Myth-Busting SEPTA

For the Pennsylvania state budget, mass transit funding is all the rage these days—literally. The primary debate in Harrisburg revolves around the question of whether to send more state dollars to the Southeastern Pennsylvania Transportation Authority (SEPTA) and other public transit agencies.

Unfortunately, deceptive claims also encapsulate this conversation. So, let’s discuss some of the more blatant examples of misinformation.

Myth: Mass transit needs state funding.
Fact: Pennsylvania’s mass transit, especially SEPTA, is more dependent on state funds than other major municipalities’ systems.

State subsidies represent nearly two-thirds—65.8 percent—of SEPTA’s operating budget. The rest comes from federal subsidies (3.4 percent), local subsidies (9.5 percent), and passenger revenue (16.1 percent). According to data from the Federal Transit Administration (FTA), Boston and New York receive 34 percent and 24 percent of their revenue from fares, respectively.

Compared to other transit agencies with more than $1 billion in operating expenses, SEPTA receives the fourth largest share of its funding from state sources.

And this pattern of SEPTA’s overreliance on state funding has only gotten worse over time. Since 2007, SEPTA passenger revenue has decreased by about 20 percent while state subsidies have increased by 169 percent.

Some of these state sources originated with the federal government. Last year, Gov. Josh Shapiro redirected $153 million in federal highway capital funds to SEPTA, forcing millions of taxpayers to subsidize trains and buses they will never use.

SEPTA isn’t alone in this overreliance on state taxpayers. In fiscal year 2024–25, Pennsylvania mass transit agencies received more than $2.4 billion in state funding from sales and use tax collections, vehicle taxes, and motorist charges. Since fiscal year 2015–16, state funding to mass transit agencies increased by 36 percent.

Even during the current budget impasse (caused primarily by the debate over transit funding), Harrisburg continues to distribute this funding. The current debate is over increasing mass transit by another $300 million per year.

Myth: SEPTA is responsive to the needs of its riders.
Fact: SEPTA hasn’t updated or adjusted its routes in 60 years.

In 2022, SEPTA announced its “Bus Revolution,” the agency’s first route update in six decades. To say the very least, SEPTA is long overdue for some updated services.

However, SEPTA’s proposed cuts seem arbitrary and capricious.

Interestingly, the agency has threatened to cut popular, profitable routes. For example, special services like the Sports Express to Lincoln Financial Field, Citizens Bank Park, and the Wells Fargo Center.

Moreover, the date for SEPTA’s service cuts has become a moving target. In April, the agency warned about impending cuts on July 1, 2025—one day after the state budget deadline. Then, when lawmakers didn’t deliver the bailout it sought, the service cut date moved to August 24, 2025—the day before Philadelphia students return to school.

All in all, SEPTA has threatened to cut routes by 45 percent over a 10 percent increase in revenue. It’s hard not to see these as political stunts to scare Pennsylvanians into shelling out more money for SEPTA.

Myth: People rely on SEPTA.
Fact: Overall ridership is down compared to pre-pandemic levels.

System-wide ridership for SEPTA remains low compared to its numbers before the COVID-19 pandemic. Ridership is still at 72 percent of pre-pandemic levels.

Moreover, even SEPTA board members don’t ride. The Daily Pennsylvanian found that six SEPTA board members have not used a SEPTA bus or train since the beginning of 2024. Some members’ lack of use dates back further.

Myth: Mass transit is popular.
Fact: Bailing out mass transit isn’t.

While many may view public transit favorably, Pennsylvania voters aren’t keen on the idea of bailing out mismanaged transit agencies.

Polling shows that a majority of Pennsylvanians—54 percent—oppose the proposed $300 million bailout for transit systems in Pittsburgh and Philadelphia. Only 35 percent support the bailout.

Myth: SEPTA has addressed safety concerns.
Fact: Despite marginal improvements, safety concerns and quality-of-life violations remain prolific.

SEPTA has always struggled with crime—everything from stabbings and shootings to public urination and drunkenness. Following the COVID-19 pandemic, these safety issues increased dramatically.

Although serious crime has decreased in the first half of 2025, riders continue to express their concerns about safety. These issues have become so severe that the Pennsylvania Attorney General David Sunday recently announced a new special prosecutor dedicated to SEPTA crimes specifically.

Fare evasion—SEPTA’s most costly crime—remains a problem. Transit Police Chief Charles Lawson claimed that three out of 10 people “regularly paid a fare last year.” SEPTA claims to lose about $30 million to $50 million annually due to fare evasion. This year, more than 3,200 people have been criminally charged for evading fares.

Better enforcement would provide more peace of mind for riders.

Myth: SEPTA is one of the most efficient agencies in the nation.
Fact: SEPTA is, at best, middle of the pack according to federal data.

“Despite the public’s commonly held misconceptions, our transit agency is actually one of the best at making your dollar go further, or more accurately, making your transit go farther for less,” writes Alan Fisher, host of The Armchair Urbanist podcast.

That depends on how and what one measures.

Fisher made his assessment by dividing SEPTA’s total operating budget by its daily ridership. He then compares that figure with those of other major cities’ transit agencies. Comparatively, this figure does seem to cast SEPTA in a good light.

But if we genuinely want to measure transit going “farther for less,” we must factor in mileage. A better metric for measurement is the cost per passenger mile (CPPM), which measures the average expense incurred to transport one passenger for a single mile.

According to FTA data, SEPTA is, at best, in the middle of the road compared to other agencies.

For commuter rail, SEPTA’s CPPM is $1.21. Comparatively, Denver’s Regional Transit District (RTD) is $0.83, and the Massachusetts Bay Transportation Authority (MBTA) is $0.94.

For buses, SEPTA’s CPPM is $3.48. RTD is $1.82, the New Jersey Transit Corporation is $1.28, the Metropolitan Transportation Authority in New York is $2.27, and the MTBA is $3.15.

When measuring cost per passenger mile, claims of SEPTA’s efficiency seem overstated.

Also, SEPTA doesn’t offer the best bang for their commuters’ buck. ValuePenguin, a personal finance publication created by LendingTree, measured compared pricing for 73 major cities and their transit agencies, and Philadelphia ranked 30th nationally. Transit in San Francisco, Boston, Seattle, Chicago, and Washington, D.C., proved to be more affordable.

Myth: As public entities, mass transit agencies are accountable.
Fact: Agencies like SEPTA have lacked genuine oversight and accountability.

Throughout the years, SEPTA has been in the news for its inept management.

• In 2017, SEPTA ordered 45 cars from the China Railway Rolling Stock Corp. (CRRC), a company owned by the Chinese government. The order that would cost the agency $185 million. Four years later, CRRC never delivered. Before canceling the contract, SEPTA had paid $50 million that it will never recoup.
• In 2019, SEPTA spent more than $24 million on 25 electric buses. But all the buses are broken, so SEPTA sidelined the EV fleet. One even burst into flames while collecting dust in a bus depot.
• Using taxpayer funds, SEPTA pays millions to lobbying firms.
• SEPTA announced a new $230 million electronic fare-collection system. This new system comes after already spending $285 million on a system that proved to be extremely glitchy.
• SEPTA continues to pay a six-figure salary for Leslie Richards, the agency’s former CEO, who left SEPTA last year.

This is just a small sample of stories. Yet, despite the copious number of examples of mismanagement, SEPTA leadership has never faced any meaningful repercussions or consequences.

Myth: The Pennsylvania Senate Republicans have caused the budget impasse.
Fact: Both Shapiro’s and the House’s budget proposals don’t address the state’s massive budget deficit, meaning their proposals are non-starters.

In February, Governor Shapiro released his 2025–26 budget proposal. A part of his $51.5 billion proposal, the governor’s plan included a $300 million bailout for SEPTA and other transit agencies.

However, his proposed budget never addressed the commonwealth’s structural deficit problem. In fact, it made things worse, creating a projected $5 billion shortfall. This pending deficit exists despite Shapiro proposing to raid $1.6 billion from Pennsylvania’s Rainy Day Fund, a statewide reserve for emergencies. Moreover, the governor proposed draining $988 million from the Public Transportation Trust Fund (PTTF).

Pennsylvania House Democrats also didn’t adequately address the deficit when they passed their version of a state budget in July. House Bill 1330, the General Appropriations Act, projected a $5.3 billion shortfall.

Passing a balanced budget is a constitutional duty for Pennsylvania lawmakers. Therefore, passing an imbalanced budget is performative politics at best and a dereliction of duty at worst.

The Pennsylvania House of Representatives also passed a bill to increase the state sales tax to generate additional funding for public transit. Senate Majority Leader Matt Bradford blamed Senate Republicans for not addressing transit funding. “They have been on vacation,” said Bradford. “They have not shown up. That is not acceptable. That is refraining from the task.”

Yet, Senate Republicans faced similar legislative roadblocks in the past. Last year, state Sen. Daniel Laughlin introduced legislation to codify accountability measures for transit funding. Laughlin’s bill reintroduced a similar measure by state Sen. John Yudichak from last year’s session. Both measures passed the state Senate, but the state House stonewalled both.

On August 12 (well before SEPTA’s arbitrary deadline), the Pennsylvania Senate passed its own version of a spending plan. The plan proposed diverting $1.2 billion from the Public Transportation Trust Fund (PTTF) over two years—half of which would go toward mass transit. Despite this proposed spending, SEPTA still announced its intention of cutting services, further demonstrating how meaningless the agency’s deadline was in the first place.

Lawmakers must put aside political kabuki for the sake of genuine good-faith negotiations that result in responsible fiscal policies.