The Southeastern Pennsylvania Transportation Authority has proposed a $1.4 billion 2017 fiscal budget that spares riders a fare hike.
The Philadelphia-area transit agency announced late Monday that the fiscal plan proposal is a 3% increase over the current budget and would maintain current service levels. SEPTA officials said the budget factored in efforts to control costs such as replacing aging buses with more fuel-efficient diesel-electric hybrid vehicles. The agency expects fuel consumption will decrease by 2.2 million gallons annually.
The budget proposal projects receiving a $788,000 increase in operating revenue to $537 million. Passenger revenue is estimated to jump by $301 million.
SEPTA officials said they expect passenger revenue to grow 1% per year except for fiscal years 2018 and 2021 when fare increases are scheduled. The agency last raised fares in 2013.
SEPTA is rated A1 by Moody's Investors Service and double-A by Fitch Ratings. It is the primary transit provider for the Philadelphia region and the sixth largest transportation agency in the nation.
