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For Immediate Release:
11/13/2006
For More Information:
James Browning
State Director
(215) 732-3747

Transportation Funding & Reform Commission Report Highlights Funding Crisis for Pennsylvania Public Transit: Commission offers recommendations for action

Pennsylvania Transportation Funding and Reform Commission released its final report today and recommended a series of funding options to shore up our public transit systems. Serious budget deficits are looming in January, and it is very likely that transit agencies will have to raise fares or cut service unless the state intercedes.

“The General Assembly needs to adopt revenue sources for public transportation that are permanent, sufficient, and reliable,” said Jim Swoyer, a Public Interest Advocate with the Pennsylvania Public Interest Research Group (PennPIRG), “Transit is a public good that serves millions of riders every day, and it benefits everybody by reducing pollution, relieving congestion, and helping to preserve our public spaces. It is also a vital component of economic development.”

Two years ago transit systems were faced with roughly a $200 million shortfall; in response agencies moved forward with plans to raise fares by as much as 50%, and eliminate weekend and nighttime service. A last-minute compromise between Governor Rendell and the General Assembly diverted federal highway money to public transit. These funds run out on December 31, 2006.

PennPIRG is advocating that the General Assembly adopt or expand a series of revenue options that are tied to the sources which help drive the underlying social costs created by pollution, congestion, and unfettered sprawl. Currently much of these costs are displaced on the general public. Another goal is to reinvest some of the benefits private entities such as developers or realtors reap from public transit.

Among the initiatives PennPIRG is proposing are expanding the real estate transfer and rental car taxes, imposing a sales tax based on vehicle weight, instituting storm-water and transportation impact fees, creating a battery tax, as well as expanding some existing fees relating to vehicle use. PennPIRG opposes fare hikes, and rejects any proposals that would reduce the overall quality and quantity of service.