Copyright NBC 5 Chicago
A new proposal to fund Illinois’ mass transit with new taxes has been met with some skepticism, including from the state’s governor. Democrats in the Illinois House had previously put forward a proposal to include a delivery tax on items from companies like Amazon, but a new proposal put out during this week’s veto session in Springfield lays out several more tax ideas. The transit bill proposal includes a $5 surcharge on large-event tickets, along with a 7% entertainment that will put new levies on entertainment services like Hulu and Netflix. The bill also included an expansion of ticket-issuing speed cameras in the suburbs. A plan for a 4.95% tax on billionaires’ unrealized assets also was included in the plan, and all the new levies drew some skepticism from Republicans, but also Illinois Gov. J.B. Pritzker. “As it is, it’s not going forward,” the governor told reporters. “There’s got to be a lot of discussion between the House and the Senate in order to come up with a final bill because it isn’t going to look like what the House has put forward.” The taxes were included in the bill to help generate up to $1.5 billion to fund the CTA, Metra and Pace, which are facing a significant “fiscal cliff” in 2026 after COVID-era funding from the federal government expired. Republicans have expressed opposition to the proposal, calling it another cash-grab by Democrats. “First of all, on the large event tax and the entertainment tax, it’s going to touch everything, including entertainment going into our homes,” Rep. Dan Ugaste said. “We have people barely able to afford their bills as it is right now. To tax them on the little bit of rest and relaxation they’re able to have in their own home is the wrong approach to this.” Even amid the skepticism, State Rep. Kam Buckner said he will continue to work throughout the veto session to make the bill come to fruition. “We’re going to continue to work through this,” he said. ‘We’re going to continue to have conversations throughout this day. This is going to be one of those long nights, and I’m expecting to be here until the wee hours. We’re going to find a way to get this done.” If a transit bill isn’t passed soon, either in the veto session or in a special session called by the legislature, Chicago’s transit agencies could face significant budget cuts for 2026, which could include layoffs and service cuts, officials warn.
