SEPTA CEO calls Pennsylvania state budget ‘disappointing’ after transit funding left out

CEO Scott Sauer said SEPTA will “stand ready to work with lawmakers and the governor on a comprehensive transit funding solution.”

Scott Sauer looks on

File - Scott Sauer, SEPTA interim general manager, at a Philadelphia City Council hearing on the city's preparations for 2026 celebrations in April 2025. On June 2, 2025, "interim" was removed from Sauer's job title. (Emma Lee/WHYY)

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Pennsylvania’s long-awaited budget leaves out new funding for public transit — a decision SEPTA’s CEO called “disappointing” as the agency shifts money around to stay operational.

Budget negotiations in Harrisburg were stalled for over four months as Senate Republicans and House Democrats haggled over funding for transit, along with other key issues.

Transportation fell off the state’s priority list after SEPTA and Pittsburgh Regional Transit opted to cover operating costs with money from a reserve fund usually meant for capital projects.

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In a statement, CEO Scott Sauer said SEPTA stands “ready to work with lawmakers and the governor on a comprehensive transit funding solution.”

“While we have known for some time that new transit funding was unlikely to be included in this year’s state budget, it is disappointing to see another year pass without action to address the immediate day-to-day needs of our riders and increasingly critical short-and long-term infrastructure investments,” Sauer said.

In late October, ​​SEPTA’s board voted to shift funds from its capital budget, which is typically earmarked for facility upgrades and improvements, to prevent further service cuts. That decision followed an emergency approval from PennDOT to restore full service after earlier budget cuts caused the Philadelphia-area transit system to scale back operations. A Philadelphia judge ordered the agency to reverse the 20% service cuts.

“SEPTA is essential to the economic vitality of our region and Commonwealth, and without sufficient support, we are at risk of falling behind competitively,” Sauer said. “Just last week, voters across the country approved 13 ballot measures that will deliver over $11 billion for public transit improvements, expansions, operations and infrastructure.”

SEPTA is facing a $213 million budget deficit. Senate Republicans have introduced legislation that would require biennial reports on its financial progress and use of state funds, while also tackling fare evasion, expanding public-private partnerships, and improving bus routes.

“SEPTA is committed to doing its part by demanding fiscal discipline and accountability across the Authority and continuing with efforts to improve service reliability, safety and security and customer service,” Sauer said.

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In the meantime, Regional Rail riders are currently dealing with delays as SEPTA conducts federally mandated inspections on its Silverliner IV railcars, which date back as far as the mid-1970s, following multiple fires this year. Select trains will be canceled on the Airport, Chestnut Hill West, Fox Chase and Warminster lines on Thursday.

As of Tuesday, 206 of the 223 Silverliner IVs have been inspected, and SEPTA expects to have all of them complete by the federally mandated deadline on Friday.

Last Friday, the contract with SEPTA’s largest workers’ union expired, but union leaders have instructed members to stay on the job as negotiations continue.

This story may be updated.

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