Message to Chicago’s Mayor: Don’t Tax Drivers, Fix Public Transit

July 31, 2024

The congestion tax is a ploy to indulge the CTU

A new study ranked Chicago the second worst in the nation for traffic. On average, Chicago drivers lost 96 hours to traffic in 2023. So what classic solution have Chicago leaders turned to? Taxes.

The City Council recently discussed levying 16 new tax hikes and fees, including a possible “congestion tax” to charge people for the pleasure of driving in high-congestion areas. New York City recently tried and failed to implement a similar regressive congestion tax after it was deemed politically unfeasible. That hasn’t stopped aldermen from supporting the tax as a way to raise revenue, “go green,” and relieve traffic in Chicago.

The truth, however, is a congestion tax isn’t a green initiative, it’s a regressive cash grab.

Chicago Mayor Brandon Johnson is desperate for new revenue sources to repay his former employer and chief donor, the Chicago Teachers Union, which is demanding a contract that could cost taxpayers $51.5 billion or more. He’s also staring down a city budget deficit of $986 million in 2025.

These enforcement measures aren't designed to actually solve any speeding or driving problems, just capture their revenue.

A congestion tax would disproportionately hurt low-income drivers, just as Chicago’s other automatic ticketing enforcers do. The city’s infamous speed and red-light cameras already take tens of millions of dollars annually from unsuspecting drivers, particularly on the South Side. Johnson’s 2024 budget already relies on $348 million from these types of fines and fees.

We’ve been fooled before.

Illinois introduced “temporary” highway tolls that were supposed to expire in the 1990s. Thirty years later, it's still extracting dollars for state coffers, at least the ones we didn’t sell off to overseas investors, like in the case of the Skyway.  Now they’re also talking about lowering the speed limit citywide to 25 mph, under the guise of public safety, which would inevitably spike speed ticketing revenue. Politicians should focus on improving public transit, where there are huge gaps to make up and opportunities to add more patrons.

Chicago’s post-pandemic ridership recovery lags behind other major transit cities including New York, Boston and the District of Columbia. Ridership sits at just 65 percent of 2019 levels. People don’t feel safe on public transit. City data showed CTA crime is still way up from pre-pandemic levels. Attacks on drivers are a regular occurrence. A bus driver was recently injured, and a passenger was killed by a gunman on a CTA bus. Staffing issues that have led to service cuts is another problem. Commuters have long expressed their concerns over the inconsistency of the CTA. Ghost trains, multiple track fires, a shortage of 350 operators, and service reductions are still haunting the city.

On top of that, transit agencies are facing a combined $730 million budget shortfall ahead of 2026. The CTA and Metra have record-high budgets this year, much of the upcoming deficit comes from historically poor spending choices, such as hiring DJs to play CTA stations, and an overreliance on federal aid, not lack of funding.

So far, CTA leadership, especially transit chief Dorval Carter, have written off criticism as “racist,” though he has little first-hand experience riding the CTA. Johnson continues to defend him. But Johnson needs to address the structural problems with the CTA and its leadership before he forces drivers to pay to be stuck in traffic.

One short-term solution is to expand discount options to encourage riders to come back. Chicago’s transit agencies recently approved a six-month program that will sell day passes at a reduced rate — creating a better financial incentive for recovering ridership. More long-term, the city and metro transit leadership need to fix the very real safety and reliability concerns riders and staff members are facing. They could lean into a state proposal to force consolidation amongst the transit agencies that has begun public hearings.

When you invest in public transportation, you see results. Amtrak recently opened a new line from St. Paul to Chicago. It turned a profit in less than two weeks. The desire for public transportation exists in Chicago, so long as it’s safe and reliable.

If Mayor Johnson is truly concerned about Chicago’s congestion problem, transit reform is the way to go. If he’s looking for another transportation cash-grab, then Chicago drivers should watch out — a congestion tax may be inbound fast.

 

Micky Horstman is a communications associate for the Illinois Policy Institute and a writer for Young Voices.

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