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RTA Cuts 2026 Transit Gap to About $200 Million as Bigger Cliff Looms in 2027

The revision has sharpened pressure on lawmakers to use the veto session to lock in long-term funding with stricter oversight.

Overview

  • The RTA projected an approximately $200 million regional gap for 2026, down from prior $771 million warnings, citing stronger receipts and cost controls, and said the shortfall would rebound to about $790 million in 2027.
  • CTA, Metra and Pace outlined stopgap budgets that include a 10% fare increase on Feb. 1 and timelines that push CTA service cuts to summer 2026, with Metra and Pace reductions likely in 2027 absent state aid.
  • CTA’s plan anticipates a hiring freeze early 2026, about 1,800 layoffs and up to a 25% service reduction by early 2027, with potential elimination of up to 39 bus routes and one rail line.
  • House negotiator Rep. Kam Buckner said any new revenue must come with governance reforms such as consolidated back-office functions, independent oversight and public performance scorecards.
  • Labor and environmental groups urged passage of a long-term package worth roughly $1.5 billion, as separate federal actions include a $2.1 billion pause on Chicago infrastructure funds and an injunction against new FEMA grant conditions.