Washington Examiner

Local authorities considering new taxes to address mass transit’s financial difficulties

The Financial Crunch Facing Philadelphia Public Transit⁣ Sparks⁤ Urgent Discussion

The financial challenges plaguing Philadelphia’s public ‌transit system have become a pressing​ concern​ for state lawmakers.​ Recognizing the ⁢significance of addressing ⁣the Southeastern Pennsylvania⁢ Transit Authority’s $240 million budget deficit, the‌ House‍ Democratic Policy Committee convened​ to ‌delve into the issue.

“Public transit is truly a ‌lifeline to my community,”

emphasized Rep. Ben Waxman, D-Philadelphia. He stressed the vital role it plays⁤ in connecting people and urged a fresh perspective on financing transit systems.

Despite SEPTA officials sounding the alarm about potential service cuts and fare hikes for over a ⁣year, state officials have been slow‍ to propose solutions. Waxman introduced a bill last April ⁣that would ⁣enable local taxes to support public ⁣transportation,‌ but it has ⁣made ‌no progress.

However, Governor Josh Shapiro’s recent budget⁢ proposal, ‍which suggests reallocating sales tax to partially fund⁤ SEPTA, has brought renewed attention to Waxman’s bill.

“Transit in Pennsylvania is severely underfunded compared to other‍ states,”

highlighted‍ SEPTA CEO and General‍ Manager Leslie Richards. She expressed ⁢optimism about⁣ Shapiro’s⁢ proposal, stating⁤ that it would‌ provide a stable foundation for the⁢ agency and have a⁣ tremendous impact on‌ the system.

Ridership has dropped to‍ 65% of pre-COVID levels due to remote work shifting ⁣commuting patterns. Nevertheless, SEPTA still facilitates‌ over 700,000 trips daily in the region. Richards ⁣drew a parallel to the national attention garnered ⁢by‍ the collapse of I-95, which served 129,000 trips per day.

“We⁤ are a company ⁣like ​CVS or ‌Aramark when it comes to⁢ the economy of the commonwealth,”

asserted Richards, underscoring the significance of SEPTA’s role.

If ⁤Shapiro’s proposal fails‌ to pass, SEPTA is contemplating fare increases of up ​to 31% and ​service reductions of up ‍to ‌20%.

“If we ⁤have to dismantle or decrease our service, recovery ‌in 2026 will be impossible,”

warned⁤ Richards, emphasizing the urgency of‍ finding a solution.

Currently, the‌ majority of⁣ SEPTA’s funding comes from federal and state sources, with minimal local⁢ contributions. Waxman’s proposed bill could address this ⁢issue and alleviate⁢ some of Richards’ ⁢concerns.

“The Philadelphia region has the most underfunded transit ​agency in the country,”

stated Richards. She emphasized the importance of granting Philadelphia and ​its ⁢suburban counties the option ​to​ generate ⁣new revenues‌ for the system, as it⁤ would⁤ increase local support and align with the desires of local officials.

Looking ‍ahead, Richards argued that increased‍ funding ⁣would enable station improvements, ‍the acquisition of​ new subway ​cars and trolleys, trains to the‍ airport​ every 15 minutes, and ⁤high-frequency service that eliminates the need for schedules.

Democrats ‌expressed general support for ⁢these ideas, recognizing‍ the need‌ to rectify the underfunding and neglect ‍that has hindered‌ progress ⁤in Pennsylvania.

“It is our responsibility to ensure that we ⁢prioritize this and ‌propel Pennsylvania ⁣forward,”

affirmed Rep. Mary Isaacson, D-Philadelphia.

How can⁤ funding and planning of public transportation prioritize equity and accessibility, especially for ‌low-income communities ‌and communities of color

O the pandemic, leading to a significant loss in​ fare‌ revenue for SEPTA. The reduced revenue, coupled with increased operational costs to implement safety measures, has exacerbated the budget deficit.

The​ financial crunch facing Philadelphia’s public transit system is a multi-faceted issue that requires innovative solutions. One possible solution is the implementation of a congestion pricing system, which would⁢ charge vehicles for⁢ driving into congested areas of the city. This would not only generate revenue for SEPTA but also encourage more people to use public transportation, reducing road congestion and​ air pollution.

Another option is to explore​ public-private partnerships ‌and seek private investment in the transit system. By collaborating with⁢ private companies, SEPTA can​ access additional funding and expertise to improve infrastructure, enhance services, and generate revenue through advertising and sponsorships.

Furthermore, it is essential to prioritize equity and accessibility in the‌ funding ⁢and planning of ​public transportation. Low-income communities and communities of color often rely heavily on public transit, and any cuts to ​services or increases​ in fares would ‍disproportionately impact⁤ these⁤ vulnerable populations. Funding mechanisms should be designed to ensure that everyone has access to affordable ‌and reliable transportation options.

The urgent discussion sparked by the financial crunch facing Philadelphia’s public transit system must also address the long-term sustainability of the system. As the city grows and ‍evolves, it is crucial to invest ⁢in ‌improvements such as expanding the network, upgrading ‍aging infrastructure, and⁤ embracing ‍new technologies to create a modern and ⁣efficient transit system capable of catering to the needs of a growing population.

In conclusion, the financial⁤ challenges facing ​Philadelphia’s public transit system necessitate‌ immediate action and a comprehensive approach. State lawmakers, along with SEPTA officials and community stakeholders, must work together to find viable solutions that ensure the financial stability⁢ and long-term sustainability of the transit system. By investing‍ in public transportation, Philadelphia can‌ continue to thrive⁤ as a vibrant and accessible city for all residents.


Read More From Original Article Here: New local taxes eyed for mass transit financial woes

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