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lite.cnn.com - on gopher - inofficial
ARTICLE VIEW:
Public transit in America is so underfunded it’s relying on sports
gambling companies
By Nathaniel Meyersohn, CNN
Updated:
7:00 AM EDT, Wed September 10, 2025
Source: CNN
Funding for public train and bus services is so dire that one of the
largest cities in America must rely on a sports gambling company to
help.
FanDuel, a sports betting app, train service to and from the NFL’s
Philadelphia Eagles home opener last week. The line had been cut amid a
funding crunch for the Southeastern Pennsylvania Transportation
Authority (SEPTA), the fifth largest transit agency in the United
States.
FanDuel paid $80,000 to restore SEPTA’s sports express train service
to help shuttle thousands of people to the Eagles’ game. The company
said it was “proud to collaborate with SEPTA” to provide fans with
reliable transportation.
The roughly 700,000 commuters in and around Philadelphia who ride SEPTA
each day have endured longer wait times, more crowded rail and bus
lines, and other difficulties for weeks. Last month, state lawmakers
failed to reach an agreement to cover the agency’s $213 million
budget deficit. Agencies in , and other cities — as well as states
including — also face fiscal cliffs that threaten service cuts, fare
hikes and layoffs.
Transit agencies often rely on private companies to provide funding in
exchange for sponsorships or station naming rights. But FanDuel’s
rescue of SEPTA’s line to the Eagles game the day before the matchup
is a sign of how transit operators must scramble for funding, transit
experts say.
“Transit agencies are underfunded throughout much of the United
States. As a result, they often seek out unconventional revenue sources
to help cover their gaps,” said Yonah Freemark, who researches
housing and transportation at the nonprofit Urban Institute. “This
situation speaks to how transit is treated compared to other public
services. We don’t ask corporate sponsors to pay for police or fire
services, for example.”
It’s not just NFL games – public transit is a popular way to avoid
traffic and get to special events like concerts. But the ability of
underfunded US transit systems to handle huge crowds will be tested
during some upcoming major sporting events. A number of US cities,
including Philadelphia, will host the FIFA World Cup next year. The
2028 Summer Olympics will take place in Los Angeles.
Transit ridership is still sluggish in many cities. Work from home has
become one of the enduring features from the Covid-19 pandemic. Crime
and fear of crime also some people from mass transit, despite transit
being than driving a car.
Ridership nationwide is at about 85% compared to pre-pandemic levels,
according to the industry group American Public Transportation
Association. For example, SEPTA bus ridership is at 82% of
pre-pandemic levels, while metro rail ridership is at 72%, according
to the transit agency’s latest.
This slow ridership recovery is making it harder to fund operations,
especially for larger agencies that have historically relied more on
fares for revenues, Freemark said.
But if agencies raise fares too high or cut services too deep, they
will lose even more riders.
“This puts them in a difficult spot,” he said.
‘Not a sustainable long-term solution’
Since August 24, riders in the Philly metro area have faced service
cuts that SEPTA said had “devastating effects.” That includes a
20% overall cut in metro rail and bus services with 32 bus rides
eliminated.
SEPTA said it would restore full service on September 15 and increase
fares by 21.5% to $2.90. Pennsylvania Gov. Josh Shapiro’s
administration approved a transfer of hundreds of millions of dollars
meant for long-term transit repairs and maintenance to support
SEPTA’s daily operations.
“Transferring capital funds to cover operating expenses, with no
commitment to replace them, is not a sustainable long-term solution to
SEPTA’s current budget crisis,” said in a statement on Monday.
The funding crisis at SEPTA and other transit agencies across the
country can’t be solved by corporate sponsorship. The solution calls
for more federal support, transit advocates say.
About two-thirds of US transit agencies’ revenue comes from the
government, but . The federal government spends much more on roads:
80% of the federal gas tax, which helps fund infrastructure projects,
is devoted to roads. Twenty percent goes to transit.
“(Roads) have predictable means of funding. Transit agencies by and
large don’t,” said American Public Transportation Association CEO
Paul Skoutelas.
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