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Rail News Home Passenger Rail

3/16/2010



Rail News: Passenger Rail

SEPTA unveils FY2011 budget, proposes 6 percent fare hike


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Southeastern Pennsylvania Transportation Authority (SEPTA) officials await federal approval on a funding plan for several projects while they propose a fare increase, according to fiscal-year 2011 budget projections.

The projects include the implementation of new payment technology, renovation of City Hall Station and the addition of Elwyn-to-Wawa service, as well as renovations to a number of regional rail stations and bridge replacements, according to the authority.

The overall plan, which must be approved by the Federal Highway Administration, involves Pennsylvania converting Interstate 80 to a toll highway. Under Act 44, a state law enacted in 2007, this would create a dedicated source for transportation funding.

SEPTA is projecting a $300 million FY2011 capital budget, which reflects cuts of $110 million due to insufficient Act 44 funds. The spending plan would leave the authority with just enough funds to pay for mandated expenses, such as debt service, vehicle and infrastructure repairs, and new equipment, according to their projections.

In the meantime, SEPTA is following the recommendations of the Pennsylvania Transportation Funding and Reform Commission, which suggests periodic fare increases. For FY2011, SEPTA is proposing fare increases averaging about 6 percent system-wide. The authority anticipates the fare hike will generate an additional 5 percent in revenue.