In 2011, after months of public hearings and detailed presentations, Illinois tollway directors took the controversial step of nearly doubling rates to fund a massive road building program.

Last week in a matter of hours, the Illinois General Assembly approved a 45-cent toll hike that will generate $1 billion a year for an undefined capital plan.

“It represents over $1 billion in a tax increase for people who count on the tollway day in and day out,” Republican state Sen. Don DeWitte of St. Charles said.

The curious tollway incident, however, was just a sideshow in a legislative package rescuing Metra, Pace and the CTA from a looming shortfall with a $1.5 billion annual infusion.

“The legislature stepped up with the governor and closed the fiscal cliff, so that’s great news for riders and Chicagoland’s economy,” RTA Chairman Kirk Dillard said.

Let’s dig in.

Pennies from heaven?

The deus ex machina 45-cent toll hike on passenger vehicles, introduced Thursday and passed in the wee hours Friday, was a little surprising.

For starters, the money won’t go to transit. Instead, it’s a windfall for the tollway, one of the wealthiest agencies in the state.

“This came out of left field,” Senate Republican Leader John Curran of Downers Grove said. “The case can be made always on future build out, expansion and capital, but that case was never made. And that’s not how this should happen.”

So why did it happen? The provision satisfies powerful labor unions concerned about diverting money from the Road Fund, who squelched a proposal this spring to hike tolls specifically for transit.

For a commuter who pays two tolls on weekdays and takes two weeks of vacation, it would cost an extra $450 more a year.

Although 45 cents sounds like a small amount, DeWitte noted, “you got to get on and get off, which automatically doubles it to damn near $1 (a trip). It’s a tax increase … primarily affecting suburban drivers.”

Democratic State Rep. Mary Beth Canty of Arlington Heights acknowledged “these decisions are never easy. I know that the cost of living is incredibly high right now.

“But increasing and expanding service means that we need more capital dollars to do that. The quicker that we can start expanding our transit options for people so they’re not forced to just take the tollways or drive, the better off we will all be.”

The tollway was still studying the bill Friday; officials could not comment about a vote and said timing was not yet determined.

“We commend our leadership in Springfield for passing new transit legislation that strengthens Illinois’ regional transportation network and our economy,” Executive Director Cassaundra Rouse said.

Transit reimagined

With federal COVID-19 dollars running out, public transit faced a $230 million budget gap in 2026 that was estimated to climb to $834 million in 2027. Metra, Pace and the CTA all warned of 40% cuts in service.

Now, “we have passed robust reforms that will make our system safer, more reliable, more accessible and more integrated,” Senate Transportation Committee Chair Ram Villivalam of Chicago said.

It means more frequent trains and buses, transit ambassadors to guide riders and improved suburb-to-suburb commutes, advocates said. In addition, the legislation sets up a task force to develop a program to reduce crime.

Also coming – universal fares. “I want that to be first on the docket to get done,” Canty said.

The $1.5 billion includes: $860 million derived by shifting sales tax revenue on motor fuel to transit; $200 million from interest in the state’s road construction fund; and $478 million from raising the RTA sales tax by 0.25 percentage points.

Curran argued “this raises approximately triple the dollars needed to plug the shortfalls in transit. All along, I wanted to see protection for suburban taxpayers to ensure they would not be on the hook for the CTA’s massive unfunded pension liability. There is no protection in this for suburban taxpayers.”

Who’s in charge

The legislation replaces the RTA with the Northern Illinois Transit Authority, a 20-member board with stronger oversight of Metra, Pace and the CTA.

The governor, mayor of Chicago and Cook County Board chair would appoint five members each. The board chairs of DuPage, Kane, Lake, McHenry and Will would chose one each.

Kane, DuPage and McHenry mayors “remain very concerned that not having equity in voting on the new NITA board will set them up to be absolutely steamrolled,” DeWitte said on the Senate floor.

Villivalam noted that the Senate must confirm the governor’s NITA appointees.

Meanwhile, downstate districts are expected to lose road dollars. “It’s another rob Peter to pay Paul scenario,” GOP state Rep. Jeff Keicher of Sycamore said.

“It’s Springfield,” Republican state Rep. Brad Stephens of Rosemont said. “There is no bill that’s perfect. There are some downsides to this bill. But I believe for the most part, this is somewhat of a try to fix-all thing.”

https://www.dailyherald.com/20251102/transportation/what-does-the-last-minute-fix-for-transit-budget-gap-mean-and-why-the-45-cent-toll-hike/