This week, Governor JB Pritzker signed the Northern Illinois Transit Authority (NITA) Act, SB2111, into law, marking a landmark action in modernizing Illinois’ transit system.

The law creates a new regional authority to oversee the Chicago Transit Authority, Metra, and Pace, while delivering investments in public transit, capital projects, and tollways across the state without raising statewide taxes.

According to a release, the law will “redefine how transit operates in Illinois, giving NITA expanded authority over service planning, capital projects, fare collection, and operational oversight,” while addressing the “fiscal cliff” impacting the state’s transit systems.

The improvements would extend beyond riders, as “better transit expands job access, creates cleaner air, lowers congestion, and supports economic development.” According to Argonne National Lab, each dollar invested in transit generates $13 in economic activity, highlighting the "far-reaching impact of these investments."

“We are bolstering operations and upgrading trains, tracks, and buses, and we’re doing it in the most responsible way, with no new statewide taxes,” said Pritzker. “For families, workers, businesses, schoolchildren, and visitors, this is a once-in-a-generation investment that will benefit everyone, especially the overall Illinois economy.”

“By signing this bill into law, we are building a system designed around riders, not agencies; around outcomes, not excuses; and around the future of Illinois,” said Illinois Senate President Don Harmon (D-Oak Park).

By signing this bill into law, State Senator Ram Villivalam (D-Chicago) said they avoided “40% cuts to northeastern Illinois public transit service and prevented almost 3,000 of the system’s workers from being laid off,” while leaving room for investment into the system.

The bill will go into effect on June 1, 2026. A detailed fact sheet with additional details about the bill is available here.

Responsible Funding for Illinois Public Transit

The NITA Act delivers approximately $1.5 billion in annual transit and infrastructure funding without creating any new broad-based statewide taxes. Funding is generated by redirecting existing revenue streams and through a board-approved regional tax authority.

• Divert Gas Sales Tax to Transit: A portion of the existing sales tax on gas — historically directed to the General Revenue Fund (GRF) or shifted to the Road Fund for construction — is now dedicated to transit, raising approximately $860 million annually for transit operations.

• Authorize RTA to Increase Regional Sales Tax by 0.25%: The sales tax is currently collected exclusively in the 6-county NITA region, enabling RTA to access $478 million annually for NITA operations.

• Divert Road Fund and State Construction Account Fund (SCAF) Interest to Transit Capital: 90% of the interest will be allocated to Northeastern Illinois, and 10% to downstate, raising approximately $200 million annually for NITA and downstate capital.

• Tollway Revenue Provisions: The legislation also includes revenue measures supporting a new Tollway capital program.

The NITA Act provides targeted support to strengthen transit across Illinois. Key investments stabilize operations, improve coordination, and expand services to better meet local needs:

• Enhanced Suburban Service: Improved coordination between Metra and Pace to deliver more reliable, frequent service.

• New regional Dial-a-Ride program and Metra’s regional rail model expand on-demand transit and suburb-to-suburb connectivity, including service beyond downtown Chicago, especially benefiting seniors and riders with disabilities.

• $150 Million for Downstate Transit

• • Stabilizes operations and supports capital projects across downstate communities.

  • Local cost-share reduced from 35% to 20%, reflecting smaller or shifting local tax bases. Local communities previously had to cover 35% of transit project costs. Under SB 2111, that requirement is reduced to 20%, making it easier for smaller towns and communities with limited or fluctuating tax revenue to maintain and improve transit services.

Funding supports statewide safety measures designed to improve security and rider experience across the transit system, including:

• Coordinated Safety and Law Enforcement: Organizes a Law Enforcement Task Force led by Cook County’s Sheriff to combat violent crime and establishes a Coordinated Response Safety Council with law enforcement and social service representatives to develop a long-term strategy.

• Transit Ambassador Program and Safety Technology: Deploys unarmed ambassadors to assist riders and liaise with social services, while public-facing technologies, including a mobile app, allow riders to report safety issues in real time to the regional authority and law enforcement.