Transforming Transit
On track to reform regional transit governance and funding through the establishment of the Northern Illinois Transit Authority (NITA)
For decades, the Chicago region’s transit system has struggled to meet the needs of residents and riders. This has been due to a lack of sustainable funding to guarantee the level of service the region requires and the antiquated governance structures that were unable to meet evolving rider needs. That reality changed with the October 31, 2025 passage of Senate Bill 2111, which establishes both long-term funding and major governance reforms for public transit in northeastern Illinois and statewide.
With this bill, the increased funding for the Chicago region’s transit operations will come from redirecting the revenues from sales tax on motor fuel to transit and enabling a .25% increase in dedicated sales tax for transit. This new funding not only fills the operating gap identified by transit agencies since the COVID-19 pandemic but also provides additional resources to both improve and expand service and address immediate needs like safety and rider experience.
The bill also establishes major transit governance transformation by creating an empowered new regional transit agency called the Northern Illinois Transit Authority (NITA). NITA will replace the Regional Transportation Authority (RTA). It also will significantly reform the structure and functions of CTA, Pace, and Metra for a more coordinated approach to providing safe, reliable, affordable transit to residents. At the regional level, NITA will manage major capital planning, fare policy, and service coordination based on service standards, leaving behind antiquated statutory formulas that did not allocate resources based on rider needs.
Metropolitan Planning Council (MPC), as a member of the Illinois Clean Jobs Coalition (ICJC), played an active role in developing and advancing this legislation. We leveraged our decades of transportation, transit, and urban planning experience to contribute to drafting and advocating for the bill. While passage of legislation is a momentous occasion worth celebrating, it is only the beginning. On June 1, 2026, we mark the start of a multi-year transition process in which MPC will continue to be closely involved.
NITA Ride?
Let’s go back in time to show how this process played out.
2012
Transit ridership starts to decline in the Chicago region, at the same time new transportation modes such as Uber and Lyft are introduced.
March 2020
The COVID-19 pandemic causes major disruption of transit operations, and ridership declines are further exacerbated by shifts toward remote work. This exposes the limitations of a system largely designed to serve traditional commuters.
The Federal government provides three separate instances of COVID relief funding to keep transit systems operating while ridership—and fare revenue—sharply decline:
- CARES Act (Coronavirus Aid, Relief, and Economic Security Act): Approved in March 2020, this provided the first round of emergency relief funding for transit operators nationwide.
- CRRSAA (Coronavirus Response and Relief Supplemental Appropriations Act): Passed in March 2020, this delivered additional transit support.
- ARP (American Rescue Plan Act): Signed in March 2021, this provided the largest infusion of funds including hundreds of billions for public transit systems to keep services running and retain workers.
February 2023
The RTA releases Transit Is the Answer, a strategic plan that outlines the region’s looming fiscal cliff once federal COVID relief funds are spent down, given ridership is not recovering to previous levels. The report proposes funding alternatives but not governance reforms.
Spring 2023
MPC supports legislators’ efforts to initiate an independent regional process to identify long-term solutions for transit. Illinois Public Act 102-1028 tasks the Chicago Metropolitan Agency for Planning (CMAP) with developing recommendations for funding and governance reform of the region’s transit system.
September 2023
CMAP begins to develop the Plan of Action for Regional Transit (PART). MPC participates on the steering committee and the governance working group.
December 2023
CMAP publishes the PART report, outlining transformative options for funding and governance reform to achieve the transit system that the region wants, needs, and deserves.
2024
MPC begins to lead the transit funding and reform working group within the Illinois Clean Jobs Coalition. Legislators convene a series of eight subject matter hearings on transit needs throughout the state. The Coalition supports legislation based on Option 1 from the PART report, which calls for full consolidation of transit agencies and approximately $1.5 billion in additional annual operating funding. The legislative proposal does not advance.
Spring 2025
Two legislative proposals are introduced: one supported by Illinois Clean Jobs Coalition and one by the Labor Alliance for Public Transportation. Legislators request that the coalitions collaborate to negotiate a single legislative proposal.
Legislation is introduced but does not ultimately pass both chambers of the General Assembly, largely due to disagreements over proposed funding sources.
Fall 2025 (Veto Session)
Legislation is reintroduced with revised funding sources. The updated bill SB 2111, establishing transformative funding and governance framework for transit! The bill goes into effect June 1, 2026.
Key Resources
Illinois lawmakers pass $1.5 billion transit funding plan to bail out CTA, Metra, and Pace
CBS News | October 31, 2025
Next Steps
- MPC is currently developing a report focused on the establishment of NITA
- Moving forward, MPC will remain actively engaged in ensuring successful implementation of NITA
