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Illinois lawmakers pass budget with tax hikes on tobacco, gambling — but adjourn without transit, Bears stadium
Illinois lawmakers pass budget with tax hikes on tobacco, gambling — but adjourn without transit, Bears stadium

Chicago Tribune

time4 hours ago

  • Business
  • Chicago Tribune

Illinois lawmakers pass budget with tax hikes on tobacco, gambling — but adjourn without transit, Bears stadium

SPRINGFIELD — Democratic state lawmakers voted late Saturday, just minutes before their midnight deadline, to send Gov. JB Pritzker the final piece of a $55 billion budget balanced with a combination of spending cuts and an estimated $800 million plus in tax increases, including hikes on tobacco products, vaping and online sportsbooks. The governor's office touted the spending plan as Pritzker's 'seventh consecutive balanced budget that continues to get the state's finances back on track.' The General Assembly adjourned its spring session without passing legislation to address the $771 million fiscal shortfall faced by Chicago-area mass transit, and also took no action on proposals to help the Bears relocate to a new stadium in the northwest suburbs. The session's final hours were marked by a rush to pass the budget and revenue package before June 1, when the required vote threshold rose to a three-fifths majority. Ultimately, House Democrats approved the three main components of the plan by that margin or greater. The $55.2 billion spending portion of the budget passed the House by a 75-41 margin, with two Democrats — Reps. Larry Walsh of Elwood and Stephanie Kifowit of Aurora — joining Republicans in opposition. A short time later, the Senate approved the measure on a 34-23 vote, two votes shy of what would have been needed after midnight. Four downstate and suburban Senate Democrats voted against the spending plan: Sens. Christopher Belt of Swansea, Suzy Glowiak Hilton of Western Springs, Mike Halpin of Rock Island and Doris Turner of Springfield. During the House debate, Rep. Dagmara Avelar, a Democrat from Bolingbrook and member of the legislative Latino Caucus, said she was supporting the plan even though it was 'not a perfect budget,' noting her opposition to the elimination of funding for a Medicaid-style program for noncitizens aged 42 through 64. 'In fact, it's painful. It eliminates a program that has been a lifeline for many, including people that I have fought alongside for years,' she said. 'But I'm voting 'yes' because leadership requires hard choices. And this budget protects more than it cuts.' Majority Leader Robyn Gabel of Evanston, the chief budget negotiator in the House, said the budget made $400 million in spending cuts, including $193 million in operational cuts across state agencies. A big reason for those reductions, she said, was the uncertainty over whether Republican President Donald Trump's administration would deprive Illinois of critical federal funding for Medicaid and in other areas. 'I want to emphasize that these were not decisions made lightly or made hastily. These are strategic efficiencies so we can invest in the needs of our working families and seniors on fixed incomes,' Gabel said. 'Of course, we do not know the full extent of the cuts Washington is preparing. But we do anticipate that health care access and infrastructure will be most directly impacted.' Pritzker also took shot at Trump in his post-budget statement. 'Even in the face of Trump and Congressional Republicans stalling the national economy, our state budget delivers for working families without raising their taxes while protecting the progress we are making for our long-term fiscal health,' Pritzker said in a statement. Illinois House passes bill allowing terminally ill people to end their lives with physician's helpRepublicans criticized what they called a bloated budget and said the Democrats' attempts to lay blame on Trump Republicans in Washington are misguided. 'The tax-and-spend Democrats … are so unfamiliar with cost-cutting, they call it chaos,' said GOP Rep. William Hauter of Morton. 'They wasted billions. And they are prepared to waste billions more. Wake up, Illinois. Vote 'no.'' Pointing to the $40 billion budget approved after Pritzker first took office in 2019 and last year's roughly $53 billion plan, Sen. Chapin Rose of Mahomet, a GOP budget negotiator, said Democrats must shoulder the blame for the state's fiscal issues. 'Let's be clear: $15 billion over six years, that's on you,' Rose said. '$2 billion increase over last year, that's on you. Billions of dollars in tax increases that are driving working families out of Illinois, that's on you.' Senate Republican leader John Curran of Downers Grove faulted Democrats for once again pushing their budget package through in the final hours of the legislature's spring session without sufficient time for review, particularly on the tax side of the ledger. Democrats 'introduced a bill, $880 million in tax increases, we were told — nearly $1 billion — and six short hours from introduction of what it was to passing in both the House and the Senate,' Curran said. 'That's not transparent. That's not being upfront with the people of Illinois.' Sen. Elgie Sims, Democrats' budget point person in the Senate, said, however, that the plan largely reflected what lawmakers had been discussing since Pritzker laid out his proposal in February. 'If there's one thing I do agree about with the other side of the aisle, it is that a budget is a statement of our priorities,' Sims said. 'And our priorities are being fiscally responsible, preparing for the future and facing the challenges that are coming our way head on.' Heeding Pritzker's warning that he would veto a plan that relied on increases to the state's sales or income taxes, legislators approved a package that would employ one-time tactics, such as an amnesty for delinquent tax filers. The revenue package also included increased taxes on tobacco products to 45% of the wholesale price. Starting in July, that higher tax will also apply to nicotine pouches, which have exploded in popularity in recent years, and e-cigarettes would be taxed at the same rate as other tobacco products for the first time. The revenue would go to tobacco health initiatives and the state's Medicaid program. Democrats also approved a new per-wager tax on online sportsbooks, which would generate an estimated $36 million. Overall, the spending and tax package would result in a slight surplus, Democrats said. Amid the late push to approve a tax-and-spending plan, the Senate also narrowly approved a proposal to overhaul governance and increase funding for Chicago-area mass transit. The plan included a $1.50 fee on retail deliveries, which replaced an earlier proposal to increase tolls on Chicago-area toll roads. But the House adjourned without taking up the measure, meaning the transit issue remains unresolved. A late push for legislation to aid the Chicago Bears with the team's proposed move to a new stadium in Arlington Heights failed to come to a vote in either chamber. The spending package Democrats approved stuck closely to the broad outlines Pritzker presented to lawmakers in February. However, with revenue projections for the budget year that begins July 1 dimming in the months since the governor made his proposal, legislators approved some new ideas to bring in more money, including changes that would allow Illinois to tax offshore and out-of-state corporate profits. One new funding stream would come from taxing 'large transnational corporations' that store assets overseas, Democratic Rep. Will Guzzardi of Chicago said. 'Those are the revenue sources we're contemplating to balance a budget that supports investments in children and families and seniors and people with disabilities,' he said. The budget package included a tax amnesty program aimed at boosting revenue that was part of Pritzker's proposal. The program is expected to bring in $228 million, Guzzardi said, which is $30 million above Pritzker's initial estimate. The spending proposal lawmakers approved, negotiated among the Democratic House and Senate leaders and the governor's office, deviates from Pritzker's original plan in certain areas, including funding for elementary and secondary education. Pritzker proposed a $350 million increase as required under a 2017 school funding overhaul. But the final plan would boost funding by only $307 million over the current year, cutting $43 million that normally would go to a grant program designed to help school districts with high property tax rates and low real estate values. The grant program was paused to provide 'the ability for us to have a study that talks about the efficacy of that program, making sure it is having the desired impact and reducing property taxes for hardworking homeowners across the state,' Sims said. Democrats managed to gather enough support for their plan despite ongoing tension over the elimination of funding for the health insurance program covering noncitizens ages 42 to 64. When Pritzker proposed the cut in February, his office estimated it would save the state about $330 million from its general fund. The approved budget would preserve the portion of the program for those 65 and older, allocating $110 million for their coverage. Eliminating funding for the younger group, which would end coverage for more than 30,000 residents, was unpopular among Latino lawmakers and progressives, but those blocs didn't end up withholding their votes from the final budget package. Democratic Rep. Lilian Jiménez, one of the champions of the program, stressed the importance of making sure the health care networks in low-income communities that are often used by immigrants are adequately funded in the face of the cut. 'What we're trying to do is make sure that those communities have the resources they need to brace for the impact of having 30,000 uninsured throughout the state of Illinois,' said Jiménez, whose district includes heavily Latino portions of Chicago. While many immigrants living in Illinois without authorization pay state and federal taxes that support the program and other services for which they are ineligible because of their citizenship status, a state audit released in February found that over three years the insurance program for older immigrants cost nearly double what was expected. The budget would eliminate funding for a relatively new state program providing free test preparation to students at public universities and some community colleges, launched in late February after receiving $10 million in the current state budget. Supporters said in early May that the program had already saved more than 200,000 students a total of roughly $8 million in just two months. When Illinois launched the program, it became the first state to offer free comprehensive test preparation for college students. Democrats also followed Pritzker's recommendation to pause one of his key priorities: a $75 million annual increase to boost the number of seats in state-funded preschool programs. The budget would keep that spending level with the current overall plan also would cut back on another Pritzker priority, suspending monthly contributions to the state's 'rainy day' fund for a year. Instead, about $45 million would be held in the general fund. At the same time, some lawmakers pushed to boost funding for health facilities that serve low-income patients and communities, asking for $160 million for safety-net hospitals, though settling in the end for $118 million. 'There are significant increases, investments in our hospital systems. Our safety-net hospitals are on the front lines,' Sims said. 'They are caring for our most vulnerable. And we are making sure that we made investments in those safety-net hospitals because they carry a large volume of Medicaid clients. So, we want to make sure they have the resources necessary to be successful.' The Democratic plan also included an 80-cent-per-hour wage increase for direct support professionals who work with people with developmental disabilities, but reduces the hours the state would pay for by 35%, which Gabel, the House majority leader, characterized as 'rightsizing.' Advocates and unions have said wages needed to be raised by $2 an hour to meet recommendations that those workers be paid 150% of minimum wage. At a Senate committee hearing on the plan Saturday afternoon, Rose, the Mahomet Republican, said the reduction in hours was a 'cynical sleight of hand.' Republicans also criticized the use of one-time revenue streams to fill shortfalls, including the diversion of money from road projects by again delaying a shift of revenue from the sales tax on gasoline from the state's general fund to the road fund, freeing up $171 million to spend on operations. 'Last year … we described that as a one-time, special occurrence. Now, we're doing it again,' Republican Rep. Ryan Spain of Peoria said during a Friday night House committee hearing. 'What happened to the one time occurrence?' 'We're in difficult times,' Gabel said. 'This is a hard budget. We felt like we needed to do it one more time.' Both Republicans and Democrats pointed to the uncertain federal funding picture, with Republicans questioning spending in a 'doomsday budget' and Democrats blaming Trump for creating confusion for states. Gabel said 'this budget is based on the information we have at this time.' Despite the fiscal challenges the state faces, the Democratic plan included $8.2 billion in new spending on infrastructure projects, which are separate from the operating budget and funded by dedicated taxes and borrowing. Republicans accused the majority party of once again hoarding that money for projects in their own districts.'Let's hide this stuff. Let's hide it so that the public doesn't see it until it's too late. Let's blame everybody but ourselves. The Trump administration did this. The Trump administration did that. I call B.S.,' GOP Rep. John Cabello of Machesney Park, who was a Trump delegate during last year's Republican National Convention in Milwaukee, said during the House debate late Saturday. 'Start looking at these pages, people. There is so much pork in here,' C, lamenting that Republicans weren't given a chance to fund projects on behalf of taxpayers in their districts. While House and Senate Democrats dodged Republican questions about the so-called pork-barrel spending, their legislation included funding for a number of large projects in Democratic districts. For instance, Proviso Township High School District 209, which is in House Speaker Emanuel 'Chris' Welch's district and where he previously was school board president, would receive $40 million for 'costs associated with capital improvements and an outdoor sports complex at Proviso West High School.' Members of the GOP also criticized proposed pay raises of about 5% — to a base salary of $98,304 — for lawmakers, though in the past they've largely accepted the pay increases even when voting against the budget. The raises are cost-of-living adjustments included in state law, though past legislatures have voted to freeze their own pay — a move that has drawn legal challenges. The plan includes similar increases for the governor, other statewide elected officials and the heads of state agencies. Pritzker, a billionaire Hyatt Hotels heir, does not take a state salary. The Senate-approved plan to address a looming $771 million fiscal cliff for the Chicago area's mass transit system and to overhaul the system's disjointed board structure moved away from a proposed increase on Chicago-area toll roads in favor of a new $1.50 fee on retail deliveries. That came after labor groups and suburban officials criticized the proposed toll increase. The so-called 'climate impact fee,' which also was introduced late Saturday just hours before winning approval in the Senate, would kick in on Jan. 1 and could increase with inflation in future years. It would be imposed for each order, regardless of the number of items, but would not apply 'to the delivery of groceries and prescription and non-prescription drugs and medications.' Retailers with total sales of $500,000 or less in the preceding calendar year would also be exempt. Even before the proposal was officially filed, the fee had drawn opposition from business groups, including the Chicagoland Chamber of Commerce, Illinois Chamber of Commerce, the manufacturers', restaurant and retail associations, and the big-tech interest group TechNet. 'This new, regressive tax will undermine consumer savings from the recent elimination of the grocery tax and would disproportionately impact communities that rely on delivery services to receive vital items,' the groups said in a statement.

The Tribune's Quotes of the Week quiz for May 31
The Tribune's Quotes of the Week quiz for May 31

Chicago Tribune

timea day ago

  • Business
  • Chicago Tribune

The Tribune's Quotes of the Week quiz for May 31

And that's a wrap on May! Where did the month go? While we try and figure that out, here's what happened this week: Lawmakers in Springfield have been busy as the spring legislative session comes to a close. In addition to trying to pass a spending plan without 'broad-based' taxes before Saturday's deadline, state senators are considering a huge transit bill that would address a $771 million shortfall in Chicago-area transit agencies' budgets. Two big measures have also advanced in the final days of the session. The Illinois House passed a bill that would legalize medical aid in dying for terminally ill people, and state legislators voted to ban police from ticketing and fining students for minor infractions at school, a common practice uncovered in the Tribune-ProPublica investigation 'The Price Kids Pay.' The former awaits approval by the Senate and the latter now heads to Gov. JB Pritzker's desk to be signed into law. Chicago-born Gangster Disciples founder Larry Hoover got some good news this week. In a controversial decision, President Donald Trump commuted his federal life sentences. But Hoover will remain in prison, serving a 200-year sentence for his state court conviction for murder. Tariffs dominated the news again this week. The president announced Sunday that the U.S. will delay its 50% tariff on goods from the European Union until July 9 to allow time for negotiations. But on Wednesday, a federal trade court blocked the administration from imposing taxes on imports under an emergency-powers law, as tariffs must typically be approved by Congress. Still, that doesn't mean they're going away quite yet. A federal appeals court ruled Thursday that the president can temporarily continue collecting tariffs while he appeals the trade court's decision. For more on that, here's where things stand. Elon Musk is leaving the Trump administration. The announcement came shortly after the Tesla CEO criticized Trump's 'Big, Beautiful, Bill' during a CBS interview. As the billionaire returns to his business ventures, he faces some big challenges. In Chicago sports news, Caleb Williams addressed murmurings that he tried to avoid being drafted by the Bears in 2024, saying 'I wanted to come here.' In Thursday's win over the Dallas Wings, Chicago Sky point guard Courtney Vandersloot broke the all-time franchise scoring record, a title previously held by her wife, Allie Quigley. And Sox fans can honor one of their own being elected pope at a celebration at Rate Field on June 14. Tickets went on sale Friday. Plus, Chonkosaurus is back! The famed snapping turtle was spotted basking in the Chicago River this week. If — like Chonk — you're looking to lounge outside in the beautiful weather this weekend, check out our patio guide for 25 spots around the city. Without further ado, here's the Tribune's Quotes of the Week quiz from May 25 to 31. Missed last week? You can find it here or check out our past editions of Quotes of the Week. Best of luck!

Democrats propose tax hikes on cigarettes, vaping and gambling to balance $55B budget
Democrats propose tax hikes on cigarettes, vaping and gambling to balance $55B budget

Chicago Tribune

time2 days ago

  • Business
  • Chicago Tribune

Democrats propose tax hikes on cigarettes, vaping and gambling to balance $55B budget

SPRINGFIELD — With a little more than 24 hours remaining before their Saturday deadline, Democratic state lawmakers unveiled a $55 billion spending plan balanced with a combination of spending cuts and tax increases. Heeding Gov. JB Pritzker's warning that he would veto a plan that relied on increases to the state's sales or income taxes, legislators produced a package that employed one-time tactics, such as an amnesty for delinquent tax filers, coupled with increased taxes on cigarettes, vaping and gambling, according to Sen. Elgie Sims, a Chicago Democrat and top budget negotiator. 'What we're trying to do is make sure that this this budget is balanced, and it is balanced, it is responsible, and it's a statement of our priorities,' Sims said. Sims didn't go into specifics about the sin tax increases included in the plan. While the Democrats' spending plan was unveiled Friday evening, hours later separate legislation including the revenue proposals had yet to be introduced. The proposed spending package stuck closely to the broad outlines Pritzker presented to lawmakers in February. However, with revenue projections for the budget year that begins July 1 dimming in the months since the governor made his proposal, legislators also were considering some new ideas to bring in more money, including changes that would allow Illinois to tax offshore and out-of-state corporate profits. Aside from wrangling over the state's main operating budget, lawmakers continued to work on a plan to overhaul governance and increase funding for Chicago-area mass transit. It also remained to be seen whether there would be a late push for legislation to aid the Chicago Bears with the team's proposed move to a new stadium in the northwest suburbs. The legislative budget proposal, negotiated among the Democratic House and Senate leaders and the governor's office, deviates from Pritzker's original plan in certain areas, including funding for elementary and secondary education. Pritzker proposed a $350 million increase as required under an 2017 school funding overhaul. But the measure introduced late Friday would boost funding by only $300 million over the current year, pausing a $50 million-per-year grant program designed to help school districts with high property tax rates and low real estate values. 'But it also includes the ability for us to have a study that talks about the efficacy of that program, making sure it is having the desired impact and reducing property taxes for hardworking homeowners across the state,' Sims said. The proposal surfaced several hours after Pritzker met in his statehouse office with the legislature's top Democratic leaders, House Speaker Emanuel 'Chris' Welch of Hillside and Senate President Don Harmon of Oak Park. The trio emerged from the meeting expressing confidence they'd reach a deal before the calendar turns to June but offering no details. Welch, whose House Democrats last year had to suspend chamber rules to round up the votes needed to pass a tax-hike package, said he didn't anticipate similar issues this time. 'We're getting close to a budget that I believe our caucus can support,' Welch said after the meeting. It remains possible, however, that certain factions of the Democratic Party could dig in their heels over aspects of the proposed deal. For example, the plan would make good on Pritzker's recommendation to zero out funding for a state program that provides Medicaid-style health insurance for noncitizens ages 42 to 64. When Pritzker proposed the cut in February, his office estimated it would save the state about $330 million from its general fund. The move, which would eliminate coverage for more than 30,000 residents, is unpopular among Latino lawmakers and progressives, but it was unclear whether they would withhold votes on the broader budget over the issue. At the same time, some lawmakers are pushing to boost funding for hospitals that serve low-income patients and communities. Sen. Lakesia Collins, a Democrat whose district includes a swath of Chicago's West Side, said Mount Sinai Hospital in her district is facing financial troubles but she's hopeful the hospital and others like it, collectively, will be able to get more than $160 million from the state budget to operate. Collins also noted the uncertainty over how much federal health care funding Illinois will receive under President Donald Trump's administration. 'Right now, as a state, we're trying to figure out how do we maneuver around all of the challenges that we're facing from the federal government while making sure that they're sustainable here in Illinois,' Collins said. It wasn't immediately clear how much funding went to safety-net hospitals like Mount Sinai, which typically treat the uninsured or Medicaid patients, often in low-income communities, but Sims suggested Friday evening the increase would be substantial. 'There are significant increases, investments in our hospital systems. Our safety-net hospitals are on the front lines,' said Sims. 'They are caring for our most vulnerable. And we are making sure that we made investments in those safety-net hospitals because they carry a large volume of Medicaid clients. So, we want to make sure they have the resources necessary to be successful.' With the clock running out on the legislature's scheduled spring session, there also was a sense of urgency to address a looming $771 million fiscal cliff for the Chicago area's mass transit system and to overhaul the system's disjointed board structure. Lawmakers, advocates and transit officials were working through competing House and Senate proposals Friday, with negotiations possibly moving away from a proposed increase on Chicago-area toll roads toward a new fee on deliveries. That came after labor groups and suburban officials criticized the proposed additional fee for tollway drivers. Kirk Dillard, chair of the Regional Transportation Authority that oversees train and bus service across the city and suburbs, on Friday criticized the initial Senate plan to close the budget gap, saying in a statement that it would lead to 'significant service cuts' next year. Dillard suggested that less than half of the new revenue in Senate proposal would actually go toward funding transit operations, with the majority of the money going toward nonoperational and capital causes. 'While the bill also requires the regional entity to take on additional costs for new initiatives like a police force without dedicated funding, which could further limit available funding, our focus today is closing the budget gap to avoid service cuts in 2026,' Dillard said Friday. Sen. Ram Villivalam, a Chicago Democrat, said Friday the Senate is committed to addressing transit funding and that lawmakers were working to address the pushback from critics. 'Our focus in the Senate is funding and reform. We always said, 'No funding without reform,'' Villivalam said. Late Friday, Republicans in the legislature's superminority were trying to make sense of the 3,000-plus-page budget proposal. While Rep. Norine Hammond, a Republican from Macomb, said she was 'getting some little bits of information' on the overall plan, she was aware it contained 5% pay increases — to a base salary of $98,304 — for lawmakers. She said that if Democratic leaders are truly trying to be fiscally responsible, those raises shouldn't be in the budget. The plan includes similar increases for the governor, other statewide elected officials and the heads of state agencies. Pritzker, a billionaire Hyatt Hotels heir, does not take a state salary. Hammond she's anxious to see what cuts were made by Democrats to close the budget hole. 'I would like to see the cuts that they have made. We have a billion-dollar, at least a billion-dollar deficit that we're looking at. What cuts have you made?' Hammond said.

A New Italian Spot Hopes to Comfort Lincoln Park After The End of Tarantino's 30-Year-Run
A New Italian Spot Hopes to Comfort Lincoln Park After The End of Tarantino's 30-Year-Run

Eater

time2 days ago

  • Business
  • Eater

A New Italian Spot Hopes to Comfort Lincoln Park After The End of Tarantino's 30-Year-Run

Another Lincoln Park stalwart fell by the wayside when Tarantino's closed in March, ending three decades along Armitage Avenue. The neighborhood's restaurant scene has seen changes in recent times, and three decades seems to be a magic number. Pizza Capri closed its own 30-year run earlier this year when it moved to Avondale. Goose Island Beer Co. moved on from its original brewpub, relocating to the Salt Shed earlier in 2024 after a 35-year run on Clybourn. As Tarantino's wished farewell to its clientele, word spread that Cornerstone Restaurant Group planned to open a new project in the space. Cornerstone's Chicago-area restaurants include chef and partner Bill Kim's Urbanbelly, The Table at Crate, and Bill Kim's Ramen Bar inside Time Out Market Chicago. Cornerstone is also known for its partnership with Michael Jordan, running MJ's Mag Mile steakhouse, plus locations across the country and South Korea. In Lincoln Park, the company wants to retain Tarantino's customers and lure new ones with Dimmi Dimmi Corner Italian, pegged for a summer opening at 1112 W. Armitage Avenue. Executive chef Matt Eckfield worked with Kim, splitting about 13 years at Belly Shack (the chef's shuttered Puerto Rican and Korean restaurant in Bucktown) and Belly Q (the shuttered Korean barbecue-style spot in West Loop). Eckfield left Chicago for New York's Major Food Group, working as one of the conglomerate's executive chefs, spending nearly 12 years with its famous Italian American brands like Carbone, Contessa, and ZZ's Club. Eckfield is hopeful to make use of produce from Green City Market, the farmers market held weekly in the summer, just east of the restaurant and toward the lake. Eckfield wouldn't spill on menu specifics other than saying customers, including Tarantino's regulars, will recognize the food. Expect a mix of pastas made on premises and seasonal veggies. There will be sandwiches. Eckfield is excited to pump out some focaccia, saying that while most anyone can make the flatbread, few folks can bake focaccia that actually tastes good. 'There's not going to be tweezer work,' the chef says. Former Boka Restaurant Group pastry chef Casey Doody is handling dessert recipes with gelato, cakes, and more. So Lincoln Park is experiencing a renaissance. Dimmi Dimmi, which means 'tell me, tell me,' in Italian, should open in late July or early August. Another notable nearby opening comes near the busy Halsted and Clybourn intersection, where a group of experienced restaurant veterans is working on Brick & Mortar inside the former Golden Ox and Burger Bar space. Dimmi Dimmi Corner Italian , 1112 W. Armitage Avenue, planned for a late July or early August opening Sign up for our newsletter.

Illinois tolls could go up by 50 cents in Villivalam's transit proposal
Illinois tolls could go up by 50 cents in Villivalam's transit proposal

Yahoo

time2 days ago

  • Business
  • Yahoo

Illinois tolls could go up by 50 cents in Villivalam's transit proposal

CHICAGO — State lawmakers met Thursday to discuss how to avoid a large public transit budget shortfall and the plan that was discussed could mean toll increases and public charging station fees for electric vehicles. Facing a $770 million budgetary gap in 2026 due to the expiration of Federal COVID-19 grant funding, the Regional Transportation Authority (RTA) has warned riders could see significant service cuts soon, if the shortfall is not addressed. Illinois lawmakers debate plan to overcome $770 million CTA budget shortfall On Thursday, State Sen. Ram Villivalam presented a plan to the Senate Transportation Committee that he says could help prevent Chicago-area transit agencies from going over the edge. The proposed legislation would create the Northern Illinois Transit Authority, which would shift oversight of the CTA, Metra and Pace from the Regional Transit Authority to a new 20-member board. IDOT: Drivers taking Kennedy Expressway from downtown to O'Hare can use express lanes again starting Saturday The plan would cover the pending fiscal cliff, but agencies say even more money is needed to make long-term changes to transit systems. The bill, if passed, would also create a unified fare system that would provide unarmed staff for customer service assistance at stations and on trains, and develop a law enforcement task force with a regional safety strategy in mind. The revenue proposals in Villivalam's plan would include toll increases up to 50 cents, a public electric vehicle charging fee of 6 cents per kilowatt hour, and the extension of the Real Estate Transfer Tax and rideshare fee to suburban Cook County and the collar counties. Negotiations on Villivalam's plan are ongoing with some changes possible. State lawmakers now have until Saturday at midnight to pass a transit budget plan, otherwise, service cuts could begin to take place. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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