Reis Says "NO" To Chicago Bailout

December 28, 2007

Springfield, IL.….Representative David Reis vehemently opposed the latest Chicago area mass transit bailout measure that would have cost Illinois residents $400 million dollars.  Convening in Springfield on Wednesday for the record seventeenth special session, lawmakers voted 57-53 not to divert the 5% sales tax on motor fuel collected in the six-county metro transit regions to the failing Chicago mass transit system. 

The measure would also have created a monetary gap in the annual general revenue fund (GRF) with no projected revenue to replenish the hole. 

“This measure would have blown a $400 million hole in the FY’08 budget, said Reis. “If passed, this bill would have taken desperately short cash flow dollars away from paying the states Medicaid bills, nursing homes, and other health care providers.”

In an adamant statement against the measure, Representative Reis argued Chicago’s transportation system has been poorly managed leading to this present financial crisis.

 “For years the RTA and CTA knew of their impeding emergency and failed to execute a long-term costs savings plan.  And now they want the families in 108th district to help bail them out,” said Reis.

In November, Governor Blagojevich announced $27 million in emergency funding for the crippled mass transit system.  Recent reports have uncovered the funding was secretly transferred from construction and transportation project funds.  Blagojevich transferred $10.2 million in bond money reserved for coal development and alternative energy projects, $7.4 million for highway construction and $4.8 million for general building projects

Propping up the dilapidated transit system could also mean the re-direction of millions of badly needed infrastructure dollars.  Representative Reis notes without fueling significant dollars into a capital program, the state risks losing $6 billion dollars in matching federal highway monies. 

Downstate lawmakers also argued the mass transit bailout discussion was arriving for a vote without the Governor signing the budget implementation bill (BIMP) that passed both chambers on November 2.

“The Governor has real gall to calling the General Assembly back into Special Session to discuss an issue that we had all year to discuss when he hasn’t even signed the bill that would provide additional funding our school districts,” said Reis. “The budget passed in August but still hasn’t been fully implemented because of his inactions. Once again the Leadership in Springfield has used our children as hostages in an failed attempt to pass their agenda.”