. It can also prove the identity of the other participant (card reader and service provider) back to the user. However it is important that the level of authentication is appropriate to the application; users will get frustrated if they are required to provide information which they deem unnecessary.

WP7-09 - "Authentication" is a series of reports about the subject covering the requirements, which need to be met before a digital certificate can be issued; how the Certificate Policy will be practically implemented; the requirements for registering a citizen, organisation or application/device; an agreement whereby the citizen acknowledges that they too have responsibilities associated with holding and using a smart card; Local Authorities Application Form for Registration Authority and Local Registration Authority Officials; Local Authorities Endorser Agreement, which enables help to be gained by utilising "endorsers" in the process of signing up users in certain circumstances and Local Authorities Certificate Profile.

WP7-11 - "Analysis of Potential for Federating Identities" deals with the issue of authentication and PKI in this context.

WP7-01c - "Bolton Pilot Specification" deals with authentication in Section 3.

What are the likely human resource requirements for implementing and operating our smart card scheme?

Depending on how your Local Authority intends to deploy their Smart card scheme - If the server side deployment is all contained in the same office and handled by existing IT or SA's instead of dedicated scheme operators, this will have an impact on resource requirements. On the client side the level of human resources depends on how many Service Points (for example: Libraries) will be required to process Smart card applications and whether sufficient training will be given to keep the Service Points 'self sustaining', for example: Training new user's using existing staff.

What guidance is available on training and user testing in smart card schemes?

Training and Testing can be carried out using the Starter Pack End-User Guides.

What general guidance is available on procurement in smart card schemes?

An entire section of the National Smart Card Project was devoted to providing advice and assistance on procurement.

WP4-01 - "Procurement Good Practice Checklist" says: The objective of this National Smart Card Project paper is to provide robust procurement guidance to maximise opportunities for exploiting purchasing economies of scale and delivering best-value for public expenditure on smart card schemes deployed in the local authority sector. It is also intended to provide help and guidance to ensure that important standards development in this area is matched by good practice in deployment of smart cards and associated infrastructures by giving advice and guidance on best practice procurement specification.

WP4-03 - "Guidance Notes on the use of G-Cat" says: The purpose of this paper is to set down guidance notes for local authorities and the NSCP on how to use the G-CAT procurement route to enable them to fast track procurements where necessary, whilst complying with public procurement rules and maintaining best value. The paper specifically addresses the G-CAT Route only. Similar guidance for S-CAT is provided in WP4-07.

WP4-08 - "Sources of Help and Information" focuses on procurement assistance.

The Legal section of the NSCP also provides assistance on procurement.

WP8-05 - "Public Procurement" concentrates on the public procurement law issues for a Local Authority procuring works, supplies or services for the purposes of a Smart Card Scheme.

WP8-09 - "Commercial Conditions Checklist" provides checklists in which details of the main commercial terms to be included in certain of the contracts to be entered into by the Card Issuer are described. The checklists are designed to provide guidance to commercial members of the Card Issuer's contracts teams as to the key terms which the Card Issuer may wish to include in each of the relevant agreements. In addition the checklists may act as an aide memoir for the lawyers acting on behalf on the Card Issuer.

WP8-08 - "Risk Register" - covers risks associated with procurement.

Is a procurement check list available?

WP4-01 - "Procurement Good Practice Checklist" says: The objective of this National Smart Card Project paper is to provide robust procurement guidance to maximise opportunities for exploiting purchasing economies of scale and delivering best-value for public expenditure on smart card schemes deployed in the local authority sector. It is also intended to provide help and guidance to ensure that important standards development in this area is matched by good practice in deployment of smart cards and associated infrastructures by giving advice and guidance on best practice procurement specification.

What guidance is available on S-CAT and G-CAT procurement models?

WP4-03 - "Guidance Notes on the use of G-Cat" says: The purpose of this paper is to set down guidance notes for local authorities and the NSCP on how to use the G-CAT procurement route to enable them to fast track procurements where necessary, whilst complying with public procurement rules and maintaining best value. The paper specifically addresses the G-CAT Route only. Similar guidance for S-CAT is provided in WP4-07.

Are there draft model procurement contracts available?

WP8-09 - "Commercial Conditions Checklist" provides checklists in which details of the main commercial terms to be included in certain of the contracts to be entered into by the Card Issuer are described. The checklists are designed to provide guidance to commercial members of the Card Issuer's contracts teams as to the key terms which the Card Issuer may wish to include in each of the relevant agreements. In addition the checklists may act as an aide memoir for the lawyers acting on behalf on the Card Issuer.

• Smarter Solutions - News from the National Smartcard Project - Issue 3 - December 2003

  Tuesday, 27 January 2004
  
  Smarter Solutions - News from the National Smartcard Project - Issue 3 - December 2003
  
  

  Smarter Solutions - News from the National Smartcard Project - Issue 3 - December 2003 (111.41kb)

  Smarter Solutions - News from the National Smartcard Project - Issue 2 - October 2003

  Monday, 20 October 2003
  
  Smarter Solutions - News from the National Smartcard Project - Issue 2 - August 2003
  
  Smarter Solutions - News from the National Smartcard Project - Issue 2 - October 2003 (229.21kb)
  
  

  Smarter Solutions - News from the National Smartcard Project - Issue 1 - August 2003

  Sunday, 28 September 2003
  
  Smarter Solutions - News from the National Smartcard Project - Issue 1 - August 2003
  
  Smarter Solutions - News from the National Smartcard Project - Issue 1 - August 2003 (112.50kb)

Financial Model - Assumptions and Commentary

Thursday, 18 November 2004

This document is part of WP2-05 and accompanies the Financial Model, which is presented as a spreadsheet. It highlights a number of assumptions and considerations that should be well understood before using the spreadsheet model. It can also be used for reference when inputting data to the model.

Assumptions and Commentary - Financial Model (339.00kb)

Business Models WP2-05v2.0

Tuesday, 4 May 2004

An understanding of the current situation and guidance on how smart card technology might be utilised.

WP2-05 - Business Models v2.0 Release (868.50kb)

The National Smart Card Project (NSCP) has covered considerable ground in developing a greater understanding of the possibilities presented by smart card technology and how it might be utilised by local authorities for the benefit of their citizens.  The over-arching conclusion that must be drawn from the work undertaken within the NSCP is that there is not a standard model for all local authorities to adopt for the instigation of multi-application citizen card schemes.  That is not to undermine the potential benefits of the technology, but more to emphasise the breadth of opportunities that it has to offer.  This document is intended to give decision makers both an understanding of the current situation and guidance on how smart card technology might be utilised for sustainable citizen benefit now and in the future.

The background to the approach taken to business models is that smart cards offer the local authority sector:

• An opportunity to build closer relationships with citizens and to offer them new and enhanced experiences;
• A delivery tool for electronic government and the joining up of services;
• A catalyst for process review; promoting rationalisation; greater process security and better service delivery;
• An opportunity to develop mutually beneficial relationships with other public and private sector bodies.

The NSCP has also done much to raise the profile of smart cards.  Over and above the software outputs developed within the project, there is considerable movement in the market place to adapt and tailor products to the needs of the local authority sector. 

However, the picture is not fixed and the learning process will continue for some time, certainly until standardisation processes are completed. 

Citizen smart card implementations require considerable planning in order to maximise both the benefits of the technology and the business process improvements that any change programme requires.  The card is not a single answer in itself - it must be considered with other technologies and aligned to the delivery of services to the citizen.

That said, the convergence between the multi-application card concept and the realisation that secure authentication can be most economically delivered by means of a local authority issued citizen card, suggests that adopters of the technology are no longer buying into a vision, but a practical solution for the near future.

The sustainability of the business model is based upon these two congruous objectives - the shorter-term operational delivery of existing services in a new way, within a strategic programme for the provision and development of electronic government.

Financial Report WP2-04v2.0

Tuesday, 4 May 2004

Financial Report on Implementation / Set-up Costs

WP2-04 Financial reportv 2.0 Release (2.10mb)

This document sets out the basic costs of an "entry level" local authority instigated multi-application smart card scheme. It is designed to inform local government decision makers and strategists of the cost involved for initiating a local scheme to the point that a single card can be issued to citizens for access to a "typical" range of local services. The selection of card applications is intended to be indicative rather than prescriptive, and is based upon information gathered from consultation and research conducted within the National Smart Card Project.

While providing ranges of costs, it indicates that the low figures are becoming achievable, especially as the market is adapting to provide for the specific needs of the local authority sector. It also gives an indication of costs for bureau services and details how these and fuller 'managed service' offers might present an alternative to "in-house" scheme operation.

Financial Model WP2-03v1.0

Tuesday, 4 May 2004

This spreadsheet allows you to estimate the cost of introducing and maintaining a multi-application smartcard over a 5 year period. The spreadsheet has a number of worksheets which feed into this Summary worksheet.

WP2-03 NSCP Financial Model V1.0 Release (162.50kb)

Business Case WP2-01v3.0

Tuesday, 4 May 2004

Business Case including Social, Political & Commercial Considerations

WP2-01 Business case v3.0 Release (813.00kb)

Smart cards have, for some time, offered a potential way of improving the delivery of services in a number of sectors.  With the advent of widely available, lower priced, high capability cards, this potential is now beginning to be realised.  Analysis of existing deployments shows that large schemes have both the capacity to address service delivery issues, and the potential to do this in a way that the investment can be recouped over a time period which makes schemes sustainable. 

The drivers for a local authority instigated multi-application scheme are extensive, as are the potential applications, services and uses for a local citizen card.  While there are a number of models that might be adopted in terms of configuration, for schemes to become a reality in the near future, it is apparent that local authorities must play a pivotal role to ensure that their own strategic objectives are to be met. 

The importance of engaging with the technology now is made imperative by the ongoing implementation of electronic government, with its citizen focus and attendant CRM capabilities, that provides both a platform and a genuine requirement for a multiple entry point identification and authentication device.

While existing deployments provide some persuasive evidence that effective multi-application schemes are realisable, they also show that the full benefit of multi-application aspects of a scheme will only be achieved if complex issues relating to scheme organisation and governance can be resolved.  Indeed, these are even more emphasised in a local authority environment.  Education campus and central government ID card schemes benefit from the control that they can exert over the behaviour of the population.  To a lesser extent this is also true of the Octopus transit scheme (see section 3.1), which has the advantage of operating in a sector vital to a relatively small geographical area.  Local authority instigated schemes need to achieve a difficult balance in securing a sustainable application mix and ensuring citizen take up. 

The key attributes of a card scheme (outlined at Table 1) are important in that they can help guide how the objectives for an implementation project might be framed.  While there are implications for the generic business case, they also emphasise that decision makers must have a clear vision of how a scheme will achieve the sometimes diverse objectives of the providers of services and facilities that are available on a multi-application card.

Routemap WP3-10v2.0

Tuesday, 4 May 2004

Smart Card Routemap Overview

WP3-10 Routemap Overview v2.0 Release (819.00kb)

This overview report is mainly based upon a piece of work commissioned from Consult Hyperion to map out and draw inferences from technical, political, social, standards and business drivers and inhibitors over the medium to long term and to provide guidance to Local Authorities making investment decisions in an uncertain world. The underlying Consult Hyperion report has been exposed to extensive critical review, has stimulated considerable discussion, and was taken as input to this overview.  It is being published by the project as a detailed technical paper. Both documents outline drivers, barriers, trends and make predictions.  This work represents a snapshot of current thinking that needs to be maintained over time if it is to continue to have value.   The underlying report also contains introductory material that will be of great interest to newcomers to smart cards. This overview concentrates on the general guidance and over thirty recommendations arising from this work.  It is true to say that there are no "right" answers to a number of issues that this work has raised but where there have been comments and observations, this paper sets out to raise the issues that need to be considered and to offer general guidance.  

Accessibilty WP3-04v3.0

Tuesday, 4 May 2004

Accessibility & Social Inclusion

WP3-04 Accessibility V3.0 Release (655.50kb)

Consumers want user friendly systems which have the appropriate level of security, but are simple to use.  Local authorities want to optimise their service level, and to maximise their market penetration.  If local authorities do not understand the needs of their consumers, they are likely to find consumers reluctant to use smart card based systems.

Cardholder identification should involve the consent of the user who may wish to withdraw their consent at a later date.  Authentication provides the user with a secure way to prove their identity during a transaction, but does not necessarily mean that they are authorised to access a specific service. 

The Disability Discrimination Act requires local authorities to give consideration to needs of people with disabilities but there is a wider agenda of people with special needs.  This includes older people, children, people whose primary language is not English, as well as people with disabilities.  However the introduction of smart card systems offers exciting possibilities for making life easier for all these groups, and those who are presently socially excluded, if their needs are considered before new systems are introduced. 

The take-up of smart card based services will be affected by the users’ perceptions of:

• the confidentiality of any data on the card or in a related computer system
• ease of use
• confidence that there is a simple system for handling lost or stolen cards

Applicable Standards WP3-03v4.0

Tuesday, 4 May 2004

Definition of standards that apply to Local Authority smart cards used in different applications.

WP3-03 - Applicable Standards Paper - v4.0 release (829.00kb)

Technical standards and operating rules are necessary to allow local authorities to purchase cost-effectively and with confidence that they will not be locked in to a restricted supply situation or implement systems that will become obsolete.   Common sets of standards and rules are important to define and enable interoperability between local authority systems across the UK where such interoperability is felt to be desirable Standards are needed as base level building blocks for the development of products and services; they are not detailed specifications.  This is to encourage competition, diversity of design and new initiatives among suppliers.  The balance between generality and detailed specification in standards is one which is difficult to achieve and different standards take different approaches.  Nevertheless, a standard is not normally a specification. 

This paper defines those standards that apply to Local Authority smart cards used in different applications.  The initial selection of applicable standards are taken from the e-GIF specification produced by the Office of the e-Envoy, augmented by additional application level standards not included in e-GIF but seen by LASSeO to be applicable.  Other "standards" may also be included based upon industry generated, de facto standards as well as CEN/ISSS Workshop Agreements.   Unfortunately, at this time all necessary standards are not defined, which only serves to add to the complications in defining baseline standards and accompanying business rules.  Developing standards in other parts of the world could well have a long term effect upon standards in the UK and Europe and are considered.  The paper covers microprocessor cards with contact interfaces, with proximity contactless interfaces and cards with both (dual interface cards).   It addresses Baseline standards for cards, Test standards for cards, Relevant consortium and industry de facto standards and specifications, Application level standards and specifications, and, Security standards and specifications.  These standards are listed with commentary and crucially, a table is provided of de facto and de jure standards that should be reviewed before implementing any card scheme.  It is to be noted that this paper is just a starting point.  Technology does not stand still and standards continue to develop.  Therefore, the recommended list of standards, coupled with the policies and rules to fill the gaps, will require constant revision and such a process needs to be designed and maintained.  It is suggested that LASSeO is the right organisation to carry out this work, feeding the e-GIF with information about newly developed de facto and de jure standards as they appear.

Interoperability within the Local Authority Sector WP3-02v3.0

Tuesday, 4 May 2004

Interoperability within the local authority sector:
Approaches to standards; defining and classifying interoperability; typical applications.

WP3-02 - Interoperability within the local authority sector - v3.0 Release (301.50kb)

Interoperability is the cornerstone of “Anywhere, Anytime, for Anyone” card use and this paper introduces the subject and sets out some definitions. It classifies technical and business interoperability from the citizens’ perspective and proposes appropriate levels for typical local authority services.

It introduces the need for technical standards and suggests what is required to sustain them; develops a view of the relationships between technical and business interoperability and attributes values; and considers what this means for a variety of local authority applications.

The value of interoperability level combinations is shown in a matrix and a second table shows a range of services with preferred and minimum values.

In summary:

• Technical interoperability is needed to ensure that cards can be read anywhere and this means using standards and common specifications;
• Business interoperability is needed to deliver services across organisational and geographical boundaries and this means developing common business rules, policies and commercial arrangements.
• Each card scheme needs a Card Community to develop its own character, ethics, policies, and rules, but must be interoperable with other schemes to have any practical value for card users.

The paper draws upon other detailed work from the National Smart Card Project (NSCP)

Considerations for Multi Application Multi Sector Smart Cards WP3-01v5.0

Tuesday, 4 May 2004

Guidance for local authorities as they contemplate setting-up card schemes.

WP3-01 - Considerations for Multi Application Multi Sector Smart Cards - v5.0 Release (632.50kb)

This paper is intended to provide guidance to local authorities as they contemplate setting-up card schemes. It is intended that this document should be a starting point for new entrants to this area as it sets out the policy management issues that need to be considered for both large and small schemes.   It is also a fundamental tool in the continuing development of policies, rules and standards for public sector use of smart cards. In this context, Policy Management is primarily about governance of a scheme, including directing the operation of a scheme. The paper sets down and describes a series of applicable policies and for each one, indicates where specific rules are required or where flexibility is allowed which will enable the scheme operator to apply its own rules It sets out the key items requiring attention and indicates whether rules should be centrally or locally defined and controlled. The purpose of this is to identify the relationship between policy, rules and standards, required to support a degree of interoperability within and between Local Authority Smart card schemes without unnecessarily restricting freedom of choice at the local scheme level. The approach has been validated against two schemes and is ready for use for new schemes where this thinking should bring significant benefits to would-be implementers.  It has great value even if only used as a check list of issues that need to be addressed before getting a scheme off the ground.

• Framework Consortium Agreement WP4-10v3.0

  Tuesday, 4 May 2004
  
  Draft framework agreement for possible use by Local Authorities wishing to work together on smart card schemes.
  
  WP4-10 Framework consortium agreement V3.0 release (403.00kb)
  
  

  Sources of Help & Information WP4-08v3.0

  Tuesday, 4 May 2004
  
  This document identifies organisations in the public and private sectors that provide information and advice about procurement.
  
  WP4-08 - Sources of Help Information - v3.0 Release (431.00kb)
  
  

  This document identifies organisations in the public and private sectors that provide information and advice about procurement.  Where relevant, contact details for nominated individuals in post as of March 2004 are provided.  Relevant industry associations are also identified.

  The paper does not seek to make any recommendations as to the quality of information or assistance provided by any organisation. 

  It should be noted that the organisations identified will change from time to time.

  Guidance Notes on Fast Track Procurement WP4-07v3.0

  Tuesday, 4 May 2004
  
  Guidance notes for local authorities and other sections of the National Smart Card Project on how to use the S-CAT procurement route.
  
  WP4-07 - Guidance Notes on Fast Track Procurement - v3.0 Release 1 (697.00kb)

  One of the key tasks of the NSCP procurement work was to manage S-CAT and G-CAT exercises to provide scope for early procurements required within the National Project timescales.  The intention is that local authorities may use the resulting procurement mechanisms to procure goods and services to support smart card implementations over the next 3 years.  Initially only an S-CAT exercise has been undertaken, as the most urgent local authority smart card scheme procurement needs are in the areas of services and consultancy.

  The purpose of this paper is to set down guidance notes for local authorities and other sections of the National Smart Card Project on how to use the S-CAT procurement route to enable them to fast track procurements where necessary, whilst complying with public procurement rules and maintaining best value.

  The paper covers general guidance to S-CAT, including use, categories, suppliers and agency, and details the NSCP S-CAT agency agreement.

  Guidance Notes on the use of G-Cat WP4-03v2.0

  Tuesday, 4 May 2004
  
  Guidance notes for local authorities on how to use the G-CAT procurement route.
  
  WP4-03 Guidance Notes on the use of G-Cat v2.0 Release (669.00kb)
  
  

  The objective of the Procurement section of the National Smart Card Project (NSCP) is to provide local authorities and the NSCP with robust procurement guidance in order to maximise opportunities for exploiting purchasing economies of scale and delivering best-value for public expenditure on smart card schemes deployed in the local authority sector.  It is also intended to provide help and guidance to ensure that important standards development in this area is matched by good practice in deployment of smart cards and associated infrastructures by giving advice and guidance on best practice procurement specifications.

  One of the key tasks of the Procurement section was to manage S-CAT and G-CAT exercises to provide scope for early procurements required within the National Project time scales.  The intention is that local authorities may use the resulting procurement mechanisms to procure goods and services to support smart card implementations over the next 3 years.  Initially only an S-CAT exercise has been undertaken, as the most urgent procurement needs of NSCP project were in the areas of services and consultancy.

  The purpose of this paper is to set down guidance notes for local authorities on how to use the G-CAT procurement route to enable them to fast track procurements where necessary, whilst complying with public procurement rules and maintaining best value.  The paper specifically addresses the G-CAT Route only.  It is anticipated that many facets of the guidance will be the same for the S-CAT process.  It should be noted, however, that no G-Cat procurement exercise has been undertaken within the NSCP, although it is anticipated that a joint procurement exercise on the purchase of JCOP30 smart cards will be undertaken by a number of local authorities as a result of the work of the Procurement section and the Starter Pack.

  Procurement Good Practise Checklist WP4-01v5.0

  Tuesday, 4 May 2004
  
  An overview checklist of key issues to be aware of, together with suggestions as to where developed Best Practices may be applied.
  
  WP4-01 - Procurement Good Practice Checklist - v5.0 release (475.50kb)
  
  

  This document provides an overview checklist of key issues to be aware of, together with suggestions as to where developed Best Practices may be applied and against which readers can benchmark their smart card systems procurement activities.

  
  

• Report on Pilot Applications WP 6-02v2.0

  Thursday, 6 May 2004
  
  This report examines the four pilot projects that were initiated in an attempt to validate some of the concepts and conclusions described in WP6-01 - Commercial Applications: Final Report.
  
  WP6-02 - Report on Pilot Applications - v2.0 Release (1.14mb)
  
  

  This report examines the four pilot projects that were initiated in an attempt to validate some of the concepts and conclusions described in WP6-01 - Commercial Applications: Final Report.

  The four projects were:
  • Southampton Football Club
  • Red Funnel Ferries, Southampton
  • Southampton Bus Project
  • Royal Borough of Windsor and Maidenhead "Advantage" card

  Valuable lessons were learned from the early termination of the Football Club and Ferry projects, and from the need to amend the scope of the "Advantage" card proposal.  These related partly to the timing constraints imposed on these initiatives, but also in part to the need to ensure that adequate account is taken of any prospective Commercial Partner's organisational, business and marketing plans, processes and objectives.

  Both the Southampton Bus Project and the "Advantage" card scheme demonstrate positively that revenue contributions to the promotion and operational sustainability of Local Authority smart card schemes are achievable, as are capital contributions to the necessary infrastructure.  Neither project has yet been developed to the stage at which a quantitative evaluation of the benefits to all three stakeholder groups - the Local Authority; Commercial Partners; and Citizens - can be completed, but the benefits have been identified in qualitative terms.  There is every expectation that, once a body or evidence relating to the social and financial benefits has been developed, the scope and scale of Commercial Partners' contributions to the sustainability of Local Authority smart card schemes will increase.

  Commercial Applications WP6-01v4.0

  Thursday, 6 May 2004
  
  The benefits of including carefully selected and implemented commercial applications on a Local Authority issued Smart Card.
  
  WP6-01 - Commercial Applications - v4.0 Release (724.50kb)
  
  

  The overall conclusion reached by this section of the NSCP was that there is a definite benefit to all parties by including carefully selected and implemented commercial applications on a Local Authority issued Smart Card. Selection of applications will depend critically on the strategic choice relating to the card technology chosen initially, and the development trajectory envisaged.

  The work concluded that there are several potential revenue streams that may be developed by introducing commercial applications onto a Local Authority Smart Card scheme. However, merely identifying potential revenue streams does not mean that those revenue streams will be realised. It must be recognised that active marketing and business development is required on the part of the Local Authority. Local Authorities will need to learn to behave differently than hitherto to derive the revenue and other benefits that should become available to them through the deployment of a scheme with commercial links.

  The investigation demonstrated that there is a sound potential for positive cost benefits to be derived from the addition of commercial applications to public sector Smart Cards. The evidence for this at present lies in the fact that commercial organisations are increasingly seeing the potential for working with the Local Authority where a Smart Card scheme is being implemented. The level of interest is currently environment/sector specific, such as closed environments like schools, universities and other "special interest" environments.

  From the Local Authority perspective commercial applications offer a source of revenue that can either offset operational expenditure of running the scheme or be used to generate a revenue stream that can be re-invested to grow the scheme. Commercial applications also provide a mechanism for attracting and maintaining citizen interest in the scheme, encouraging regular use of the card and providing a means by which the Local Authority can reach areas of its citizen population that it finds difficult to access, as well as fostering development of closer relationships between authorities and their citizens.

  For the commercial sector the major advantage of putting their applications on a Local Authority Smart Card is the opportunity for them to reach customers they may not otherwise easily reach, as well as the potential for much more targeted marketing and product/service development. It is an important consideration for Local Authorities wishing to engage the commercial sector in this way as to how attractive the scheme can be for commercial business.

  For citizens the advantages of including commercial applications are twofold; firstly, the convenience it potentially offers for them in their varying lifestyles and at varying life stages and, secondly, the advantages and interest it offers in terms of mix of applications to suit their needs, particularly with loyalty and discounting available for frequent use.

  
  

Introductory Report WP8-13v2.0

Friday, 7 May 2004

Introduction to the Legal and Data Protection section of the National Smart Card Project

WP8-13 Introductory Report v2.0 Release (542.50kb)

1. Introduction

This paper introduces a series of reports prepared by the Legal and Data Protection section of the National Smart Card Project.
1.1 The Reports consist of the following:

•  WP8-01 Financial Services Regulation Report
•  WP8-02 Card Governance Report
• WP8-03 Security Issues Report (incorporating electronic signatures, PKI and certification issues)
• WP8-04 Information Law Report (incorporating Data Protection Toolkit)
•  WP8-05 Public Procurement Regulations Report
• WP8-07 Corporate Report
• WP8-08 Risk Register
• WP8-09 Commercial Conditions of Contract
• WP8-10 Review of the outputs of the Procurement section of the NSCP
• Constitutional Documents

This report functions as an over-arching introduction that should be read in conjunction with each of the Reports. 

Cross Certification Certification WP 8-12v2.0

Friday, 7 May 2004

A sample cross certification agreement between a joint public sector body such as LASSeO and any Certification Authority.

WP8-12 - Cross Certification Agreement -V2.0 Release (367.00kb)

This document has been prepared as a sample cross certification agreement between a joint public sector body such as LASSeO and any Certification Authority. It has therefore been preserved in form as a legal document. It is not intended to be prescriptive and although it refers specifically to LASSeO, it could, suitably amended, be used between any two Certification Authorities. 

In preparing the Cross Certification Agreement assumptions have been made about the following;

• Ownership & Maintenance
• Legal personality
• Charges
• BS7799 compliance
• Indemnity
• Competence of Certification Authorities
• Personal data - data processing

Intellectual Property Report WP8-11v

Friday, 7 May 2004

This report covers the most common forms of Intellectual Property Rights.

IP Slides (108.50kb)
WP8-11 Intellectual Property Report v2.0 Release (526.50kb)

Ownership of ideas and information is inherently difficult to protect.  However, this is exactly what the law seeks to preserve through Intellectual Property Rights (IPR).  The most common forms of IPR are: copyright, trade marks, patents, design rights and database rights, but this is by no means an exhaustive list.  All of the IPRs mentioned are governed by statute.  Which form of IPR is most appropriate in any given context will depend on the exact nature of what is being protected. This document covers the following;

• Copyright
• Trade Marks
• Patents
• Joint Ownership of IPR
• Joint Buying Groups
• Crown Copyright
• Open Source Software

Commercial Conditions Checklist WP8-09v

Friday, 7 May 2004

This document provides checklists in which details of the main commercial terms to be included in certain of the contracts to be entered into by the Card Issuer are described

WP8-09 - Commercial Conditions Checklist - v3.0 Release (1.07mb)

This document provides checklists in which details of the main commercial terms to be included in certain of the contracts to be entered into by the Card Issuer are described.  The checklists are designed to provide guidance to commercial members of the Card Issuer's contracts teams as to the key terms which the Card Issuer may wish to include in each of the relevant agreements.  In addition the checklists may act as an aide memoire  for the lawyers acting on behalf on the Card Issuer.

Risk Register WP8-08v3.0

Friday, 7 May 2004

The Risk Register identifies the key legal risks that may arise in relation to a Smart Card Scheme.

Risk Register1.ppt (94.00KB)
WP8-08 Risk Register V3.0 release (863.50kb)

The Risk Register identifies the key legal risks that may arise in relation to a Smart Card Scheme and the methods by which those risks can be mitigated by the Card Issuer, where applicable.

The Risk Register has been designed for use by Card Issuers both during the evaluation phase of a proposed Scheme to assess potential risks, and when faced with a problem during the live operation of a Scheme.

Corporate Structures WP8-07v3.0

Friday, 7 May 2004

There are a number of different types of business entity that may be used in the UK. Some of these factors are outlined in this report

Corporate Structures1.ppt (132.50kb)

WP8-07 Corporate structures V3.0 Release (728.00kb)

1.1 General
There are a number of different types of business entity that may be used in the UK.  The choice of business entity decided upon in any given situation will be driven by many factors - some of these factors are outlined in the relevant following sections of this report.

The various entities fall broadly into the following categories:

• A company
•  A limited liability partnership (or LLP)
• A partnership
• A joint venture
• A non-profit distributing organisation (or NPDO)

Companies, LLPs and partnerships are entities legally defined under UK law.  In contrast, a joint venture is a general term used to describe the joining forces of two (or more) entities, either for a specific project or on a more general ongoing basis.  In a joint venture, the legal entity could be a company or a partnership, or the joint venture could simply be on a contractual basis.  Similarly, an NPDO is not a legally defined entity and usually takes the form of a company limited by guarantee or an industrial and provident society.
1.2 Companies
A UK company can take one of the following forms:

· A company limited by shares
· A company limited by guarantee
· An unlimited company.
A company limited by shares or limited by guarantee can be either a private company or a public company.  Only a public company is able to offer its shares to the public, and it is the ability to raise finance in this way that often leads a company to seek public company status. 
1.3 Partnerships
A business may be carried on in the UK as a partnership.  Individuals, companies and other entities may be partners.  A distinction is drawn between:

• general partnerships, where the partners have an unlimited liability for the debts and obligations of the partnership, and;
• limited partnerships, where one or more general partners have unlimited liability and limited partners are liable up to the amount of their capital contributions.

Limited partnerships are not used a great deal in the UK.
1.4 Limited Liability Partnerships
A limited liability partnership, or LLP, is a body corporate with a legal personality separate from that of its partners (who are known as members).  An LLP is essentially a corporate business vehicle that combines the flexible structure of a partnership with the benefits for its members of limited liability.  However, unlike limited liability companies, LLPs have no share capital and are not subject to any capital maintenance requirements.
1.5 Joint ventures
A joint venture, which may be structured in a number of ways, can be characterised as an enterprise or venture between two or more parties to carry out and share the profits of a designated business or project.  The venture can take the form of a partnership or a company in which the joint venturers are shareholders.  A third alternative is that the venture could simply be the subject of contractual arrangements between the relevant parties.
1.6 Non-profit distributing organisations
An NPDO will usually take the form of a company limited by guarantee (see part 4.2 c) or an industrial and provident society.  An industrial and provident society is a corporate entity, they key legislation on which can be found in the Industrial and Provident Societies Act 1965.  NPDOs can provide efficient mechanisms for providing services although historically such entities have not featured strongly across the board in relation to Local Authorities.

Public Procurement WP8-05v3.0

Thursday, 6 May 2004

Public procurement law issues for a Local Authority procuring works, supplies or services for the purposes of a Smart Card Scheme.

WP8-05 - Public Procurement - v3.0 Release (725.00kb)

This report concentrates on the public procurement law issues for a Local Authority procuring works, supplies or services for the purposes of a Smart Card Scheme.

No recommendation is made in this report as to the most appropriate procurement model to be adopted as this will depend on the particular circumstances of the Scheme.

Data Protection and Information Law WP8-04v3.0

Thursday, 6 May 2004

This report considers the information law issues connected with a Smart Card Scheme.

Information Law1.ppt (114.00kb)
WP8-04 data protection and info law V3.0 release (1.17mb)

This report considers the information law issues connected with a Smart Card Scheme.  It applies the general information law issues to the specific circumstances of a Smart Card Scheme.  An overview of information law issues is set out in Appendix 2.  However, as the design of a Smart Card Scheme is something that will vary in each case this report is designed as a starting point for raising awareness of the issues to be considered.  It is not a substitute for taking specific legal advice on each Scheme.

The Office of the e-Envoy draft policy framework "Smart Cards: Enabling e-Government" cites four principal hurdles to the successful delivery of smart card services and their take-up by citizens.  Of these, two are directly relevant to information law - the need to safeguard citizens' rights in respect of Data held about them and the requirement to demonstrate someone is who they say they are, online. In addition, a MORI survey commissioned by the DCA in 2003 revealed that 60% of the public are very or fairly concerned about public services sharing their personal information. It is therefore vitally important that Card Issuers build in a consideration of the information law issues when establishing a Smart Card Scheme and that they build in compliance throughout the lifecycle of a Scheme.

Security Issues WP8-03v3.0

Thursday, 6 May 2004

This report considers the legal issues connected with electronic signatures, PKI, biometric identifiers and the security measures set out in ISO 17799

Security Issues1.ppt (128.50kb)
WP8-03 Security issues V3.0 Release (882.00kb)

This report considers the legal issues connected with electronic signatures, PKI, biometric identifiers and the security measures set out in ISO 17799. It charts the legal background to the above issues, and considers the current position under English law. Section 7 of this report considers the issues in the context of a Smart Card Scheme and the way in which certain risks may be managed by means of contract.

Card Governance WP8-02v2.0

Thursday, 6 May 2004

This report considers the legal issues connected with the card governance aspects of a Smart Card Scheme.

Card Governance (158.00kb)
WP8-02 Card Governance v2.0 Release (933.00kb)

This report considers the legal issues connected with the card governance aspects of a Smart Card Scheme. It looks at the legal issues that may arise in the establishment and operation of a Smart Card Scheme and the way in which certain issues may be managed by means of contract. An overview of the basic principles of contract law is set out in Appendix 2.

Financial Services Report WP8-01v5.0

Thursday, 6 May 2004

Key legal issues surrounding financial services regulation and consumer protection.

FSMA1.ppt (111.50kb)
WP8-01 Financial Services Report V5.0 Release (598.00kb)

This report sets out to investigate the key legal issues surrounding financial services regulation and consumer protection as it may impact on e-money, debit facilities and credit facilities if they were to be made available on a Local Authority Smartcard.

• Standards WP9-03m v2.0

  Friday, 7 May 2004
  
  This document provides an insight into the use made of standards by the Starter Pack.
  
  

  WP9-03m Standards v2.0 Release (407.00kb)

  Standards are dealt with (in a range of documents prefixed WP3) elsewhere in the project.  However, this document provides an insight into the use made of standards by the Starter Pack and touches on areas such as security, quality and information assurance, infrastructure and type approval  where further work is required. 

  Interoperability and interchangeability  are growing requirements in services to the public. They are not delivered by the formal international standards. Instead those international standards are the starting point for the development of prescriptive specifications. Such specifications, if they become generally accepted, turn into de facto standards.

  A wide definition of ‘standard’ is used in this document: ‘that which is normally used as the reference or target to aim for (document, object, etc)’. This encompasses de jure international standards (plus a small number of remaining UK national standards in this area) and specifications that have become de facto standards (from both industry and the public sector).

  Rarely are formal UK standards developed today. Instead, they are developed mainly at the European and global level. However some UK standards that have been adopted internationally are still referred to in guidelines and mandates from central government, and there are some very important UK standards not yet adopted at international level.

  
  Tourist Services WP9-03l v2.0

  Friday, 7 May 2004
  
  This document sets out the functional requirements for a Visitor Card Scheme.
  
  WP9-03l Tourist Services v2.0 Release (506.50kb)
  
  

  Local Authorities that operate citizens’ card schemes should seek to assure the sustainability and continuing viability of such schemes by establishing associated revenue-generating activities wherever possible.  At the same time, they have a duty to promote the economic success of the business community within their community.  In areas of England that attract tourism, both of the above objectives can be supported by the establishment of a Visitor Card scheme as part of a programme for Tourist Services.

  Such Visitor Card schemes would normally be owned and operated by third-party commercial enterprises in partnership with one or more LA’s.  The corporate structure would typically comprise a special-purpose-vehicle Operating Company.

  This document sets out the functional requirements for such a scheme.
  

  Sport & Amenity WP9-03k v2.0

  Friday, 7 May 2004
  
  This document sets out the functional requirements for a Smart card scheme for such services citizen services and activities.
  
  WP9-03k Sport Amenity v2.0 release (2.82mb)
  
  

  The Sport and Amenity Services within local government cover a wide range of citizen services and activities which are either managed internally or are subject of management contracts.  This document sets out the functional requirements for a Smart card scheme for such services.
  The Services may be provided all the year round (eg Indoor Leisure Centres etc) or on a seasonal or short-term basis (eg Outdoor Bowling etc).
  The range of Service Activities is wide, but there are trading similarities (and thus functional requirement similarities) between many of them.
  Fundamentally, the attributes are activities where Booking is required or where no Booking is necessary.  Booking can be offered on "First Come" basis or in conjunction with an advanced Pre-Booking System.
  Each Service may be offered in conjunction with a number of booking and/or visit restrictions/conditions including what Activities, Facilities, Days and Times, and age ranges.

  Social Services WP9-03j v2.0

  Friday, 7 May 2004
  
  This report considers how Citizen purse payments can replace cash payments.
  
  WP9-03j Social Services v2.0 release (354.00kb)
  
  

  Social Services within local government promote social welfare and are designed to support the informal care provided by families, neighbours and the community in general. 

  It is considered that Citizen purse payments to replace cash payments for both Home and Day Care services and Time & Attendance monitoring to qualify carers for Carers’ Allowance and other Carer benefits and services are ideal candidates for smart card schemes.

  This document provides functional outlines for how the services outlined above can be delivered through a chip card.

  Legal Services WP9-03i v2.0

  Friday, 7 May 2004
  
  This document provides functional outlines for how service(s), delivered through a chip card, can be developed to address e-democracy and electronic voting, especially in conjunction with smart card projects.
  
  

  WP9-03i Legal Services v2.0 Release (460.50kb)
  
  In line with central government policy development on e-government, Local Authorities are developing initiatives with regard to e-democracy and electronic voting, especially in conjunction with their smart card projects.
  Currently, there is considerable debate in the public domain associated with electronic voting and democracy, which has not yet firmed into any local or national core principles, guidelines on how an electronic voting system should function.
  The service facility on a local authority smart card, outlined in this document covers two specific areas which can be incorporated into a smart card scheme, namely:

  • Voter registration, in person and on-line 
  • actual vote casting, both local and remote

  This document provides functional outlines for how such service(s), delivered through a chip card, can be developed to address and cover some of the issues, flexibly and reliably.

  Car Parks WP9-03h v2.0

  Friday, 7 May 2004
  
  This document covers how services, delivered on a chip card, can be developed to address and cover all council car park issues.
  
  WP9-03h Car Parks v2.0 release (455.50kb)
  
  

  Local Authorities everywhere have issues with parking with regard to Council employees who need permanent parking during working hours or who need to use their vehicles to come and go through various council car parks during the course of their work, without paying.  They also have to deal with Visitors who need regular, legitimate access to those same council car parks and those who need occasional access to council car parks and who pay for such services.
  This document provides functional outlines for how such services, delivered on a chip card, can be developed to address and cover all these issues, flexibly and reliably.

  Travel WP 9-03g v2.0

  Friday, 7 May 2004
  
  This document provides functional and organisational outlines for the use of smart media.
  
  WP9-03g Travel v2.0 Release (462.00kb)
  
  

  Local Authorities in the UK have requirements to support the travel needs of citizens, particularly the elderly and those with special needs.
  
  This document provides functional and organisational outlines for the use of smart media (the chip card or other physical formats) to improve service delivery and accountability in a flexible and reliable manner.  Particular attention is given to public transport services.
  Functions described in this document conform to the ITSO™ Specification and emerging Business Rules, as developed by ITSO. Use of the ITSO method is mandated for local authorities in England. The development of the ITSO™ Specification, support services and security module has been supported, financially, by the DfT.
  
  For public transport and related travel functions managed by local authorities this document sets out: Scheme & chip architecture, Chip map, Off-line terminal requirements, Interface to host system to deal with a wide range of concessionary  passes, badges and tokens.
  

  Personnel WP9-03f v2.0

  Friday, 7 May 2004
  
  This document provides functional outlines of various services and facilities which could be incorporated in a local authority chip card.
  
  WP9-03f Personnel v2.0 Release (614.00kb)
  
  

  This particular document provides functional outlines of various services and facilities which could be incorporated in a local authority chip card, which would be relevant and useful to the authority itself such as: Badge ID; Physical and Logical Access Control, Time and Attendance, Cashless Catering and Meal Allowances, Photocopying, etc.

  Education WP9-03e v2.0

  Friday, 7 May 2004
  
  This document provides smart card functional requirements for Education Services.
  
  WP9-03e Education v2.0 Release (3.03mb)
  
  

  This document provides smart card functional requirements for Education Services.
  It covers a wide range of facilities and functions as set out below:

  • Citizens' Purse Payments, Education Catering Allowance and Education Catering Purse
  • Healthy Eating Points and School Shop (Stationery, Uniform etc)
  • Access Control - Physical & Logical
  • School & Examination Registration and Attendance
  • Clothing Grants, Higher School Bursaries
  • School Extras - Music Tuition, School Trips etc
  •  School Libraries - Borrower
  • Parental Communication

  Arts and Culture WP9-03d v2.0

  Friday, 7 May 2004
  
  This document provides functional specifications for Arts & Cultural Services card schemes
  
  WP9-03d Arts Culture v2.0 Release (849.00kb)
  
  

  Local Authorities typically operate a centralised Library Management System to which all Branch Library Terminals are linked on-line.  These systems are available from a limited number of specialist software suppliers.

  This particular document provides functional specifications for Arts & Cultural Services card schemes, covering Libraries, membership, Library Borrowers, a wide range of transaction types and ancillary services such as Fax, Internet and Photocopier use.

  Core Functions WP9-03c v2.0

  Friday, 7 May 2004
  
  This document covers the Core Functions of a Citizen Purse in detail showing Payment Integrity and Transaction Types.
  
  WP9-03c Core Function v2.0 Release (758.00kb)
  
  

  This document and all related WP9 specification documents have been developed by the NSCP to aid those considering the introduction of a multi-application smart card scheme.  It is not the intention that they should be followed in a prescriptive way, but used as a basis for scheme development.

  This particular document sets out the functional requirements describing the minimum features and core logical processes required for a Citizen Purse to provide Consumers and Merchants with a payment product that is faster, easier and more convenient than physical cash, particularly in small value transactions.

  The Functional Requirements do not imply any particular Purse Specification.

  It covers the Core Functions of a Citizen Purse in detail showing Payment Integrity and Transaction Types.

  Terminals and Devices WP9-03b v2.0

  Friday, 7 May 2004
  
  This document is to be used as a basis for scheme development.
  
  WP9-03b Terminals Devices v2.0 Release (649.50kb)
  
  This document and all related WP9 specification documents have been developed by the NSCP to aid those considering the introduction of a multi-application smart card scheme. It is not the intention that they should be followed in a prescriptive way, but used as a basis for scheme development.
  This particular document provides specifications for various types of terminal, which could interact with smart cards in the process of delivering services, either within local authority premises or on sub-contractor sites, where they may need to be incorporated within existing systems.
  
  It covers generic requirements for Terminals and Devices for:

  • Local Consolidation Servers
  • Retail EPoS Terminals
  • Unattended Purse Load Terminals
  • Unattended PoS (Vending) Terminals
  • On-Bus Terminals
  • Car Park Terminals & Barriers
  • Library Readers
  • Library Self-Check Terminals

  Scheme Architecture WP9-03a v2.0

  Friday, 7 May 2004
  
  This document provides a functional specification for the Starter Pack scheme.
  
  WP9-03a Scheme Architecture v2.0 release (1.72mb)
  
  

  This document and all related WP9 specification documents have been developed by the NSCP to aid those considering the introduction of a multi-application smart card scheme.  It is not the intention that they should be followed in a prescriptive way, but used as a basis for scheme development.

  
  The Functional Requirements for the National Smartcard are based upon the model used by the international banks for their global and inter-operable debit and credit card products.  They also take into account many of the electronic cash schemes, such as Mondex and VisaCash, that have been implemented and piloted around the world.

  
  Against this background has been the need to recognise that the National Smartcard may simply provide an extra Payment Method which will be accepted alongside existing Payment methods at the Point-of-Sale and which may well be a part of a multi-tender transaction.

  
  The fundamental philosophy is that the Chip is the Master and that the Cardholder Management Database will be updated at the End-of-Day to mirror the contents of each Chip.  Thus, so long as all Chip Acceptor Transaction Records have been successfully polled, it will be possible to reconstruct the Chip Map at the Host and, subject to Card Scheme policy, produce Replacement Cards within a relatively short period of time.

  
  This document provides a functional specification for the Starter Pack scheme with a schematic architecture including central host system modules and associated networks.  It deals with the necessary cardholder management sub-system, personalisation management, hot card management, site & chip acceptor management, and an application management sub-system.
  

  Market Research - Starter Pack Requirements WP9-02v8.0

  Friday, 7 May 2004
  
  This document identifies what local authorities would require in a starter pack.

  WP9-02 Market Research Starter Pack Requirements - v8 Release (501.50kb)
  
  The main purpose of the National Smart Card Project is to assist local authorities embarking on smart card projects, and the main purpose of this study, as a contribution to the National Project has been to identify what such local authorities would require in a starter pack.  To achieve that objective we have contacted, or tried to contact, all English local authorities and in the process we have collected information about smart card projects, both planned and implemented.

  First some smart card basics: The NSCP is interested in two basic types of smart cards, Contact and Contactless (Proximity) Cards.  Contact smart cards are read when the reader contacts a small chip on the front of the card.   Contactless smart cards are read via an antenna, eliminating the need to insert and remove the card by hand.  Once such a card is in close proximity to a reader receiver, the card will begin communicating with it.  Contactless cards can be used in applications in which card insertion/removal may be impractical or in which speed is important, for example almost all smart cards used for transport user applications are contactless - using a contact card would seriously slow down the loading of a bus.

  Authentication is a key issue.  Smart cards can be used to identify a person and hold information about that person.  In this case, it is important that the information is correct about the person identified and that the person identified is the person using the card.  The implications of the information about the person identified being incorrect can be very serious.  For example, in healthcare applications in which the card may hold medical information about the holder that could be crucial in emergency treatment, the correctness of the information could be a matter of life or death.

  Smart cards have four main functions:  to gain access to buildings or facilities; to prove entitlement to benefits in various forms, to record an event or a transaction and to make payment.  Almost all smart card functions fall into one of these four categories and most smart card applications use a combination of these functions as described below.

  Local authorities provide services in dozens of service areas, such as education, libraries, leisure etc., and within those areas literally hundreds of specific services are provided.  Service users need to identify themselves, often to confirm entitlements and in most cases events can be recorded and goods and services paid for, so smart cards can be used in some way in most local authority service areas.

  To illustrate, popular and typical applications are: in Education to record attendance at school, enable cashless catering and encourage further education (Connexions Card); in Leisure to record use of facilities, enable payment for services and facilities used and confirmation of entitlements for people who qualify for free or reduced cost services; and in Libraries and many other areas.  Transport is another very important smart card area because a higher proportion of citizens use, or are entitled to use, public transport than any other local authority service, and because people use transport services, over wider geographic areas than other local authority services.

  
  With this background, (as of mid-2003) over 100,000 multi-application cards have been issued and most of these by just four projects, Cornish Key, NERSC, Southampton Smartcities and Newham Connects.

  About 160,000 single application cards have been issued and these are mainly transport cards related to two projects, Nottinghamshire and Nowcards (NB Transport for London's Oyster card has been launched since this report was submitted.

  Over 100 English local authorities are either considering/evaluating smart card projects (53) or are in the process of planning smart card projects (52).  Including the 36 or so local authorities involved in active smart card schemes therefore, about 140 out of the total 430, or about one third of, English local authorities are in some way involved in smart card schemes.

  Several key issues were identified in the study, all of which relate to smart card efficiency and effectiveness.  The issues are as follows:
  · which types of smart card to use;
  · wallet bulge; 
  · branding;
  · cost per smart card application
  o how many applications per card;
  · application hierarchy
  o national versus, regional, versus local applications;
  · standards
  o to what extent should standards be adopted by local authorities
  o which standards;
  · What project approach to adopt
  o tactical or strategic.

  With regard to starter pack requirements, local authorities require responses to the following questions:
  - What are smart cards and how can they be used by local authorities, and in broad terms what are the potential costs and benefits?
  - What needs to be done to determine which applications, if any, should be considered first?
  - What partnerships with other organisations should be considered?
  - What are the smart card options and what should be taken into account in making a choice?
  - What hardware and software is required and what products and services are available from which suppliers?
  - Is there a business case for the project?
  - What are the key implementation issues and what is to be learned from experience so far?
  - How should cards be promoted to potential users and local authority employees?

  Starter Pack Overview WP9-01v2.0

  Friday, 7 May 2004
  
  This document is intended to be read by any individuals who have an interest in the National Smart Card Starter Pack.
  
  WP9-01.1 - Starter Pack - Overview v2.0 Release (887.00kb)
  1. Preface
  This document is intended to be read by any individuals who have an interest in the National Smart Card Starter Pack.

  2. Scope
  This document intends to provide an overview as to what the National Smart Card Starter Pack is and the benefits it can provide to a Local Authority.
  It also provides high level examples of the Smart card issuance process and Smart card management with an overview on each section.

  3. Assumed Knowledge
  This document assumes the individual has no knowledge of the National Smart Card Starter Pack or general knowledge of Smart cards.

• Bolton WP10-09v2.0

  Thursday, 6 May 2004
  
  Case Study
  “Councils work in partnership to launch interoperable smart card with multi-agency applications”
  
  WP10-09 - Case Study Number 9 - Bolton v2.0 Release (171.00kb)
  
  

  Bolton Metropolitan Borough Council and Blackburn with Darwen Borough Council are running a smart card pilot with the ambitious aim of proving that a local authority card can interoperate between different councils and public sector agencies.

  Kettering WP10-08v2.0

  Thursday, 6 May 2004
  
  Case Study
  “Kettering links up with national Connexions card”
  
  WP10-08 - Case Study Number 8 - Kettering - v2.0 Release (171.50kb)
  
  

  Every year about 173,000 young people between the ages of 16 and 18 are not involved in any education, training or employment. A further 25% experience obstacles which cause many to drop out before completing their planned course of learning, according to Government statistics.

  These patterns reduce the chances that those young people have of obtaining a rewarding job later in life and furthermore the situation contributes to a reduction in the country's overall economic competitiveness.

  The Connexions Card is one of a range of measures that has been introduced by the Government aimed at increasing the numbers of young people who stay on in education and training. The Social Exclusion Unit's report 'Bridging the Gap' published in 1999 found that financial barriers were preventing many young people from staying in learning. The report recommended that a youth 'smart card', now branded the Connexions Card, should be introduced to help tackle social exclusion by reducing some of the financial barriers preventing young people staying in post-compulsory learning.

  Cornwall WP10-07v2.0

  Thursday, 6 May 2004
  
  Case Study
  "Council partnerships underpin successful development of Cornwall's smart cards"
  
  WP10-07 - Case Study Number 7 - Cornwall - v2.0 Release (170.00kb)
  
  

  More than 60,000 Cornish residents, representing about 10% of the population, now have a Cornish Key card and are able to obtain certain public services in a smarter way.
  
  The Cornish Key card is a citizen card that identifies people as a resident of Cornwall. Their photograph appears on the front of the card along with their name in a format that suits them. It has replaced library membership cards, fare concession cards, council employee cards, school meal cards and car park cards and it will eventually replace a number of other cards issued by Cornwall's local authorities.

  North East WP10-06v2.0

  Thursday, 6 May 2004
  
  Case Study
  "Smart Card Networking across the North East"
  
  WP10-06 - Case Study Number 6 - North East - v2.0 Release (172.00kb)
  
  

  The North East Regional Smart Card Consortium (NERSC) covers all the local authorities from the Tees to the Tweed

  Its aim is to support three million ‘smart’ application users by 2010. ‘Smart’ applications, in this case, means that they are held on or accessed via a smart card. The technology will be even ‘smarter’, the consortium says, if the applications themselves are joined-up services.

  Newham WP10-05v2.0

  Thursday, 6 May 2004
  
  Case Study
  “Newham’s new library offers self-service with a smart card”
  
  WP10-05 - Case Study Number 5 - Newham - v2.0 Release (171.00kb)
  
  

  Self-service is the order of the day at Newham's modern Forest Gate library. Local citizens can now use new hi-tech smart cards to efficiently issue themselves with their own library books or DVDs.

  Chester WP10-04v2.0

  Thursday, 6 May 2004
  
  Case Study
  “Chester City Council creates a smart city with Charisma”
  
  WP10-04 - Case Study Number 4 - Chester - v2.0 Release (172.00kb)
  
  

  Chester City Council is committed to ensuring that plenty of citizens are flaunting their Charisma. The council has just launched an innovative new smart card called Charisma Select, which signals the start of a bold new initiative to modernise the delivery of the council's public services.

  Southampton WP10-03v2.0

  Thursday, 6 May 2004
  
  Case Study
  "Southampton prepares for new interoperable transport smart card"
  
  WP10-03 - case Study Number 3 - Southampton - v2.0 Release (171.50kb)
  
  

  The Integrated Transport SmartCard Organisation (ITSO) has launched a new industry standard to make interoperable smart cards a reality. Supported by the Department of Transport and with members that include bus operators, train companies, local authorities and industry, the aim is to revolutionise the use of smart cards in transport. The public will benefit from these developments because passengers will have tickets that are re-usable and are genuinely interoperable. They can be used on buses, trains and other forms of transport.

  Bracknell WP10-02v3.0

  Thursday, 6 May 2004
  
  Case Study
  "Bracknell keeps at the edge of the smart card revolution"
  Justin Hunt
  
  WP10-02 - Case Study Number 2 Bracknell - v3.0 release (224.00kb)
  
  

  Bracknell Forest is leading the smart card revolution with the roll-out of its multi-application citizen card which aims to provide better access to local public services.
  
  So far the council has issued over 19,000 edge cards and its long-term desire is to see the whole 110,000 population of the Borough owning one so they can enjoy the full range of service benefits it provides.

  Doncaster WP10-01v3.0

  Thursday, 6 May 2004
  
  Case Study
  "Doncaster students get fit and healthy with new multi-application smart cards" Justin Hunt
  
  P10-01 - Case Study Number 1 Doncaster - v3.0 Release (223.00kb)
  
  

  Case Study
  "Doncaster students get fit and healthy with new multi-application smart cards" Justin Hunt

This document is intended as specification for the provision of local authority services on a Mifare ® 4K Classic card.

Intended Readership
Developers requiring to integrate with a Mifare ® 4K card encoded in accordance with this specification.

NSCP_Mifare4k_Spec_V3.1.pdf 417 kb

This document is intended as a single reference for all NSCP services regardless of the card platform.

Intended Readership
Developers requiring to integrate with cards providing NSCP services.

Services and Data Definitions V2 0.pdf - 234kb

DESFIRE Specification V1 0.pdf 266kb