PPTA Funding Principles
In response to the funding crisis confronting the Commonwealth’s Transportation System, the Pennsylvania Public Transportation Association recommends the following principles as the basis for a funding solution.
- A comprehensive, multi-modal transportation funding solution that provides an adequate, dedicated, predictable and growing source of funding.
- Maintaining the public transportation program provided by ACT 44. This includes but is not limited to the resources of the Public Transportation Trust Fund distributed directly to recipients based on needs and performance factors, local match requirements, program structure, the simplified funding distribution formula (fund systems equally for each unit of each factor in the formula), and programs of state-wide significance.
- $484M annual asset improvement (capital) funding level with a growth factor as identified by the Transportation Advisory Committee Report.
- $92M operating funding level for stabilization of public transportation.
- $30M annual asset maintenance program to support the Shared Ride Program.
Current Transit Need and Future Forecasts
Without the fulfillment of ACT 44, the transit providers are now facing a devastating shortfall in funding to meet a state of good repair. The immediate shortfall is $484 million and $20 million for intercity rail needs.
Without adequate capital funding, transit providers will not be able to sustain operations. Buses and trains will not be able to be replaced, rail lines and bridges can not be maintained, maintenance and operating facilities can not be supported – all resulting in the elimination of services.
It was known at the time when ACT 44 of 2007 was enacted that total incremental transit funding was substantially less than the need identified by the Transportation Funding and Reform Commission. The situation will soon be exacerbated by the inability to implement the funding program defined by ACT 44. The operating program has begun to slide backwards. ACT 44 envisioned $250 million annually with a growth factor of 2.5% per year. With recent economic conditions and without the tolling revenue from I-80, the program is expected to decline as much as 6% in 2010. Transit expenses, such as fuel and insurances, are projected to increase the gap between needs and resources. This will become evident for some systems by the end of FY 2011 and will continue to widen for all systems.
