Service cuts, fare hikes and possible worker strike. SEPTA's woes matter to Bucks County

Service cut back to pandemic-levels. Fares rising by nearly $3 each way.

These are just a few of the measures the Southeastern Pennsylvania Transit Authority says it would be forced to take if it can't close a $240 million budget gap by the end of this fiscal year.

This news comes as one of SEPTA's largest unions, TWU Local 234, is considering a strike due to SEPTA's fiscal management.

A strike by TWU would nearly cripple all of SEPTA's services, including the regional lines and bus routes that serve Bucks County.

SEPTA's FY 2024 ends at midnight on May 31, 2024.

"Before COVID, we covered about 37% of our operational expense through fares and self-generating revenue," said Erik Johanson, SEPTA's senior director of budgets and transformation. "Now that number is at 22%, meaning we lost $240 million from our annual revenue. The last four years, we were able to tap into monies available from the federal COVID relief bills, which sort of held us over, but those funds expire in April 2024.

"This is a very serious issue for us."

Johanson said the impact would be severe; however, a strike by TWU would be just as damaging.

TWU Local 234 hints at looming worker strike

Compounding SEPTA's fiscal problems is TWU Local 234's strike threat, which the union approved earlier this month.

Though they've not yet walked off the job, the Local 234's 5,000 drivers, operators, mechanics and ticket takers say they're ready to shut things down.

"SEPTA is telling anyone who will listen that the Authority can’t afford wage and benefit increases for frontline workers because SEPTA is supposedly at the edge of a 'fiscal cliff,' yet on the eve of contract negotiations with Local 234, the SEPTA Board approved a $75,000 raise for the General Manager," read a portion of a statement on TWU's website. "Adding insult to injury, the guy sitting across from us at the bargaining table got a $30,000 raise, yet he is crying poor when it comes to the economic well-being of our members.

"If SEPTA refuses to address Local 234’s demands for a just and fair contract, the unnecessary strike that follows might prove to be the straw that breaks management’s back."

TWU also pointed to the failed King of Prussia rail line and what the union deemed to be a troubled and costly rollout of SEPTA key cards.

In a prepared statement, SEPTA officials said the transit authority and representatives from TWU Local 234 have been engaging in a productive dialogue regarding a new contract, and are hopeful that an agreement can be reached prior to expiration of the current agreement.

Impact of SEPTA cuts, possible strike will be felt in Bucks County

While Johanson said the impact of cuts will be felt throughout SEPTA's system, Bucks County may feel the brunt of the cuts, as the county is already dealing with a dearth of public transportation options.

SEPTA on-demand in Bucks County: How would on-demand SEPTA bus service work in Bucks County? Here's the plan

Stephen Noll, executive director of TMA Bucks, a nonprofit that supports public transportation and promotes travel-management strategies, said any cuts to SEPTA's service will be felt across the county.

On-demand bus service in Bucks County: How would on-demand SEPTA bus service work in Bucks County? Here's the plan

"People use SEPTA as a lifestyle, and for them, it would be cutting off a vital lifeline," Noll said. "SEPTA is like a utility, and if you take a utility away, people will suffer. Without a solution in place, I am concerned."

SEPTA says options aren't rider-friendly

Short of additional funding, Johanson said SEPTA has few options.

"We could cut service, raise fares, raid our capital funding and cut other discretionary funding; we're not ready to say what specifically those cuts would be," Johanson said. "But we estimate a 20% service cut and a 35% increase in fares.

"It would be catastrophic for the region."

Bar chart detailing the SEPTA's $240 million budget gap. If that budget gap isn't closed by the end of the fiscal year, SEPTA will be forced to cut service and raise fares.
Bar chart detailing the SEPTA's $240 million budget gap. If that budget gap isn't closed by the end of the fiscal year, SEPTA will be forced to cut service and raise fares.

SEPTA claims it would also have to cut both peak and off-peak service, increase fares by upward of $3 each trip and spike the price of monthly TransPasses to $126. Current monthly SEPTA TransPasses are $96.

SEPTA's Bucks County problem: SEPTA has a bus problem in Bucks County. Here's the new routes, on-demand plan to fix it

This article originally appeared on Bucks County Courier Times: SEPTA cries budget woes as union advances possible strike