(The following article by Larry King was posted on the Philadelphia Inquirer website on August 23.)
PHILADELPHIA — So, area drivers and SEPTA straphangers, what will it be?
Higher fares? More local taxes, perhaps? Maybe a piece of the coming slots action?
A state report on transportation funding makes clear that something has to give – and not just a little – to generate enough money to keep Pennsylvania’s buses and trains rolling and prevent its roads and bridges from falling apart.
Statewide, more than $1 billion above current spending is required simply to avoid service cuts and to maintain infrastructure in a decent state of repair, the report says. Far more is needed for even modest improvements, let alone expanded service.
The report is a preliminary offering from the state Transportation Funding and Reform Commission, which was assembled by Gov. Rendell to find a lasting fix for Pennsylvania’s annual transit funding crunch. While the depth of that problem is old news to transportation professionals, the commission is angling for more public and legislative attention, in hopes of finding a politically palatable solution.
“Pennsylvania’s public transportation and highway and bridge systems are in crisis, both in terms of available finances and deteriorating physical condition,” the report begins. “… If a long-term solution is not found… the economic consequences of a deficient transportation system are enormous.”
The public transit crisis comes in spite of staff reductions, aggressive claim management, and financing innovations by transit agencies.
Such efficiencies have been overtaken by inflation, federal funding cuts, a 75 percent increase in fuel prices since 2003, and health-care costs that have doubled in five years, the report says.
A similar tale was told about the state’s highways and bridges. PennDot has cut staff by 40 percent since 1973 and sliced maintenance costs, but construction costs have doubled since 1996. The result: Many roads remain in poor condition, and nearly one in four bridges is structurally deficient.
The preliminary report – expected to be available on the commission’s Web site starting today – recommends no fiscal solutions. Instead, it offers a host of possibilities, including privatization, creation of a local transit taxing authority, and a search for dedicated funding sources that will grow with inflation.
Such options will be fodder for public comment during a six-day blitz of commission hearings across the state next month.
“We honestly wanted to hear from people just because it is such a difficult challenge,” said State Transportation Secretary Allen Biehler, who chairs the nine-member commission. “First, do people agree with us about the size of the problem? Secondly, give us your thoughts on different ways of tackling it.”
The commission’s final report, including its recommendations to Rendell and the state legislature, is due Nov. 15.
If no solution is found, the report warns, Pennsylvania transit riders face service cuts of as much as 20 percent and fare hikes of as much as 50 percent.
At SEPTA, where state bailouts have warded off such measures in recent years, the commission’s ultimate plans are all-important. Over the summer, SEPTA passed a $991 million operating budget with a $50 million shortfall.
Part of the commission’s work has been to audit the efficiency of SEPTA and other state transit agencies. That report is not yet available, but SEPTA’s efficiency “stacked up quite well among transit organizations of similar size,” Biehler said.
The preliminary report reveals little of the commission’s preferences but does affirm that SEPTA has not been exaggerating budget woes, SEPTA spokesman Richard Maloney said.
“It confirms and validates the scope of the financial crisis that we have been struggling with for years,” Maloney said. “For us, that is a great step forward… . It isn’t an answer, but it’s a good starting point.”
The audit did note SEPTA’s “unusually large” 15-member board. It noted that 80 percent of the SEPTA board, but only 20 percent of SEPTA’s riders and local funding, come from outside Philadelphia, creating friction between the city and its suburban counties.
In addition to Biehler, the commission includes representatives of the legislature, business community and organized labor, most of whom have backgrounds in transportation.
The local public input session will be Sept. 15, from 10:30 a.m. to 1:30 p.m. at the Delaware Valley Regional Planning Commission, the ACP Building, 190 N. Independence Mall West.
Anyone wanting to speak at one of the sessions should call 717-214-7700.