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PennDOT Approves $394 Million Capital Shift to Restore SEPTA Service

The one-time transfer underscores unresolved long-term funding.

Overview

  • Transportation Secretary Michael Carroll authorized diverting $394 million in state capital assistance to SEPTA operations to comply with a court-ordered restoration of transit service.
  • SEPTA plans to return to full bus, trolley, subway and rail schedules by Sunday, Sept. 14, when a 21.5% fare increase to $2.90 is set to take effect.
  • The Philadelphia Court of Common Pleas ruled the earlier 20% service cuts disproportionately harmed low-income riders and risked the region’s economy.
  • PennDOT labeled the move a non-sustainable fix, required SEPTA to report progress every 120 days, and noted it does not resolve an estimated $213 million structural shortfall.
  • SEPTA says the shift could sustain operations through 2026 but will defer infrastructure rehabilitation and vehicle replacements as state leaders remain at odds over recurring transit revenue.