SEPTA proposes service cuts and fare increases of nearly 30%

 Describing SEPTA as being at the “edge of the fiscal cliff,” the transit agency’s chief operating officer on Tuesday unveiled a proposal that would lead to fare increases of nearly 30% by January 1.

“Unfortunately, we have news to share that’s going to be very difficult for SEPTA’s customers and stakeholders. The state legislative session ends this week, and we’re still without a funding solution for public transportation,” SEPTA COO Scott Sauer said Tuesday at a press conference. “For the last two years, we warned and discussed with everyone the fact that we would be facing major fare increases and severe service cuts without a new funding solution for the everyday operations of the public transportation system.”

Sauer said there will be two public hearings on the fare increase proposals beginning on Dec. 13 as well as hearings scheduled in the spring or late winter on the looming service cuts. He said the Pennsylvania Constitution Center was selected as the site of public hearings because large turnout is expected.

Sauer said the details of the specific service cuts are still being finalized, but will result in an overall service reduction of 20% across all modes, including buses, subways, and trains. Dozens of routes would also be eliminated, and those that continue to operate will do so with “significantly less frequency,” he said.

“With major service cuts and fare increases, this is the beginning of what we’ve been saying is the transit death spiral,” Sauer said. He added that the effects of the coronavirus pandemic were partly responsible for the agency reaching the fiscal cliff.

Sauer told reporters Tuesday that the fare increases would not close the agency’s budget gap and the proposal is not a long term solution to solving SEPTA’s problems.

Discussion over public transit funding in the Pennsylvania General Assembly has gone on for months. Sauer said the agency was “promised a solution by the end of this legislative session,” but “it didn’t happen.”

The Philadelphia House delegation said in a statement Tuesday that the announcement was not a surprise, and blamed Senate Republicans, who hold a majority in that chamber.

“The House approved funding for mass transit three times over the last session, with no real action and vague concepts of ideas from the Senate in return,” said Philadelphia House Delegation Chairwoman Rep. Morgan Cephas (D-Philadelphia). “Our delegation is hopeful that 2025 will bring a more productive collaboration on a responsible solution that will serve the daily needs of nearly one million daily SEPTA riders and the increased tourism expected for our region in 2026.”

“In the short term, Philadelphians who are already struggling through difficult finances will brace for another impact to their wallets and time,” Cephas added.

Senate Republicans have said there needs to be a new revenue stream for public transit which would not place additional pressure on the General Fund.

“SEPTA must take steps to increase the safety and efficiency of the organization before any additional taxpayer dollars are committed,” Senate Majority Leader Joe Pittman (R-Indiana) said in a statement Tuesday. “Additionally, I have made it clear that any transit discussion at the state level cannot occur without consideration of transportation infrastructure investment.”

Gov. Josh Shapiro’s initial 2025 budget proposal included more funding for transit although the final budget included significantly less than what he proposed.

Some advocates of public transportation have suggested that Shapiro use federal “flex” funding to assist SEPTA, since the legislature has not reached an agreement.

Sauer told reporters on Tuesday that he’s not aware of any specific conversation about Shapiro being able to use flexible funding to assist SEPTA, but said he’s “aware that something like that happened years ago.”

Shapiro’s spokesperson Manuel Bonder said in a statement Tuesday that the state House passed the governor’s budget proposal on a bipartisan basis, “and sent it to Senate Republicans three times. The Governor believes it’s past time for the Senate to send this funding to his desk to support mass transit all across our Commonwealth, drive economic growth, and ensure Pennsylvanians can get to their destinations safely and efficiently.”

Sauer said that SEPTA has had meetings with the southeast delegation as recently as last week and participates in ongoing conversations with the governor’s office on the matter.

“I would say hopeful more than optimistic that we can get something done, but we can’t wait anymore,” Sauer said. “That’s really the message that I want to say. We can’t wait any longer. This is the end.”