Illinois Transit Overhaul Raises Sales Tax 0.25% to Add $1.5 Billion, Cutting Chicago Mayor's CTA Control
Updated
Updated · Chicago Sun-Times · Jun 1
Illinois Transit Overhaul Raises Sales Tax 0.25% to Add $1.5 Billion, Cutting Chicago Mayor's CTA Control
6 articles · Updated · Chicago Sun-Times · Jun 1
$200 million in new 2026 transit funding was unlocked Monday as the Northern Illinois Transit Authority Act took effect and approved a 0.25% sales-tax increase across the six-county Chicago region starting Aug. 1.
The increase is meant to avert deep CTA, Metra and Pace service cuts after federal pandemic aid expired and ridership stayed weak; the law is expected to generate more than $500 million next year and $1.5 billion annually overall.
That money will fund immediate service upgrades, including more frequent CTA and Pace buses, added Metra trains on the Rock Island District and expanded weekend service.
The law also shifts power from the old RTA model: the future NITA board can set fares, push a universal ticketing system and weigh a regional transit police force after a safety review.
Chicago's influence over CTA shrinks under the overhaul, with Mayor Brandon Johnson now limited to appointing 2 of 7 board members and unable to name a permanent agency head without NITA approval.
With federal funds frozen, can NITA's new regional tax dollars truly modernize Chicago's aging transit infrastructure?
Will NITA's initial focus on security over service expansion successfully bring riders back to public transit?
Can Chicago's plan for transit-adjacent communities avoid the pitfalls of gentrification and displacement?
Northern Illinois Transit Authority Launches with $1 Billion Overhaul: New Fares, Equity Initiatives, and Regional Reforms Begin June 2026
Overview
On June 1, 2026, the Northern Illinois Transit Authority (NITA) officially launched, marking a new era for the region’s public transportation. With a dedicated board and an initial $320 million in new funding, NITA immediately began implementing changes to improve transit services. A key early step was expanding a Metra reduced-fare program, making rides more affordable for low-income users of CTA and Pace. These efforts directly address long-standing rider concerns, especially around affordability and accessibility, and set the stage for further improvements in service quality and overall rider experience.