Quinn says transit deal reached

CHICAGO – The Chicago Transit Authority agreed Wednesday not to raise fares for two years under a deal with the state, although the mass transit agency still plans to move ahead with proposed service cuts and more than 1,000 layoffs.

“We have some stability here; we do not want the fare increases to take place,” Gov. Pat Quinn said in announcing the deal.

Under the deal, Quinn said the state would pay about $15 million to cover the cost of borrowing money for two years for CTA capital projects. The Regional Transportation Authority will issue those bonds, freeing up other money earmarked for capital projects that the CTA then can use for operations and avoid fare increases.

The state will give an additional $17 million over two years to the Pace suburban bus system to cap fares at $3 for paratransit services that help disabled riders.

Quinn said he found money to help the transit agencies because the state was able to capture more federal health care dollars, leaving him discretionary money to spend.

Republican Senate leader Christine Radogno said any uncommitted state money should go toward paying the state’s unpaid bills. Illinois had nearly $3 billion in unpaid bills as of September, according to Comptroller Dan Hynes’ office.

Facing a massive deficit and not enough support for an income tax increase, legislators cobbled together a state budget for this fiscal year, which Quinn signed, that relies on borrowing money, delaying payment of the state’s bills and promises to make future spending cuts.

Radogno accused Quinn of playing politics with his “bailout” of the CTA.

“He’s buying votes, that’s what he’s doing with these tax dollars,” the Lemont lawmaker said.