Posts tagged "2010 budget"

Gov. Quinn's ill-advised bailout; unions keep pressure on CTA

Instead of fixing a broken transit funding mechanism, Gov. Quinn is just postponing the inevitable by borrowing money to prevent CTA fare hikes. And as I mentioned last week, it’s not at all surprising given this is an election year. As the Tribune noted in a scathing editorial Thursday, this is not doing anyone any... Read more »

We haven't yet heard the last word on CTA budget

Folks, it’s not over yet. Yes, the CTA board on Thursday adopted a 2010 budget with no fare hikes and service cuts. But we haven’t heard the last from the board on this budget. The CTA still has almost three months to find about $100 million to avoid all the service cuts. Granted, the CTA... Read more »

With last-minute cash from Quinn, CTA budget meeting won't be all doom and gloom

The CTA board is set to approve the 2010 budget at a 10 am meeting today, and thanks to sleight of hand by Gov. Quinn, the meeting and budget won’t be as big a downer as once thought. No big fare hikes, but still service cuts remain for now, and with those cuts come 1,100... Read more »
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CTA squeezes $1 million in savings out of vendors

Ask and ye shall receive? Well, the CTA asked vendors to reduce costs by 4% and they received about $1 million in savings on current contracts. “We want to thank our vendors for their responsiveness and willingness to reduce prices to help us weather the current economic situation,” CTA President Richard L. Rodriguez said in... Read more »

Crain's: State deal would avoid CTA fare hike

Greg Hinz is reporting on his Crain’s Chicago Business blog tonight that the state and CTA have struck a deal for enough additional operating cash to avoid fare hikes. However, the $90 million in service cuts would proceed. From the report: According to reliable sources, the deal involves the Regional Transportation Authority issuing bonds for... Read more »

Quinn to CTA: no fare hikes if you want more state help

Gov. Pat Quinn drew a line in the sand Thursday. From the Tribune Clout St. blog: “We need a commitment, not only from CTA, but Metra and Pace that they are going to have a moratorium on any fare increases for the next year or two,” Quinn said. “I think it’s important to make that... Read more »
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After lawmakers fail to act, CTA inches closer to fare hikes, service cuts

Share The spineless state legislators refused to even let the free rides repeal bill out of committee, so the CTA is now just over three months away. While the $25 million that might have been saved had the free rides law been repealed would not have solved the budget problems, the failure to act sent... Read more »

CTA budget wrap-up: End closer for free rides; groups turns up heat on CTA

The end of free rides for senior citizens moved closer in Springfield, as details emerged of negotiations among House and Senate leaders from parties, according to a Tribune report. Free rides for seniors would end March 1, according to the proposal. Then, only seniors 65 and older who qualify for the state’s Circuit Breaker programs... Read more »

Bus driver layoffs: "One true doomsday scenario"?

The CTA has sent layoff notices to almost 2,000 bus drivers and other union workers, the Sun-Times reports. And the union leader predicts the layoffs are the “one true doomsday scenario.” I guess that’s another way for him to say the union won’t be coming to the negotiating table. Union president Darrel Jefferson did say... Read more »
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Low public funding requires high system-generated revenue; thus, big fare hike

In a comment on yesterday’s post about the 2010 CTA budget, Ed rightly pointed out that it’s “very very significant” that the CTA’s recovery ratio — fare generated revenue —  for 2010 is almost 71%. By law the minimum recovery ratio is 50%, but “the significant reduction in public funding forces a recovery ratio for... Read more »