Philadelphia’s beleaguered transit agency is reversing deep service cuts after Pennsylvania Gov. Josh Shapiro on Monday approved a plan to finance daily operations from the agency’s capital budget.
Southeastern Pennsylvania Transportation Authority is tapping $394 million of its unobligated capital assistance funding, which pays for vehicles, maintenance and infrastructure. The agency will also raise fares by more than 20 percent.
That will reverse the 20 percent service cut SEPTA implemented in August while maintaining current service for at least two years. The agency said it faced a $213 million deficit amid stalled budget negotiations in Harrisburg. Shapiro and the Democratic-controlled House have pushed for new dedicated transit money alongside road and bridge funding, while the Republican-controlled Senate has argued that SEPTA should balance its budget via rate hikes and existing funding.
Shapiro, a Democrat, approved the move after a state court last week ordered SEPTA to reverse its service cuts, pending a lawsuit that argues the transit agency’s funding crunch is a manufactured crisis. Judge Sierra Thomas Street did not include an explanation with her order, according to The Philadelphia Inquirer.
