Lawmaker 'all ears' for transit funding while facing opposition to tax
proposals
[August 05, 2025]
By Jim Talamonti | The Center Square
(The Center Square) – An Illinois state senator says he’s “all ears”
when it comes to funding public transit, but he insists on $1.5 billion
from taxpayers and plans to continue pushing his tax proposals.
Regional transit agencies are facing a fiscal cliff of at least $760
million in 2026. State Sen. Ram Villivalam, D-Chicago, said reforms have
been negotiated at length and he has put his funding plan forward in
House Bill 3438.
Villivalam said any funding plan would have to invest $1.5 billion and
keep at least $200 million for downstate transit.
“If there’s a better funding plan, we’re all ears. Short of that, we’d
like to see our bill move in the House and be sent to the governor,”
Villivalam told The Center Square.
Villivalam defended the retail delivery tax which faced opposition last
spring.
“Sixty-five percent of online orders are over $200 or more. If you’re
ordering something online repeatedly for over $200, by the way there’s
742 million deliveries every year, 6-7 deliveries per person that does
online orders, you’re in a position to be able to afford $1.50,”
Villivlam said.
Illinois Chamber of Commerce President and CEO Lou Sandoval said the
retail delivery tax would be regressive.
“I think the uproar in that one was that it was going to really hurt
certain groups, people that don’t have the mobility, where the taxation
becomes regressive. Seniors that live in food deserts, people that live
in pharmacy deserts, students that are on fixed income that require
deliveries to get things to their rural area, that hurts people. That’s
fixed inflation statewide for an issue that affects one particular
region,” Sandoval told The Center Square in June.
Suburban lawmakers and residents have expressed concerns that state
taxpayers would be bailing out the Chicago Transit Authority while
suburban commuters continue to deal with subpar service and increasing
costs. People in rural areas are less likely to use public
transportation, but they would also be asked to help fund transit.
[to top of second column]
|
Illinois state Sen. Ram Villivalam, D-Chicago
Greg Bishop / The Center Square
Villivalam said 54 Downstate transit agencies would receive a historic
level of funding as part of the $1.5 billion package.
“They started out with their assessment request with $80 million for
those agencies and those areas. We ensured that they have over $200
million for downstate transit agencies to get from county to county,
township to township, but also to get from Rockford to Chicago, Quad
Cities to Chicago, Peoria to Chicago and back. That’s what those
communities and residents have asked for,” Villivalam explained.
State Sen. Terri Bryant, R-Murphysboro, said Villivalam’s road-usage tax
to help fund transit would hurt southern Illinoisans who tend to drive
more miles.
“Senator Villivalam, I think, is out of touch with areas outside of his
district when he’s proposing a per-mile tax,” Bryant told The Center
Square.
Bryant said people outside of Chicago drive an exorbitant number of
miles. She said Villivalam might not propose such a tax if he would get
out of the city a little more.
Last month, Gov. J.B. Pritzker suggested there could be a special
legislative session to deal with the transit issue.
Villivalam said it’s above his pay grade as to whether a special
legislative session is called.
“Obviously, that’s a decision for the governor, the speaker, the Senate
president to make,” Villivalam said.
 |
