Chicago’s public transit agencies, including the Chicago Transit Authority (CTA), are facing a significant financial crisis after state lawmakers concluded their spring session without approving a funding bill necessary to avert a severe fiscal shortfall.
In the final moments of the session on Saturday, a budget for 2026 was approved, yet a vital proposal to reform the regional transit system and provide essential funding to close a $770 million budget gap went unpassed.
State Senator Ram Villivalam introduced a bill aimed at tackling these challenges, which proposed generating over $1 billion annually for CTA, Metra, and Pace through a new $1.50 tax on food delivery services and other fees.
The bill successfully navigated through the state Senate but ultimately failed to receive approval in the House before the midnight deadline, as reported by the Sun-Times.
Without this new funding, officials warn that the CTA and other transit agencies may be forced into drastic service cuts and layoffs.
The imminent funding issues are expected to come to a head at the beginning of 2026, as COVID-19 relief funds are set to expire.
According to Villivalam, if there is no new funding mechanism in place, an alarming 40 percent of the Regional Transit Authority’s services could face cuts, along with the potential for 3,000 job losses.
This situation could lead to one in five Chicagoans losing access to public transit, a pressing concern highlighted by the Regional Transit Authority.
Drastic changes to services would be most acutely felt in Chicago itself, where the CTA may have to shut down half of the city’s “L” lines while eliminating nearly 60 percent of bus routes.
These cuts would result in the loss of bus access for approximately 500,000 residents and leave around 260,000 city employees without a reliable method of commuting.
Overall service frequency on remaining transit lines may also be reduced by 25 percent, exacerbating the crisis.
The Labor Alliance for Public Transportation, representing a coalition of unionized workers, expressed deep concern regarding the legislative inaction, warning that it could trigger overwhelming layoffs and significant service disruptions.
The organization stated, “As the General Assembly adjourns with neither reform or revenue, transit riders and workers alike are left concerned about the future of our communities.”
While state lawmakers acknowledge the gravity of the funding situation and its implications, they assert that discussions surrounding transit funding reform are far from over.
“We are still facing a crisis,” stated state Representative Kam Buckner on social media.
He emphasized, “We know what the stakes are. This isn’t just about funding and fixing transit; it’s about opportunity, access, and equity. The clock is still ticking. And so are we.”
Legislators indicated that future discussions regarding transit funding are anticipated over the summer months.
Villivalam reiterated his commitment to pushing for necessary reforms and funding to come to fruition, stating, “I look forward to continuing to work … to get this package of reforms and funding across the finish line.”
In tandem with new funding, the bill proposed by Villivalam sought to restructure the Regional Transit Authority, renaming it as the Northern Illinois Transit Authority.
The proposed changes included increasing the number of appointed board members from 16 to 20 as part of a comprehensive governance overhaul.
The new authority would oversee public transit agencies across the Chicago region and facilitate a unified fare system for CTA, Metra, and Pace, ensuring that all future transportation vehicles would be zero-emission.
The bill also aimed to require state Senate confirmation for appointed board members and included the establishment of an ambassador program designed to place unarmed staff in transit stations and vehicles to assist riders with customer support and safety-oriented issues.
Moreover, the funding strategies outlined in the proposal depended on new and existing taxation programs.
In addition to the proposed food delivery tax, the bill sought to implement a 10 percent tax on rideshare trips across Chicago and surrounding areas.
Drivers navigating the Illinois Tollway may also face a daily surcharge of 50 cents, capped at $1, earmarked to support public transportation funding.
Lawmakers have expressed that these reforms and funding measures are critical for ensuring the stability of the transit system.
Governor JB Pritzker also indicated the necessity of governance reforms for ensuring reliable public transit services amid ongoing challenges since the pandemic’s onset.
He stated, “What we really need is to uplift the entire system, make it safe for everybody to ride, get to work, go to school, get home safely.”
The current political situation places Chicago’s public transit in a precarious position, and the urgency for effective solutions from state officials remains paramount.
image source from：https://blockclubchicago.org/2025/06/01/chicago-public-transit-in-limbo-after-state-lawmakers-fail-to-fill-nearly-1-billion-budget-gap/
