Democratic lawmakers in Illinois have introduced a substantial transit funding proposal aimed at addressing the looming financial crisis for public transit in the Chicago area. However, Governor JB Pritzker has rejected the plan, emphasizing that further negotiations are necessary before reaching an agreement.
Transit Funding Plan Overview
As the state’s annual veto session nears its conclusion, urgency has mounted among lawmakers to prevent significant reductions in public transit services. The proposed plan aims to generate over $1 billion in funding for various public transit systems, including the Chicago Transit Authority (CTA), Metra, and Pace.
Key Components of the Proposal
- 7% Entertainment Tax: This tax would apply to major events such as concerts and sports.
- 5% Billionaire Tax: This tax would be levied on investment earnings.
- Speed Camera Revenue: 50% of revenue generated from speed cameras outside Chicago would support a new transit authority.
- Sales Tax Increases: Some sales tax rates, including a quarter-percent increase on food sales in Cook County, would see slight elevations.
State Representative Kam Buckner (D-Chicago) has expressed that the goal of the tax structure is to minimize the impact on everyday residents while securing long-term funding for transit needs.
Governor’s Stance
Governor Pritzker’s response to the House Democrats’ funding proposal has been clear. He described the plan as a “non-starter,” insisting that more conversations are needed between the state House and Senate. He seeks a definition of which taxes he might be willing to support to establish a world-class transit system.
Potential Impact on Public Transit
Without state intervention, the CTA may have to implement drastic measures, potentially cutting bus and train services by as much as 25% starting next summer. Additionally, a proposed fare increase of 25 cents for February has already been planned, irrespective of future funding developments.
Budget Crisis and Future Implications
The Regional Transportation Authority has warned of a combined budget shortfall for 2026, previously estimated at $770 million, which has recently been adjusted to $200 million due to an increase in sales tax revenue. However, without swift action from lawmakers, projections indicate a return to a budget crisis exceeding $790 million in 2027.
Transit workers and experts stress the urgency of a solution. “Let’s just get this done for the people of the inner communities,” said Tiffany Rebb, a CTA bus operator. She reflects the concerns of many in the transit workforce who fear job losses if a funding solution fails to materialize.
As legislative discussions continue, the future of Chicago’s public transportation and its users stands precariously at a crossroads.
