The Southeastern Pennsylvania Transportation Authority, better known as SEPTA, is facing a crisis. It projects a $213 million deficit for the next fiscal year, which will lead the Authority to raise fares by 21.5% and cut service by 45%. unless it gets some help. The danger is that SEPTA will enter an economic death spiral where service cuts and fare increases lead to riders limiting trips, which will cause another deficit and more service cuts in years to come.
The SEPTA Board and its acting General Manager, Scott Sauer, month after month, have told the public that unless the State Legislature supports Governor Shapiro’s plan to fund public transit across the state, SEPTA will be forced to do so.
SEPTA is threatening riders with fare increases, including raising the Key Card fare from $2.50 to $2.90, eliminating 55 bus lines, reducing the frequency of other lines, discontinuing five regional rail lines, and stopping all service on the rail lines after 9 pm, making it impossible for sports fans and concert goers to use. After each public threat, someone from SEPTA will say, “We don’t want to do this, but we have to.”
SEPTA has threatened similar fare hikes and service cuts in the last few years. In past years, at the last minute, the Governor has “flexed” highway dollars to keep public transit funded throughout the state. The flex came after SEPTA raised fares and signed a contract with its union.
How honest is SEPTA being? There are two answers. When it comes to the devastation the fare hikes and service cuts will lead to, they present an accurate picture.
This year, it is unlikely that the Governor will be able to flex any money. Unlike in past years, SEPTA is now publicly seeking support. SEPTA’s web page lists what SEPTA does for our region and what the fare hike and cuts will mean for our economy.
There will be job losses, not only layoffs at SEPTA, but also layoffs at many companies with which SEPTA does business. Because it will be harder for people to get to jobs, some companies will move, and others will be forced to close. The estimates are 76,700 lost jobs and $6.0 billion in lost earnings.
The longer wait times will make it harder for parents to be involved in their children’s schooling. Dinners together will be fewer, and all too often, the meals served will not be home-cooked.
Property values will go down. Study after studyhas shown that living near a public transit line increases property value.
For those who drive to work, the proposed service cuts and fare increases will make the roads more crowded and the commutes much longer. The Delaware Valley Regional Planning Commission projects another 275,000 cars on the road if SEPTA implements the doomsday budget.
The average commute time in Chester County on US Route 202 would increase by 40%. The added congestion will hurt the region’s chances of becoming a warehouse and distribution hub by making it harder for companies to get products from the ports and airports to consumers.
The damage to the air quality and our health has not been projected. It should, however, not go unnoticed that more cars, more air pollution, more cases of asthma, and more trips to the hospitals and health centers.
The second part of SEPTA’s statement, that it has no choice, isn’t genuine. Last year, SEPTA passed a budget with the expectation of getting more state dollars, and it did. This year, it wants to pass a budget that doesn’t require additional state funding, so the money from the state isn’t needed.
By being willing to harm its riders, SEPTA takes the pressure off the Governor and the State Legislature to find the money every public transit agency in the Commonwealth needs. It also gives those in Harrisburg who dislike public transit exactly what they want: the demise of a public transit system and opening the door to privatization.
SEPTA has the resources it needs to stand up for its riders and refuse to begin dismantling the system. As of last year, it had over half a billiondollars in its fare stabilization fund. Based on what SEPTA did last year, which included raising fares, increasing revenue from every county, charging for parking, leaving positions unfilled, reducing bus service, and receiving flex dollars from the Governor, the stabilization fund should not have been touched.
On WHYY April 30th, 2025, acting General Manager Scott Sauer explained that cutting the City Transit division, the buses, Subway, El, and Subway Surface cars, doesn’t save much money. “20% cuts save only $ 50 million,” less than 25% of the deficit. Further fare increases above the proposed $ 2.90 will drive riders off the system, as the fare was $2.00 last year.
And of course, SEPTA can cancel its “Key Card 2” $211 million contract and use the money to keep the system operating. SEPTA can refuse to dismantle the system if it wants.
The SEPTA board should not harm its riders or begin dismantling the system so the Republicans don’t have to take ownership of the crisis. Instead, they should heed the words of the late John Lewis: “Get in the way and cause good trouble.”
Public hearings on SEPTA’s Fiscal Year 2026 Operating and Capital Budgets — including the proposed fare increases and service reductions — are scheduled for:
- Monday, May 19, 2025: 11 am & 5 pm (Operating Budget, Fare Increases & Service Reductions)
- Tuesday, May 20, 2025: 10 am & 4 pm (Operating Budget, Fare Increases & Service Reductions)
- Wednesday, May 21, 2025: 10 am & 4 pm (Capital Budget)
All hearings will be held at:
SEPTA Headquarters
1234 Market Street
Philadelphia, PA 19107
Our reporters sit through hours of city council meetings, dig through piles of documents, and ask tough questions other media overlook. Because we’re committed to addressing Philadelphia’s poverty crisis — and challenging those who sustain it. If you think this work is important too, please support our journalism.
We’re counting on readers like you.
