SEPTA is pausing the King of Prussia Rail Project following further review of rising costs caused by inflation and high interest rates.
The decision is largely due to the lack of flexibility in SEPTA’s capital budget.
Since SEPTA’s budget is constrained, unlike peer transit agencies, it didn’t want to jeopardize its other projects, such as the Market-Frankford Line fleet replacement, Trolley Modernization or station accessibility improvements.
“SEPTA’s capital budget has been underfunded for decades. This has left the Authority with significantly fewer resources than peer agencies to pursue system expansion while also addressing critical infrastructure needs,” SEPTA General Manager and CEO Leslie S. Richards said in a statement. “With the funding we have currently, SEPTA must prioritize essential infrastructure work and safety and security improvements to maximize the reliability and effectiveness of our aging system.”
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The estimate for the cost of KOP Rail project currently stands at $3.02 billion. Every year the KOP Rail project is delayed, the cost of the project increases approximately $100 million. With inflation and interest rates rising, that number will continue to rise.
“We are disappointed. King of Prussia Rail would have delivered real benefits to our city and region by providing reliable public transportation connecting our three largest employment hubs in Center City, University City, and King of Prussia. It would have eased congestion on area roadways and reduced air pollution,” Richards said.
SEPTA’s KOP Rail project would extend the existing Norristown High Speed Line (NHSL) four miles into KOP, providing a high-speed, “one-seat” ride from any station along the NHSL, including the 69th Street Transportation Center in Upper Darby and the Norristown Transportation Center in Norristown.
Further, Richards said this process highlights the critical need for transit funding at the state and local levels.
The Authority will provide details on how funds allocated for KOP Rail will be used when the proposed capital budget and long-term program is released in April.
