Pittsburgh Regional Transit’s board unanimously adopted the agency’s amended Fiscal Year 2026 operating and capital budgets, which will allow the agency to avoid significant service cuts and fare increases for the next two years.

The adoption of the amended budgets follows approval from the Pennsylvania Department of Transportation earlier this month that allowed PRT to use up to $106.7 million in state capital funds to cover operating expenses.

Closing a Deficit, Avoiding Service Reductions

The move enables PRT to close a projected $100 million deficit for FY2026 and avoid a previously proposed 35% service reduction and a 9% fare increase, scheduled to begin in February 2026.

PRT’s amended operating budget totals $572.2 million, while the amended capital budget totals $58 million.

The reduced funding means that some capital projects will be delayed; however, no safety-critical projects will be impacted. PRT is expected to have a list of the projects it plans to delay in the coming weeks.

“Using capital funding to support our operations allows us to maintain service and protect riders, but it strains our ability to maintain our system in the short-term and invest in our long-term future,” said PRT CEO Katharine Kelleman. “We will continue to advocate in Harrisburg for the long-term funding that our system needs and our riders and region deserve.”

Budget Issues Persist

PRT ended FY2025 with $394.2 million in operating reserves, but absent new funding, expects to draw that down over the next two years. 

Without a sustainable funding solution, the agency will face another significant operating deficit in fiscal year 2029.