Transit Future

Saved by a last minute infusion of federal funds, to the tune of $27 million, transit in the Chicago region will continue as usual through the end of 2007, though, as transit-riders at a CTA board public hearing Monday evening made clear, “as usual” is not as good as it should be.

Moreover, the extra funds will run out on January 20th.  The CTA board met yesterday and voted to eliminate 81 of their 154 routes, lay off more than 2,000 workers, and raise fares if further funds do not appear before then.

Currently, legislators are working to find a funding source for transit that will raise capital for other infrastructure projects, along with the governor and the mayor. Legislators have so far been unwilling to support SB 572, a comprehensive funding and reform bill proposed by Rep. Julie Hamos (D-Evanston) that would secure the future of Northeastern Illionois’ transit network.

With three days left to go before the first round of service cuts and fare hikes hits Northeast Illinois’ transit network, the governor, Mayor Daley, legislative leaders, and transit officials have all been players in an unfolding drama, with the fate of the 39 bus routes and the thousands of commuters who rely on them yet to be determined. When the day began, Illinois House speaker Michael Madigan was planning to call for a vote on SB 572, a bill that would immediately provide a long-term funding source for transit. Even if the bill passed the House, it was unlikely that the Illinois Senate would have time to consider the bill before the Monday transit doomsday.

Governor Blagojevich, however, announced that he would authorize a grant of $21 million to CTA and Pace in order to keep the services running normally through the end of the year. The money would come from unallocated federal funds. However, the direct granting of the money to the service boards requires the approval of the Federal Transit Authority (FTA). Currently, officials at the FTA are deliberating about whether to approve the grant. Transit officials in the region have said they will accept the money if the FTA agrees to the bailout.

Join other transit riders on November 5th to demand
action to save transit! Several public transit advocacy organizations are hosting a rally to call on our elected officials to address this serious regional crisis. November 5th will be the first workday after the CTA “doomsday” goes into effect unless the governor and other officials can find a way to fund transit in our region before then.

What: A rally to save transit - and hold our elected officials accountable!
When: Monday, November 5th at Noon
Where: Thompson Center Plaza at the corner of Randolph and Clark

To RSVP, click here:
http://illinoispirg.org/IL.asp?id=2481&id4=ES

On Friday, Oct 12th, CTA released its proposed budget for 2008. Though it has long been clear that Springfield is not funding CTA sufficiently, the new budget makes it even clearer. As CTA President Ron Huberman wrote, “…while the CTA continues to look for every opportunity to cut costs, there is simply no way we can manage our way out of a $158 million deficit in 2008.” The budget, which is $50 million less than the 2007 budget, which was already insufficient to maintain operations, includes provisions for steep fare increases and service cuts in January, which will be in addition to those scheduled for November4. More than half of the CTA’s bus routes will be cut in the two service reductions, and rush-hour fares will rise to $3.25 on L lines.

The costs of disinvestment in our region’s transit system are incalculable.  Not only will thousands of riders be stranded, many without alternative transportation, but the overall economic health of the region will suffer as congestion grows exponentially worse and moving around the region becomes increasingly difficult.

Please let your legislator know that you support a long-term funding solution to the transit crisis looming over Northeastern Illinois. If you can’t write or call your legislators directly, go to www.transitchicago.com to send them and the governor a message.

Yesterday the mass transit committee of the Illinois General Assembly met at Harold Washington college in downtown Chicago to discuss the looming transit crisis and new funding ideas.

The hearing began with testimony from the heads of RTA and the three service boards. CTA president Ron Huberman spoke about the severity of the situation, painting a bleak picture for Chicago’s millions of transit riders. In addition to the scheduled fare hikes and service cuts of November 4th, Huberman said that January would bring further reductions in service that would make the November cuts look light by comparison.

A chorus of further testimony from organized labor, civic and business leaders as well as citizens and advocacy groups, supported SB 572, a bill that would both reform the RTA and provide a source of long-term funding by raising sales tax a quarter of a percent and authorizing the City of Chicago to raise its Real-Estate Transfer Tax. Despite receiving broad support from groups as diverse as the Mayor’s office, transit workers’ unions, and local corporations, the bill is currently stalemated in the legislature due to opposition from suburban lawmakers and some of the governor’s key legislative allies.

A sense of frustration pervaded the hearing. Rep. Julie Hamos (D-Evanston), the chairwoman of the committee and principal sponsor of the bill, asked for suggestions for possible alternative funding sources, since “looking for other options is not an idle exercise at
this point”

One such suggestion was a proposed monthly tax of $5 on each parking space. The suggestion spurred much debate, with business leaders criticizing the tax as a poorly thought out increase in property taxes. The committee members had concerns about the feasibility of collecting such a tax, and whether it might have unintended consequences, since no such blanket parking tax exists anywhere else in the country.

Support transit in Illinois! This Thursday, Oct 11, a group of transit advocates will be taking Amtrak down to Springfield to lobby legislators on behalf of transit. For more details, including how to join the group, visit midwesthsr.org/events.

On Tuesday, October 9th the Mass Transit Committee of the Illinois house of representatives will be holding a hearing open the public. Th purpose of the hearing is to discuss possible long-term funding sources for transit in Northeastern Illinois. A bill that would provide this long-term funding is not moving through the legislature because of political infighting.

The governor and other opponents of the bill propose to fund transit and other capital projects by building casinos in Illinois.

If funding for transit isn’t secured within one month, CTA and PACE will begin cutting service and raising fares.

Come out to the hearing and support a real solution to transit funding!

For more information about the hearing, visit: http://www.juliehamos.org/email/10-04-07.asp

The average American commuter sat in traffic for a full 38 hours last week, up significantly from the previous year. Chicago ranked second in congestion delays among major metropolitan areas. Only LA was worse.

According to the Sun-Times, “the delays cost the region $4 billion per year and caused individual commuters to use an extra 32 gallons of gas and spend more than $900 a year during peak travel periods.”

This news comes at a time when state legislators in Springfield have so far failed to invest enough money in the region’s transit system even to maintain current levels of operation. The urgency of not only maintaining but improving Northeast Illinois’ transit network becomes clearer in light of the enormous negative economic impact that congestion has on the region. Legislators must recognize that an investment in our transit system helps combat congestion and improves our region’s economy.

Links to relevant news articles:

http://www.suntimes.com/news/transportation/563551,CST-NWS-traffic19.article

http://www.dailysouthtown.com/news/563318,091907traffic.article

http://www.suntimes.com/news/transportation/562462,traffic091807.article

Transit Future Update, September 13, 2007

Governor offers CTA a bailout
Yesterday Governor Blagojevich attempted to stave off the looming service cuts and fare hikes scheduled for this Sunday, September 16th, by offering the Chicago Transit Authority a $24 million bailout. The money will come from funds already allotted to the RTA for 2008. By moving up the payment of these funds, the “doomsday” of fare hikes and service cuts scheduled can be pushed back to November 4th. The Governor said that he hopes delaying the doomsday scenario will give the legislature time to work out a long-term solution.

A long-term solution that would have both funded the RTA and reformed its governance system was rejected by the legislature earlier this week.

While the CTA board has accepted the bailout, it will not receive the money unless the Regional Transit Authority also accepts the measure at its board meeting tomorrow. While delaying the service cuts and fare hikes would give the legislature time to work on a long-term solution, avoiding the costs of re-hiring hundreds of employees and changing schedules, not to mention stranding thousands of riders, the bailout is not risk-free. Because the money comes from funds already allotted to the CTA, if the legislature does not provide additional funding, the fare hikes and service cuts that eventually go into effect on November 4th could be worse than those scheduled for Sunday. Jim Reilly, Chairman of the RTA board that meets tomorrow, has said that accepting the bailout “may create an even bigger problem in the coming months.”

The bailout also provides no money for Pace, the suburban bus service, which will go ahead with its doomsday plan on Sunday. Crucially, Pace provides paratransit services that would not be saved from fare increases by the bailout. Many of the region’s senior and disabled citizens depend on these paratransit services as their primary mode of travel, many of them living on fixed incomes and unable to absorb fare increases.

Mixed Reaction
Reaction from community and civic leaders to the news was mixed. Mayor Daley has announced that he supports the plan, and has encouraged the RTA board to accept the bailout. “It’s only a stopgap,” the mayor said, “[but] it’s better than the alternative. The alternative would be Monday morning, you cut service out for people and increase fares.”

Jacky Grimshaw, Vice-President for Policy at CNT, expressed the sentiments of many transit riders and advocates in the region: “It is heartening to see the governor take action, but I am also fearful that this band-aid will create a larger deficit for the CTA if the legislature fails to act. We cannot forget that we have a regional transit funding problem, and cannot just focus on the CTA, but must provide funding for Pace and Metra.”

In a statement released to the press, Jim Reilly wrote on behalf of the RTA expressing skepticism about whether the plan’s benefits were worth the risk. “On its face, the proposal averts an immediate crisis, but may create an even greater problem in the coming months. Given the current political dynamic in Springfield, the RTA has to decide whether it is prudent to ‘hope’ legislative leaders and the Governor will act to place the regional transit system on sound, permanent footing.”

Links
News articles on the story:

-The Chicago Tribune
http://www.chicagotribune.com/news/local/chi-ctameet_websep13,1,2335363.story?coll=chi_tab01_layout

- The Chicago Sun Times
http://www.suntimes.com/news/politics/556347,ctadaley13.article

- The RTA’s press statement on the bailout plan:
http://www.rtachicago.com/CMS400Min/uploadedFiles/9-12-07_RTA%20Reilly%20statement.pdf

Transit News

Transit Doomsday has been pushed back by a $24 million bailout that Governor Blagojevich has offered the RTA. The money will come from funds already allotted to the RTA for 2008. By moving up the payment of these funds, the “doomsday” of fare hikes and service cuts scheduled for Sept 16^th can be pushed back to November 4^th. The Governor hopes that delaying the doomsday scenario will give the legislature time to work out a long-term solution.

A long-term solution that would have both funded the RTA and reformed its governance system was rejected by the legislature earlier this week.