Metra proposes $1.1B operating budget that includes major revision to fare structure

Publication Date
Wednesday, October 11, 2023
Body

Metra today unveiled a $1.1 billion operating budget for 2024 that includes a major revision to its fare structure and a new mix of fare products. It also proposed a $574.9 million capital budget that continues significant investment in railcars, bridges, and stations. The plans will be the subject of public feedback, including hearings, before the Metra Board of Directors votes in November. A full version of the proposed budget can be viewed here.

The operating budget is 4.9% higher than the 2023 budget (excluding $65 million in added costs that will be reimbursed by Northern Indiana Commuter Transportation District, or NICTD). The increase is largely driven by expected inflationary (general, medical premiums, fuel, insurance) and contractual (union agreements) increases.

The operating budget incorporates a revision to the Metra fare structure that was proposed this summer. Under the new structure, fares will be equal to or lower than prepandemic levels. Major changes would include:

  • Replacing the existing 10-zone distance-based structure with a simplified four-zone structure;
  • Discontinuing the promotional $6 and $10 Day Passes and $100 Super Saver Monthly Pass;
  • Replacing the 10-Ride Ticket with a Day Pass 5-Pack available only in the Ventra app;
  • Discontinuing “incremental fares” – a surcharge to travel beyond the zones indicated on a ticket.
  • Full details can be found here.

In addition to these changes, the Fair Transit South Cook program, a three-year pilot sponsored by Cook County that
temporarily lowered fares on the Metra Electric and Rock Island lines, will end Jan. 31, 2024. Cook County, Metra and the RTA are working on an evolution of the pilot that would provide reduced fares to low-income residents of the six-county Chicago area.

The operating budget projects Metra will start the year at 47% of prepandemic (2019) ridership and finish the year at about 54 % of prepandemic levels. This results in a projection of $243.9 million in system-generated revenues, mostly fares. To cover the rest of the expected operating costs, Metra would use $560.4 million in regional sales taxes and $223.7 million in federal COVID-relief funding.

Metra and the region’s other transit agencies – the RTA, CTA, and Pace – are projecting that COVID-relief funding will run out in 2026, creating a “fiscal cliff.” Additional funding sources must be found, or public transportation agencies must implement other budget-balancing actions in 2026 to cover the anticipated deficit. (The Chicago Metropolitan Agency for Planning, at the request of the Legislature, has issued recommendations for addressing the deficit and meeting other challenges; click here to learn more.)

The capital budget of $574.9 million funds 97 projects throughout the system. About 63% of the budget will fund work in four categories:

  • Bridge and retaining wall replacement and rehabilitation: $143.8 million;
  • Stations and parking Rehabilitations: $77.5 million;
  • Yard improvements, including facility acquisitions: $71.1 million;
  • Railcar rehabilitation $67.6 million.

The capital budget is funded by:

  • $252.1 million in federal formula funding;
  • $117 million USDOT Mega grant for Union Pacific North Line bridges;
  • $73.8 million in Illinois PAYGO funds;
  • $130 million in RTA bonds;
  • $2 million in RTA Section 5310 funds.

Public hearings about the budget will be held throughout the region on Nov. 1 and 2 between 4 p.m. and 6 p.m. The schedule is below. In addition, the hearing being held in Chicago on Nov. 1 between 4 p.m. and 6 p.m, can also be attended virtually. Instructions for attending the virtual hearing, and for submitting budget comments via mail, email, or voicemail, are also on the following pages.

A version of this release in Spanish can be found here.

Public Hearing Schedule

Wednesday, Nov. 1, 4 p.m. to 6 pm.
 
Will County
Joliet City Hall
Council chambers
150 W. Jefferson St.

DuPage County
Clarendon Hills Village Hall
Village Board Room
One N. Prospect Ave.

City of Chicago
Metra
Board Room 13th floor
547 W. Jackson Blvd.

Lake County
Mundelein Village Hall
Village Board Room
300 Plaza Circle

Thursday, Nov. 2, 4 p.m. to 6 p.m.

South Suburban Cook County
East Hazel Crest Village Hall
Village Board Room
1904 W. 174th St.

Kane County
Kane County Government Center
Building A – 1st Floor Auditorium
719 S. Batavia Ave.
Geneva

North Suburban Cook County
Hanover Park Police Department
Community Room
2011 Lake St.

McHenry County
Crystal Lake City Hall
City Council Chambers
100 W. Woodstock St.

Virtual Public Hearing, Nov. 1, 4 p.m. to 6 p.m.

Any person may present views orally in person at a hearing or by participating at the virtual public hearing via Webex.com or via phone at 844-517-1442. Although it is not required, the public has the option to preregister if they wish to participate during the virtual public hearing. If you do not wish to preregister but would still like to participate in the virtual public hearing, please skip to Section II below for instructions.

During preregistration, Metra will ask you to enter your first name, last name, and email address. To efficiently facilitate the virtual public hearing, Metra will first call on those who preregistered, and then give all those who wish to provide comments an opportunity to participate.

Section I: Steps to preregister for the virtual public hearing:

  • Step 1: Log on to your computer and click to open a webpage browser (ex: Safari, Mozilla, Google Chrome, etc.).
  • Step 2: Once on the home page of your webpage browser, please enter the following website URL, www.Webex.com, in the internet browser search bar on top of the browser homepage.
  • Step 3: Once on the Webex homepage, please click on “Join” in the top right-hand of the homepage.
  • Step 4: You will be prompted to enter the meeting ID number: 2345 109 8718
  • Step 5: You will be prompted to enter the meeting password: 2024budget. Then press “register”.
  • Step 6: Complete the form by entering your first name, last name, and email address. Press “register now.” You will receive confirmation that the registration request was received.

Section II: For those not wishing to preregister:

  • Step 1: Log on to your computer and click to open a webpage browser (ex: Safari, Mozilla, Google Chrome, etc.).
  • Step 2: Once on the home page of your webpage browser, please enter the following website URL, www.Webex.com, in the internet browser search bar on top of the browser homepage.
  • Step 3: Once on the Webex homepage, please click on “Join” in the top right-hand of the homepage.
  • Step 4: You will be prompted to enter the meeting ID number: 2345 109 8718
  • Step 5: You will be prompted to enter the meeting password: 2024budget. Then press “ok”.
  • Step 6: Complete the form by entering your first name, last name, and email address. Press “join as guest.”

Follow these steps on Wednesday, Nov. 1, between 4 p.m. and 6 p.m. to present your comments. The virtual public hearing can also be attended by dialing toll free 844-517-1442 and entering access code: 2345 109 8718 or by submitting written material at any time, but not later than 24 hours after the conclusion of the hearings on Nov. 2, 2023.  

Mail, Email and Voicemail Comments

Written comments via U.S. mail can be sent to the attention of Karen Hullinger, Assistant Secretary to the Commuter Rail Board, Room 1300, 547 West Jackson Boulevard, Chicago, Illinois, 60661. Comments will also be accepted via voicemail to 312-322-1006, or email to: 2024budgetcomments@metrarr.com. The virtual public hearing will be recorded, and a copy will be retained by Metra in compliance with Illinois law.

Accommodations

Reasonable auxiliary aids or services necessary to afford an individual with a disability equal opportunity to participate will be provided.  Persons requiring assistance are requested to notify Metra of their needs well in advance to provide sufficient time to make these accommodations. Requests for service should be made to Kim Borges at 312-322-6753.