SEPTA proposes fare adjustments to combat $240 million annual budget deficit
The Southeastern Pennsylvania Transportation Authority (SEPTA) has proposed fare adjustments, including the elimination of a number of discounts, as the authority faces a $240 million annual budget deficit with the exhaustion of federal COVID-19 relief funds.
While the state of Pennsylvania’s 2024-2025 budget includes a small additional distribution to SEPTA, it is less than 25 percent of what the authority originally requested and the authority notes the need for a permanent solution grows more urgent by the day.
“The SEPTA Board has worked tirelessly to advocate for transit funding,” said SEPTA Board Chair Kenneth E. Lawrence, Jr. “We are optimistic about an agreement on funding in Harrisburg; however, we need to act now to ensure that SEPTA is best positioned to provide reliable service to the city and region.”
The proposal would bring the Travel Wallet fare on buses, subways and trolleys to $2.50, which is the same as the cash fare. Free transfers on Transit would remain and SEPTA would eliminate restrictions on direction of travel for transfers – introducing new flexibility that would allow for more roundtrips on a single fare.
The proposal would also increase most single-trip fares on Regional Rail and align Travel Wallet and Quick Trip pricing. All daily, weekly and monthly passes would remain the same price. In addition, three Zone 2 stations would become Zone 1 stations. Customers with weekly or monthly TransPass+ would have access to Regional Rail services at Overbrook, Wissahickon, and Tulpehocken stations at no additional cost – bringing the total number of Zone 1 stations to 18. The change supports the vision of SEPTA's Reimagining Regional Rail plan to integrate Regional Rail with SEPTA Metro and Bus.
“We worked hard to make sure this fare proposal is equitable,” said SEPTA CEO and General Manager Leslie S. Richards. “We know that no one wants to pay more for anything but we are pulling out all the stops to try to avoid devastating service cuts. Without new state transit funding, we will have to consider additional fare increases in the spring. What we are announcing today is an initial step toward planning for our uncertain future.”
SEPTA’s last fare increase was in 2017. Planned fare increases in 2020 were deferred due to the COVID-19 pandemic. The proposed fare adjustments would generate an additional $14.4 million in annual revenue.
The agency also continues to evaluate fiscal measures to reduce budgeted spending, including putting a hold on non-essential employee travel, hiring and other expenses. SEPTA has enacted close to $20 million for Fiscal Year 2025 so far. The efforts build on SEPTA’s Efficiency and Accountability Program, which has already realized $50.2 million in recurring annual revenues and cost savings.
Despite funding constraints, SEPTA is consistently providing a high level of service on buses, subways and trolleys. Next week, the authority is making the first major post-pandemic service increases on Regional Rail by adding 99 weekend trains and 24 weekday trains to the schedule.
After four years of offering free parking to help attract customers back to the system, SEPTA will reinstate parking fees with a phased approach beginning Sept. 23. Daily parking rates at SEPTA-owned surface lots will increase to $2 from $1 and to $4 from $2 at the three garages: Frankford Transportation Center, Norristown and Lansdale. The fees will help offset parking lot maintenance costs.
SEPTA must ensure that funding is available to continue to focus on efforts that are making the system safer, cleaner and more secure. Since last fall, the authority has hired 40 new police officers and serious crime has decreased by 37 percent during the first half of this year. With more officers, SEPTA is enhancing enforcement of offenses such as fare evasion, smoking and quality-of-ride issues. The authority is also looking to add more full-length gates at stations to help prevent fare evasion, following a successful pilot of this new technology.
SEPTA will hold public hearings regarding the proposed fare adjustments on Oct. 16 at 10 a.m. Pending approval by the SEPTA Board on Nov. 21, the proposed fare adjustments would go into effect on Dec. 1.
