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This file photo shows a train operated by Philadelphia-area SEPTA. It is the state's biggest public transit agency, and it  received a temporary financial infusion last week from the administration of Gov. Josh Shapiro -- in part by tapping the funding stream for a planned Washington County highway project.
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Temporary fix for Philly transit used money earmarked for Pittsburgh-area highway project

PennLive

Temporary fix for Philly transit used money earmarked for Pittsburgh-area highway project

Gov. Josh Shapiro tapped the federal funding stream for 6 other projects across the state to help SEPTA

When Democratic Gov. Josh Shapiro threw the Philadelphia region’s public transit system a $153 million lifeline last week, some of the federal money he used was previously earmarked for an upcoming repaving project on I-70 in Washington County.

Mr. Shapiro also tapped the federal funding stream for six other projects across the state to help SEPTA, which has a $240 million budget deficit and had planned a 29% fare increase. The move — described by the administration as a not-uncommon “flexing” of federal highway capital funds — surprised and irritated Republicans.

But a well-informed observer in the industry said it appeared Mr. Shapiro did what he had to do in a tight spot.

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“That’s why he was elected. He’s got to make the call,” said Charles Goodhart, executive director of the Pennsylvania Asphalt Pavers Association. And Robert Latham, executive director of Associated Pennsylvania Constructors, put a positive spin on recent back-and-forth in Harrisburg that led to Mr. Shapiro’s announcement and the negative Republican reaction.

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“The governor and legislators have pivoted away from a transit-only discussion to a transit-and-transportation discussion, and we are happy about that,” said Mr. Latham, whose trade association includes hundreds of contractors, engineers, suppliers and other tied to the state road and bridge industry.

Mr. Shapiro’s appearance in a chilly SEPTA building on Nov. 22 was yet another inflection point in a year where state leaders were unable to devise a combined solution to money challenges in both public transit and road-and-bridge work. The divided Legislature the governor must work with will return to Harrisburg in January to face the same challenge.

In a written statement, Rep. Ed Neilson, D-Philadelphia and chairman of the House Transportation Committee, thanked Mr. Shapiro for his leadership.

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“I was hopeful that we would not be in today’s position and that the House and Senate could come together and reach an agreement before the end of the year,” he said. “Unfortunately, that did not happen.”

Rep. Jim Struzzi, an Indiana County Republican and incoming minority chairman of the House Appropriations Committee, said the planned I-70 project in Washington County is for $10.5 million. It is to involve “pavement preservation” between Bentleyville and Route 519. The other projects whose funding pipeline is affected are in Jefferson, Mercer, Columbia, Philadelphia and York counties.

Mr. Struzzi said he understood why Mr. Shapiro made the move. At the same time, Mr. Struzzi said, the one-time transfer is a “Band-Aid.” He asked of SEPTA, “What are we doing to fix the issues long-term?”

Mr. Shapiro said the planned highway projects are so far off, they have not even been put out to bid. “There is no reason to keep that money on our balance sheet in the state when we can invest it in SEPTA right now,” he said.

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He also said he believed the seven projects would end up getting finished on time. Republicans and Mr. Goodhart questioned that.

The net effect, Mr. Goodhart said, would likely be putting off the projects for one year — meaning ones scheduled for 2026 might now take place in 2027.

“We are concerned,” Mr. Goodhart said. “What we would like to see happen is the governor and the Legislature come together.”

Mr. Struzzi worked at PennDOT for 14 years prior to becoming a lawmaker.

“At the very least, you are deferring the start of these projects,” he said in an interview.

Sen.-elect Dawn Keefer, currently in her final days as a Republican House member from York County, said some of the money would be taken from an I-83 project in her district. Motorists there, she concluded, will have to spend money on highway pothole-induced tire replacements “so the metropolitan area doesn’t have to spend more money.”

She questioned how federal money intended for capital projects like road work could be used for operating costs at a public transit agency. Senate Appropriations Committee Chairman Scott Martin, R-Lancaster, also called the move a “Band-Aid” and said it diverted money from “critical infrastructure needs” that were mostly in Republican districts.

Mr. Shapiro had plenty of support among Democrats. Among others who appeared with him on Friday were House Speaker Joanna McClinton of Philadelphia, Majority Leader Matt Bradford of Montgomery County and Sen. Vincent Hughes of Philadelphia.

“This is great leadership,” Mr. Hughes said, standing with Mr. Shapiro.

Early this year, the governor’s proposed budget included $283 million for transit agencies around the state, including $39 million for Pittsburgh Regional Transit. The final budget that was signed in July, however, included only a fraction of that amount, with $11 million for PRT.

Mr. Latham was convinced that the new year will bring full discussion of the combined, transit-roads-bridges funding issue.

“It has kind of bubbled to the top,” he said.

First Published: November 29, 2024, 10:30 a.m.
Updated: November 29, 2024, 9:04 p.m.

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This file photo shows a train operated by Philadelphia-area SEPTA. It is the state's biggest public transit agency, and it received a temporary financial infusion last week from the administration of Gov. Josh Shapiro -- in part by tapping the funding stream for a planned Washington County highway project.  (PennLive)
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