|
|
|
Chicago Region Transit
|
|
|
"Doomsday" is this Week
Madigan Will Call Funding Bill Again This Week
Mayor Daley: "Do or Die Time"
With "doomsday" scheduled for this Sunday, it seems
there will be one last chance to break the General
Assembly stalemate in finding a solution to the
Chicago region mass transit funding problem.
The Chicago Tribune
reports that House Speaker Madigan
plans to ask House members to approve
legislation Friday to raise the sales tax by a
quarter-percentage-point for mass transit, which
he views as a more long-term solution to the
funding problems of the CTA, Metra and Pace.
If the plan doesn't pass Friday, Madigan said he
plans to call it again for a vote next Monday.
Madigan said there's a "high level of support"
for the sales tax plan in the Senate.
Highlights of
SB 572,
a regional sales tax increase to fund mass
transit:
-
Generates a total of between $386-$482
million in revenues
-
Local governments would receive $116 million
of total revenue for roads
-
Transit (CTA, RTA and PACE) would receive
between $270 and $366 million
-
Additional revenue would go to the Downstate
and Metro-East Public Transit Funds
-
Increases the sales tax by .50% in Lake,
McHenry, DuPage, Kane and Will counties
-
Increases the sales tax by .25% in Cook
County
-
Increases the Chicago Real Estate Transfer
Tax (by $300 for every $100,000)
-
Decreases CTA personnel retiree benefits
The Senate is scheduled to reconvene Friday in
case the House approves the tax increase.
What Does "Doomsday" Mean?
Beginning this Sunday, the CTA will institute the
first phase of fare and service cuts. Thirty-nine
bus routes will be eliminated and fares will rise by
as much as $1 per ride. Monthly passes will rise
from $75 to $84.
If sufficient funding is not received, additional fare
increases and service cuts will take place on January 6,
2008. Additionally, 600 CTA workers are set to be laid
off.
The CTA estimates it will lose 100,000 riders a day
due to the fare hikes and service cuts.
List of all routes eliminated
List of all fare increases
Proposed CTA Fiscal Year 2008
Budget
Mayor Daley - "Do or Die Time"
Chicago Mayor Richard Daley said it is, "do or die time"
on the mass transit crisis as reported by the Chicago
Tribune.
"To me, it's pretty
clear," Daley said. "Either (the governor and
the General Assembly) support public transit or
they don't. This is do or die time." The Mayor
went on to say state officials need, "to
remember that another round of short-term
stopgap, Band-Aid solutions is not the answer we
need. That approach, although it's better than
no action whatsoever, will likely result in
continuing deficits" at the CTA.
|
|
Public Transit & Schools |
|
Study Finds 14,000 Students Will Drop Out of City
Colleges Due to CTA Cuts
Mayor Daley disclosed the results of a survey
conducted earlier this month by the City Colleges of
Chicago.
Daley said, "They found out that more than 41,000
students use the CTA to get to school and that most
of them don't have access to other means of
transportation," he said. "They found out that
14,000 students said they'd have to drop out of city
colleges if the CTA cuts go through, that another
11,000 would reduce their coursework or postpone
it."
(Read the full Chicago Tribune
article here.)
Service cuts also would hit Chicago Public School
students hard, Daley said. "Scaled back service
means longer waits at the bus stop for our young
people," he said.
"Standing around on the corner exposes them to the
possibility of danger" and "darkness poses a serious
threat" early in the morning and in the early
evening as the hours of daylight shrink.
Students from 50 schools would be affected by route
reductions, he said.
|
|
Transit Hikes & Income |
|
Low Income People Affected More by Fare Hikes Than
Tax Increase
According to the United States Department of
Transportation, the availability of
public transportation is particularly important
to people with limited incomes. Also,
that bus service is relatively more important
than rail service at lower income levels.
The chart below, also from
the United States Department of Transportation,
shows that most public transit riders are low
and middle income. In fact, those that have
incomes under $20,000 make up over 50% of all
public transit riders.
(Read the full report here).
How Do Fare Changes Affect People?
The Transit
Cooperative Research Program found that most
fare changes have affected ridership of lower
income groups.(Read
the full report here).
Additionally, analysis of data from the Bureau
of Labor Statistics, Consumer Expenditure
Report finds that low and middle income people
spend more of a percentage of their income on
public transit than wealthy. In fact, the
lowest income group spent almost twice the
amount of the wealthiest, when measured as a
percentage of income.
|
Quintile |
Lowest |
Second |
Third |
Fourth |
Highest |
|
Income Before
Taxes |
$9,676 |
$25,546 |
$42,622 |
$67,813 |
$147,737 |
|
% of Income
Spent on Public Transportation |
1.4% |
0.8% |
0.7% |
0.7% |
0.8% |
Fare Hikes Will Hurt More Than
Increased Sales Tax
Analysis of the
Bureau of Labor Statistic (BLS) data shows
that the increase in the sales tax rate
proposed in SB 572 (0.25%) would impact low
and middle income people less than an
increase in rail and bus fare would.
The data shows,
that even if Illinois taxed 100% of
expenditures, (Illinois currently only taxes
about 13% of the economy) the lowest and
middle income groups would be hurt more by
fare increases than the proposed sales tax
increase.
For example, the
average train rider will see their cost go
up by $1 per ride during peak hours.
That means about $40 a month or almost $500 a
year. The average bus rider will see about
half that increase as fares will go up by
$0.50 during peak hours.
At the same
time, based on the BLS data, the lowest
income group would pay an additional $50 per
year and middle incomes about $100 per year
in sales taxes if SB 572 passes.
|
Quintile |
Lowest |
Second |
Third |
Fourth |
Highest |
|
Average
Annual Expenditure |
$19,120 |
$28,921 |
$39,098 |
$54,354 |
$90,469 |
|
What a 0.25%
Increase in the Sales Tax Would Cost |
$48 |
$72 |
$98 |
$136 |
$226 |
|
|
Mass Transit & the Economy |
|
|
Washington State Investing in Public Transit
"A $10 Billion Investment Yields $25 Billion in
Returns"
At the same time Illinois state leaders cannot come
up with a transit funding solution, Washington State
is heavily investing in a state-wide public
transportation system. The $10.8 billion public
transit package would add more than 49 miles of
light rail to the system now being built and would
be funded by
increased sales and car license taxes.
Sound Transit, a government agency that plans,
builds and operates the regional transit systems
around Seattle compiled the costs and benefits of 50
new miles of light rail over the next 60 years.
Sound Transit's calculation yielded a total adjusted
value of $25.7 billion benefits and $9.5 billion
cost.
The agency also cites increased property values,
environmental benefits, reduced parking costs,
reduced vehicle operating costs, decreased vehicle
accidents and decreased time travel to work as
related benefits.
Data Shows
Every $1 Invested in Mass Transit Generates $6 in
Economic Returns
Economic returns are one
reason it is important to invest in public
transportation as reported by the National Center
for Transit Research (NCTR) at the University of
South Florida. NCTR found that:
· Public
transportation is a $32 billion industry that
employs more than 350,000 people.
· Every dollar that
U.S. taxpayers invest in public transportation
generates $6 or more in economic returns.
· A $10 million
investment in public transportation results in a $30
million gain in sales for local businesses
· For each $10
million invested in transit capital funding more
than 314 jobs are created.
· A study on U.S.
government spending and its impact on worker
productivity estimated that a 10-year $100 billion
increase in public transport spending would boost
worker output by $521 billion, compared with $237
billion for the same spending on highways.
· Americans living in
transit intensive metropolitan areas save $22
billion per year in transportation related expenses.
· Almost half of all
Fortune 500 companies, representing over $2 trillion
in annual revenue, are headquartered in America's
transit-intensive metropolitan areas.
|
|
Transit Funding and the Olympics |
|
Tra nsit
tied to Olympics
The Olympics are yet another reason Chicago needs to
invest in mass transit. Transportation is a
critical piece to the Olympic bid puzzle, one that
the U.S. and International Olympic Committees will
certainly use to evaluate city candidates.
The U.S. House subcommittee on highways and transit
conducted a hearing Monday to address improvements
that must take place by 2016 to transport several
million visitors from the city's airports to
downtown and Olympic venues.
The Chicago Tribune reports that U.S. Rep. Peter
DeFazio (D-Ore.) called Illinois "the poster child
for neglect." He went on to say, the political
gridlock in Springfield over funding transportation
agencies and renewing deteriorating infrastructure
cannot be viewed separately from hope of ascending
onto the Olympic stage.
DeFazio also said service cuts and fare
increases complicates the Daley administration's
efforts to prove it is prepared to be the
Olympic host city.
"It seems that the state and the governor are
walking away from a minimal responsibility to
maintain an existing system let alone dramatically
enhance it," said DeFazio, chairman of the House
Highways and Transit Subcommittee. "You're in a full
crisis mode, and the whole country is going to be
watching this week."
Read the full article here
|
|
Downstate Transit |
|
Downstate - Transit Funding Opportunity
for Accessing
Jobs
The Illinois
Department of Transportation, in partnership
with the Rural Planning Regional
Coordinators, Metropolitan Planning
Organizations (for small urbanized areas),
and the State Oversight Committee are
compiling a list of organizations / agencies
that maybe interested in applying for
funding for the upcoming solicitation of Job
Access Reverse Commute (JARC) and New
Freedom funding.
The attached memo
requests that you send the appropriate
contact information for your agency (or
others you know who may be interested) so
that we can send out applications once the
official 'Call for Projects' begins. If you
have a mailing list already compiled, you
can forward that as well.
Please
send all contact information by October 31
(including agency contact, address, phone,
email and fax) to Harriet.Fox@illinois.gov.
(Note the deadline has been extended.)
If you have any
questions about the process, please feel
free to contact or Natashia Holmes at the
Illinois Department of Transportation
Natashia.Holmes@illinois.gov
or via phone at 312.793.3307.
For more information
about transit projects accessing jobs and
the JARC program, see the report,
New Opportunities for
Transportation-to-Work Projects in Illinois.
|
|
Budget Update |
|
 Still
No BIMP
The Budget
Implementation Bill or "BIMP" authorizes how to
spend any new money in the budget such as the $400
increase in the per pupil foundation level.
While local school districts can receive
their increased payments retroactively, human
service providers rely on Medicaid funding,
which can only be paid prospectively. That
means some human service programs have lost
funding this year.
How No BIMP Affects Schools
The Illinois State Board of Education has
detailed how the BIMP delay affects every
school district in the state. The report
reveals that because there is no BIMP,
schools are receiving almost $34 million
less in state aid per month than
appropriated to them in the FY 2008 budget.
Right now there is no telling when the
General Assembly will act on the BIMP.
|
|
Capital Plan & Gaming |
|
|
Madigan Details New Plan
Over the past few weeks the Weekly has discussed
gambling options to fund a state capital plan.
House Speaker Madigan indicated yesterday that
Illinois could be moving closer to expanding
gambling in the state.
Madigan acknowledged that "political conditions"
leave more casinos as perhaps the only way to pay
for a state capital program.
The Speaker stated, "I should not be viewed as a
proponent of gambling, I don't gamble. I don't
go to casinos. I don't go to horse tracks. I
don't play cards. I don't bet on sports. It's
the last thing I wanted, but ... the political
conditions in Illinois today are such that,
right now, what appears to be the only way to
have a viable public works construction program
is an expansion of gaming."
Madigan proposed a revamped Illinois Gaming Board
that would have stronger oversight of the industry.
The revamped board
would be funded through casino license fees and
be overseen by a director of gaming enforcement
who would have at least 10 years of
investigatory law-enforcement experience.
The
board would oversee all Illinois gambling
operations and be comprised of
two
former federal or state judges; two formal
federal prosecutors from Illinois, one
former sworn federal officer with
investigatory experience, two former members
of federal agencies with experience in
regulator oversight, and two more with at
least five years' experience with nonprofit
agencies in Illinois "committed to
public-interest advocacy.
Gambling in Illinois: What
is Proposed?
Highlights of HB 2035:
-
New land based casino in Chicago
-
Two new riverboat casinos at unspecified
locations
-
An additional 6,000 slot machines or
other positions at existing casinos
-
More than $25 billion for state
construction programs when federal and
local dollars are combined with the $13
billion in state funds generated from
gaming
-
Additional funding for mass transit and
education
|
|
Calendar of Events |
|
WHAT?
Illinois Food Summit 2007 "Building on
Success Through Collaboration"
WHEN?
November 8, 2007
WHERE?
Kankakee Community
College,
100 College Drive,
Kankakee, IL 60901
More info:
http://inc.aces.uiuc.edu/
Sponsored by
Illinois Interagency Nutrition Council
and the
University of Illinois
Urbana-Champaign Extension
WHAT?
Affordable Housing Month
WHEN?
November 1-30, 2007
WHERE?
Public education events and activities to be
held throughout the state
Contact:
nate@housingactionil.org
or 312-939-6074 x 201 More info:
www.housingactionil.org.
WHAT?
Release of the 2007
State of Working Illinois Report and Policy
Forum
WHEN?
Wednesday, December 5, 2007 from 8:30 to
12:30
WHERE?
Union League Club of Chicago, main Lounge,
65 West Jackson Blvd, Chicago, IL
INFO:
This is the second
detailed analysis of workforce and
economic trends produced by the Center
for Governmental Studies and the Office
for Social Policy Research, both at
Northern Illinois University and the
Center for Tax and Budget
Accountability. Statewide data as well
as data on individual regions and
counties will be presented in the
report.
WHAT?
Making the Connection Basic Training
WHEN?
Wednesday, January 23, 2008
WHERE?
Naperville, IL
Presented by the DuPage Federation on Human
Services the session contains practical
information in an easy to understand format
regarding many programs available to assist low
income persons.
Register Here
WHAT?
Making the Connection: Public Benefits and
Single Adults & Public Benefits for Youths up to
21
WHEN?
March 5,
2008
WHERE?
Naperville, IL
Presented by the DuPage Federation on Human
Services
Register Here
WHAT?
Making the Connection: Mental Health and Public
Benefits & Understanding Spenddown
WHEN? March
6, 2008
WHERE?Naperville,
IL
Presented by the DuPage Federation on Human
Services
Register Here
WHAT?
Understanding Appeals & Domestic Violence and
Public Benefits
WHEN?
March
18, 2008
WHERE?Naperville,
IL
Presented by the DuPage Federation on Human
Services
Register Here
WHAT?
Immigrants and Public Benefits & Putting the
Pieces Together
WHEN?
March 19,
2008
WHERE?Naperville,
IL
Presented by the DuPage Federation on Human
Services
Register Here
WHAT?
Making the Connection Basic Training
WHEN?
Tuesday, June 10, 2008
WHERE?
Naperville, IL
Presented by the DuPage Federation on Human
Services the session contains practical
information in an easy to understand format
regarding many programs available to assist low
income persons.
Register Here
|
|
.
Do you have something to share in the
Weekly Review?
Please email
Chrissy Mancini
|
|
|
