Aug. 19—City Council President Kenyatta Johnson is reminding Gov. Josh Shapiro that state funding for mass transit remains unfinished — and urgent — business.
With SEPTA service cuts looming amid a structural deficit, the $46 million one-time infusion included in this year's state budget "falls short of what is needed" to make the regional transit system's finances sustainable, Johnson said in a letter to the governor.
He urged a focus on finishing the job to "honor [the] commitment" when the legislature returns to session late next month after a summer break. It is likely to be a short session, given that many lawmakers are running for reelection.
The legislature passed, and the governor signed, $80.5 million for state transit agencies. SEPTA got the largest share.
Earlier this month, Shapiro indicated that public transportation funding is still a priority as he pushed Senate Republicans, who control the Senate, to reach an agreement.
"I'm hopeful we'll be able to find a way to get skill games done, together with a piece on mass transit," Shapiro said. GOP leaders have proposed taxing skill games to generate the money for transit.
Majority Leader Joe Pittman "has made clear he wants to marry those two together," Shapiro said. "I don't have an objection to that, but I want to see it get done."
Skill games are slot-machine look-alikes that are currently untaxed and unregulated because they exist in a legal gray area. They have cropped up in bars, gas stations, and convenience stores around the state.
The state's Independent Fiscal Office estimates that such a tax would generate about $150 million in the first year.
That is far short of Shapiro's initial proposal that the state pump $283 million into the Public Transportation Trust Fund by increasing the annual allocation of state sales-tax revenue it receives, which would have brought $160 million more to SEPTA.
"I absolutely believe our governor knows the importance of this," Johnson said in an interview. "Any cuts in service would have a devastating effect on people in the city — and ultimately state tax revenues."
SEPTA projects a $240 million operating deficit in the fiscal year that began July 1 as the last of its share of $61 billion in federal pandemic aid to keep transit systems moving runs dry. Agency officials have said that they can maintain existing levels of service at current fares into the fall; still, the agency will need to propose a plan for cuts, if needed, in order to allow enough time for required public hearings.
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