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Illinois Lawmakers Pass $1.5 Billion Transit Rescue, Creating Northern Illinois Transit Authority

The package averts 2026 service cuts for CTA, Metra and Pace.

Overview

  • Lawmakers approved a plan built around redirecting roughly $860 million from motor‑fuel sales taxes, about $200 million from Road Fund interest, and a 0.25 percentage‑point RTA sales‑tax increase expected to yield roughly $400–$478 million.
  • Illinois Tollway rates will rise by about $0.45 for passenger vehicles and 30% for commercial trucks, with the new revenue staying with the Tollway for its own projects rather than going directly to transit.
  • The bill abolishes the Regional Transportation Authority and establishes the Northern Illinois Transit Authority to unify oversight and enable coordinated fares and scheduling across CTA, Metra and Pace.
  • The measure takes effect June 1, 2026, and a one‑year prohibition on fare hikes begins then, which means the CTA’s planned February 2026 fare increase can still proceed.
  • Gov. J.B. Pritzker has indicated he will sign the bill, as backers tout preserved service and jobs, while downstate legislators and some unions object to diverted road funds and the regional allocation of revenues.