DelVal Residents Face Tax Hikes as Counties Spend More on SEPTA
Even though tax increases are looming, Philadelphia and the Delaware Valley counties have promised to jointly contribute $22.95 million to help shore up the coffers of the Southeastern Pennsylvania Transportation Authority (SEPTA).
That is unwelcome news for Delaware County taxpayers. Delaware County faces a $76 million budget deficit, and residents are looking at a 28 percent tax hike. A county spokesman said nearly $13, 5 million of county funds will be allocated for SEPTA for 2025.
That pledge was announced at a recent press conference where Gov. Josh Shapiro said he would shift $153 million in federal funds from Pennsylvania road and bridge repairs to the transit agency.
“As governor, I have a responsibility to serve every region of our commonwealth — rural, suburban, and urban,” said Shapiro. “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.”
Critics say throwing money at the problem won’t solve it, pointing instead to the drastic decline in ridership. Since 2019, SEPTA ridership has decreased by 38 percent, the Commonwealth Foundation reports. At the same time, SEPTA’s operating budget to serve fewer riders has increased by 9.3 percent since 2019.
“SEPTA has repeatedly failed to serve customers, residents, and taxpayers, and not because of state funding issues,” said Commonwealth Foundation Senior Vice President Nathan Benefield.” Even before this new bailout, Pennsylvania taxpayers and drivers were footing the bill for SEPTA’s bureaucracy. Shapiro’s bailout attempts to avoid the deep issues he and SEPTA leaders must address. They have refused to deal with rising crime and quality of life violations, nor have they evaluated routes in decades.
“SEPTA leadership should focus on streamlining service, finding efficiencies, and relying more on fares and local support—like most major metropolitan transportation systems,” Benefield added.
That analysis has largely been ignored by Delaware Valley elected officials.
“Montgomery County, much like the Governor’s Office, is on a mission to repair our aging infrastructure,” Montgomery County Commissioners Chair Jamila Winder said at the Shapiro press conference. “Better infrastructure improves quality of life, reduces transportation costs, and makes our region more attractive for investment and economic growth. Our economic productivity [is] only possible with a robust mass transit network.”
She said Montgomery County plans to increase its SEPTA funding from $8.3 million in 2024 to $9.4 million in 2025. Montgomery County taxes will rise by 9 percent in the proposed 2025 budget.
If Delaware County Council Chair Monica Taylor had any reservations about increasing spending and taxes, she didn’t show it during the press conference.
“It is vital to our community that SEPTA stays fully functional at the rate they’re at,” Taylor said, noting Delaware County has the second-highest transit ridership in the region. “SEPTA is the backbone of so many of us. The 101 trolley line runs right behind my home. I take it to Media. I take it into the El. I take it into Center City. Over 18,000 people who ride SEPTA every single day. Those individuals are riding it to work, who are riding it to school, to their doctor’s appointments, and so much more.
“But as we all know, the pandemic hit SEPTA hard,” said Taylor. “And without some sort of relief, we all know this system is not going to maintain itself.”
She thanked Shapiro for his “true leadership.”
Representatives from Chester and Bucks Counties did not attend the press conference. Bucks County released its 2025 budget with no tax increase, while Chester County homeowners will pay less than 1 percent more next year.
Philadelphia Mayor Cherelle Parker said SEPTA is “at the heart of the economic engine of Southeastern Pennsylvania.”
“If you claim to be pro-business,” she said. “If you claim to be pro-growth. I don’t care what your party is, you will find a way to partner with our governor and our legislative to continue the tradition that we started in the commonwealth and from our county leaders here in Southeastern Pennsylvania. Let’s get stuff done.”
Despite the influx of state and local funds, SEPTA riders are paying 7.5 percent more as of Dec. 1. However, a second round of fare hikes that was to take effect next year has been postponed. SEPTA had not raised its fares since 2017.