IL Senate committee discusses Chicago-area transit issues ahead of $730 million fiscal cliff

CHICAGO (WGEM) - Illinois state lawmakers heard from Chicago-area transportation leaders Tuesday as the agency overseeing transit in the region is facing a $730 million fiscal cliff in 2026. The state Senate Transportation Committee held a subject matter hearing Tuesday on transit in the region.

The Chicago Transit Authority (CTA), Metra and Pace, comprise the three major transit agencies in the region. The Regional Transportation Authority (RTA), which oversees them, is facing the $730 million cliff as it runs out of COVID relief money.

Kirk Dillard, the RTA Board Chair, said right now, the state only funds 17% of the agency’s operating budget, which is among the lowest in the U.S.

“Urgent action is certainly needed to address the fiscal cliff. You all know about it,” Dillard said. “And while we have funding through 2025 for operations, we’ve got less than a year to make major decisions about service and fares going into 2026.”

A former Republican state Senator and gubernatorial candidate, Dillard said RTA agencies would likely have to cut service and/or raise fare prices.

Several lawmakers, including Senate Transportation Committee Chair, state Sen. Ram Villivalam, D-Chicago, have said they’re open to helping the RTA, but want to see major changes within its transit agencies.

He proposed a plan that would consolidate the RTA, CTA, Pace, and Metra into the Metropolitan Mobility Authority and provide an additional $1.5 billion for Illinois transit agencies annually.