Do I have to use the velcro on the new transponder?
Yes, the new transponder should be affixed to the windshield in order for the gate reader to capture your transponder information (from the radio chip) and thus raise the gate – the entire process is automated based on radio frequency transmissions (just like the puck transponder). It may work if you sit it on the dash, but the manufacturer does not recommend it. Remember that the transponder holds your parking permit as well, which must be clearly displayed in the lower left corner of the vehicle windshield.