This is it
Make no mistake where you are
This is it
You're going no further
This is it
Until it's over and done
This is it
One way or another
- "This Is It" by Kenny Loggins
Time is tight in Springfield right now, as lawmakers hustle to address the looming Chicagoland transit cliff by approving a new budget before the clock runs out on their spring legislative session this Saturday. If that happens, the CTA, Metra, and Pace will likely face massive service cuts and layoffs next year.
Late last night, the existing bill HB3438 was amended to attach new revenue sources to the Illinois House's version of the legislation that would replace the Regional Transportation Authority with a new Northern Illinois Transit Authority. In that bill, which is not yet finalized, revenue could come from a 10 percent tax on ride-hail trips, such as Uber and Lyft, in Chicagoland.
Today, Sen. Ram Villivalam (D-8th) and Illinois Rep. Eva Dina-Delgado (D-3rd) are trying to pass bills today to reform Chicagoland transit governance and provide additional funding for the three local systems, plus downstate transit agencies.
In addition, the legislation would enact a real estate transfer tax in Chicagoland's six counties to fund the proposed NITA transit-supportive development incentive program. The new RETT would not include property within the city of Chicago, which already has one that supports the CTA.
As Streetsblog reported yesterday, NITA would be authorized to become its own housing developer. However, the incentive program would also entice municipalities to apply for grants or financing to fund (mixed-use and residential-only) transit-supportive development.
And here some more new funding wrinkles. According to an Illinois Senate revenues projection document shared by Capitol Fax, transit funding could come from a new $1 fee on "retail and food deliveries." This surcharge would provide the bulk of funding for transit, raising a projected $700 million. The projection document also stated that additional revenue could be collected by eliminating the sales tax discount for biodiesel. Neither of these strategies appeared in HB3438, but the projection statement said another $1.2 billion could be raised via these tactics.
WTTW reported, "[Sen.] Villivalam cautioned that while the savings and revenue amounts are based on estimates, lawmakers believe the measure will be enough to address the anticipated $770 million fiscal cliff next year, and then some — but likely not meet the $1.5 billion benchmark of public investment many transit advocates have been calling for."
The amended bill also describes an option for NITA to increase the price on Illinois Tollways to fund more transit-supportive development. Another revenue source in the bill would be a fee on electric vehicle charging infrastructure, of which 18 percent would be used by NITA for capital projects and 2 percent would be used for downstate transit capital projects.
You can track the status of HB3438 on the Illinois General Assembly website.
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