SEPTA To Get $153M In Federal Highway Funds, Shapiro Says

PHILADELPHIA — Gov. Josh Shapiro Friday announced PennDOT will direct $153 million to SEPTA to stave off service cuts and the looming massive fare increase.

Shapiro made the announcement in Philadelphia Friday alongside Philadelphia Mayor Cherelle Parker, PennDOT Secretary Mike Carroll, state, local, and federal leaders from Philadelphia and Bucks, Chester, Delaware, and Montgomery counties, SEPTA leadership, transportation workers, and others.

"As Governor, I have a responsibility to serve every region of our Commonwealth — rural, suburban, and urban," he said at a news conference. "Over the past two years, we’ve come together on a bipartisan basis to invest $330.5 million in additional funding for Pennsylvania’s roads and bridges, repairing more poor-condition bridges than any other state and improving more miles of roadway than at any time in the past decade. But while we’ve made great progress on our roadways, we must also address the needs of mass transit riders, particularly those in Southeastern Pennsylvania who rely on SEPTA every day to get to work, school, medical appointments, and more."

Shapiro directed Carroll to start transferring $153 million in federal highway capital funds to SEPTA.

This funding boost will prevent immediate service cuts and a planned 21 percent fare increase, allowing the transit agency – which serves 800,000 people across Southeastern Pennsylvania every day – to maintain critical operations through at least July 2025.

>>>SEPTA Fares Going Up 7.5 Percent Next Month<<<

The flexing of federal highway capital funds, a standard practice in Pennsylvania and across the nation, temporarily reallocates funds from projects not yet underway.

Shapiro's announcement does not jeopardize or halt any ongoing infrastructure projects already underway across the Pennsylvania, the governor's office said. The projects are not yet under construction or have been put out to bid.

>>>RELATED: SEPTA, Union Reach Tentative Agreement On 1-Year Contract<<<

"While the Pennsylvania House of Representatives has passed bipartisan legislation — modeled off my budget proposal — three times in 2024 to increase funding to SEPTA and other public transit agencies statewide, the State Senate did not act on those bills or their own version of funding for mass transit," Shapiro said. "In order to prevent critically damaging service cuts and fare increases ahead of our next state budget, I have directed PennDOT Secretary Mike Carroll to begin the process of flexing $153 million of federal highway capital funds to SEPTA. This action allows for continued service and for SEPTA to avoid immediate service cuts and delay more significant fare increases until July 1, 2025."

Shapiro also secured commitments from the five counties that fund SEPTA to increase their local share, delivering millions in additional funding for the transit agency.

These combined efforts will allow SEPTA to maintain current operations, continue investments in safety and cleanliness, and prepare for high-profile events in the coming years, including America’s 250th anniversary, the FIFA World Cup, and the MLB All-Star Game in 2026.