HARRISBURG, Pa. — With transit agencies in Philadelphia and Pittsburgh both warning of catastrophic service cuts without additional state funding, two Pennsylvania state senators have announced plans for legislation to help fund transit statewide.
State Sens. Nikil Saval (D-Philadelphia) and Lindsey Williams (D-Allegheny) are proposing creating funding from three sources:
— A 6% excise fee on ride-hailing systems such as Uber and Lyft;
— An increase in the state’s rental car fee from $2 to $6.50 per day;
— An increase on the tax on leased cars from 3% to 5%.
All funds would go to the state’s Public Transportation Fund. The legislators say in a press release that the funding package would raise “hundreds of millions of dollars,” closing the current funding gaps and allowing transit agencies to restore and expand services without draining reserves.
The bill has yet to be introduced, but memos are available on the ride-hailing and rental and leased vehicle elements. State Reps. Aerion Abney and Jessica Benham (both D-Allegheny) plan to introduce companion legislation in the House.
The Southeastern Pennsylvania Transportation Authority has said a funding shortfall means it is facing a 45% cut in service, including elimination of five Regional Rail lines and an end to rail service after 9 p.m. [see “SEPTA prepares …,” Trains News Wire, April 10, 2025]. Pittsburgh Regional Transit says it could have to reduce service by 35% [see “Pittsburgh transit agency outlines …,” News Wire, March 22, 2025].
Pennsylvania Gov. Josh Shapiro has proposed increased transit funding for three years, but the state House has blocked passage of the measures.
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