Latest news with #RealEstateTransferTax
Yahoo
4 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 This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
5 days ago
- Business
- Yahoo
Illinois lawmakers debate plan to overcome $770 million CTA budget shortfall
CHICAGO (WGN) — As public transit workers rallied Thursday for quick legislative action to avert a massive fiscal cliff in next year's budget, one of transit reform's lead negotiators, State Sen. Ram Villivalam, presented a plan to the Senate Transportation Committee to avoid sending regional transit agencies over the edge. 'I don't think any of us standing here … can stomach what will happen if we don't act on this,' Villivalam said. The Chicago Transit Authority (CTA) faces a $770 million budgetary gap in 2026 due to the expiration of Federal COVID-19 grant funding. If the shortfall is not addressed, the CTA, Metra and PACE could face an estimated 40% cut to services, leading to thousands of employees losing their jobs. Villivalam's 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 20-member board. Illinois' Governor, the Mayor of Chicago and the Cook County Board President would each appoint five members to the board, while collar counties would appoint one board member each. Villivalam's plan would create a unified fare system that provides unarmed staff for customer service assistance at stations and on trains, and develops a law enforcement task force with a regional safety strategy in mind. Importantly, Villivalam said the funding estimates would cover the fiscal cliff, but likely won't amount to the $1.5 billion advocates have been calling for. 'We are happy to see a package that includes revenue, but have major concerns with the revenue proposals in there,' Illinois AFL CIO Frances Orenick said. Those proposals include a tollway surcharge, a public electric vehicle charging fee, and the extension of the Real Estate Transfer Tax and rideshare fee to suburban Cook County and the collar counties. 'This is a billion-dollar bailout for Mayor Brandon Johnson being paid for by suburban taxpayers without giving them a real voice at the table,' State Sen. Don DeWitte said. Villivalam described the fee increases as a shared sacrifice. 'Their job is to do what's needed for the people,' said Tiffany Rebb, a member of ATU Local 241. 'Our job is to commute the people.' Negotiations on Villivalam's plan are ongoing with some changes possible, but the clock is ticking. State lawmakers 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.
Yahoo
6 days ago
- Business
- Yahoo
Senate budget writers boost revenues with 'big ticket' items still left to decide
Senate budget writers began making a few big-ticket decisions Wednesday, raising revenue estimates by nearly $108 million and sweetening profits for charity casino owners to generate more net gambling revenue for the state's bottom line. They endorsed designating an estimated $80 million profit from the private sale of the Sununu Youth Services Center (SYSC) property in Manchester to the settlement fund that pays victims of sexual and physical abuse who lived at the SYSC or its predecessor Youth Development Center. The Senate budget would also spend $20 million for YDC victims in the first year, bringing the potential total to $100 million if the SYSC sale brings in its expected market value. The House-approved budget (HB 2) set aside $20 million for the YDC fund over its two-year cycle. YDC Settlement Fund Administrator John Broderick asked the Legislature to approve $75 million a year for damage awards. Senate Deputy Democratic Leader Cindy Rosenwald of Nashua said she was concerned the lead lawyer for most of the alleged victims might advise clients to go back tto court and not go through this administrative settlement process if there isn't $150 million set aside. A preliminary audit of the program confirmed all damage claims from more than 1,300 alleged victims will total more than $1.1 billion; the state has thus far committed to spend $165 million. 'I think we have a responsibility to them,' said Sen. David Watters, D-Dover. "It's difficult for us financially but morally I think it's the right thing to do." The committee voted 5-2 for the $100 million amount. Big issues, higher revenues The panel still has decide many major issues, including whether to restore $50 million in House budget cuts to the University System of New Hampshire and if it will grant $28 million-a-year in higher pension benefits for a select group of first responders holding government jobs who had their retirement payouts cut in 2011. Senate Ways and Means Committee Chairman Tim Lang, R-Sanbornton, said after huddling with Revenue Commissioner Lindsey Stepp, he recommended bumping up the revenue forecast for three tax groups: • Business taxes: $75 million more than its earlier estimate ($25 million next year and $50 million in the second year of the budget cycle). • Room and Meals Tax: $27.8 million more ($11.5 million next year and $16 million in the second year). • Real Estate Transfer Tax: $5 million more ($2.3 million more in the first year and $2.7 million in the second). 'I feel good raising the revenue to these totals,' Lang said. This brings the Senate's estimate for the first budget year, which begins July 1, close to what Gov. Kelly Ayotte had proposed in her budget. Ayotte's second-year revenue forecast, however, remains much more bullish than the Senate's number, higher by more than $150 million. Rosenwald said her private discussions with Stepp didn't yield the same optimism that Lang heard. 'I am not comfortable with increasing the business tax rates," she said. "I have lived through a budget when we had to make cuts in the middle of the biennium; it's awful." Sen. Dan Innis, R-Bradford, a University of New Hampshire business professor, said there's good reason to think positively. 'If anything, I think Senator Lang's numbers are too low. I see a robust economy during the second half of the year, we could have 4% growth during that period,' Innis said. 'I think we are being very conservative even with Senator Lang's numbers.' All Senate Republicans agreed with Lang's revenue boost. Gambling matters On gambling, the House, Senate and Ayotte budgets would allow charity casinos to convert to slot machines from slower historic horse racing machines in order to attract more betting and profit for charities and state government. At Lang's urging, the committee lowered the tax rate charity casino owners would pay on slots from 32.5% to 31.25%; the House budget calls for a 30% tax rate. They also voted to reject a proposed maximum bet of $50. Massachusetts has a $50 limit on slot and table game betting, and not having a limit here will attract high rollers to New Hampshire, Lang said. 'We don't want to limit the high-stakes gamblers; we want them coming here,' Lang said. Lang's slot machine bill (SB 83) would reimburse cities and towns $20 million a year, equal to the cost of property tax exemptions granted to residents who are elderly, disabled or blind. On Wednesday, the committee agreed to Lang's request to put that property tax relief off until the next budget in 2028, which means $20 million more in each year would flow to the state treasury in the meantime. Vehicle fees Truckers got a big gift in these latest talks. The Senate plan proposed a 10% increase in annual truck registration fees. The House budget had a 100% increase. Lang said the House version "will be devastating to our business interests in our state for all the material that's brought in by truck for our residents to consume." The Senate's change means the state's highway fund will get $13.5 million less and cities and towns would receive $540,000 less in local aid than proposed in the House budget. Both the House and Senate budget plans would raise registration fees for passenger vehicles by nearly 35%, for example from $31.20 to $42 a year for the smallest cars. +++ What's Next: Senate budget writers will complete their recommendations early next week and the full Senate could vote on them June 5. Prospects: Some political observers are skeptical whether enough House Republicans will agree to all this higher spending winning support in the Senate to get a final deal through the lower chamber. klandrigan@
