
PHILADELPHIA (KYW Newsradio) — The Shapiro administration approved SEPTA's request to use nearly $400 million from its capital assistance funds to maintain service.
On Monday, Gov. Shapiro approved the agency's request to use up to $394 million of their current capital assistance allocation. PennDOT Secretary Mike Carroll noted that this isn't a long-term solution, and said this money was not already earmarked for specific projects.
SEPTA made the request after a judge last week ordered the agency to restore service cuts, but allowed it to go through with a 21.5% fare increase.
“I think we have come to the conclusion here that the Senate Republicans, who are the majority in the state Senate, were unwilling to pass recurring revenue. The chairman of their appropriations committee said that a week ago, when he said a long-term solution is not going to happen," Shapiro said.
A statement from the governor's office said Shapiro "will continue advocating for a long-term, recurring funding solution."
There will also be no service cuts next year. Carroll's letter said this action ensures SEPTA will continue to provide critical transportation services ahead of and during high-profile events in 2026, including America's 250th anniversary, the FIFA World Cup, and the MLB All-Star Game.
Additionally, SEPTA will continue to meet the daily needs of nearly 800,000 Pennsylvanians, including 52,000 students in the School District of Philadelphia and hundreds of thousands of workers who ride SEPTA every day.
SEPTA is expected to fully restore service cuts and increase fares by 21.5% on Sunday, Sept. 14
“That’s projected to raise about $31 million this year. And those are funds that are critically needed to help us balance the budget," said SEPTA spokesman Andrew Busch.
Shapiro says with mass transit funding effectively off the table, it’s time for the legislature to end its more than two-month stalemate over the state budget.