Metra will implement fare hikes ranging from 13 % to 15 % starting February 2026 to counter a projected $200 million funding shortfall - a move that aims to prevent service cuts in the immediate term.

The commuter rail system's proposed 2026 budget, set at about $1.1 billion, depends heavily on that increase to stem deficits, while maintaining its existing service levels. The Regional Transportation Authority has mandated that Metra, CTA and Pace must raise fares by at least 10 %. As a result, single-ride fares for typical zone travels could increase by 50 cents to $1, while monthly passes may rise by $10 to $30. Metra holds that no service reductions will be needed in 2026 under this plan.

Metra Chief Executive Jim Derwinski emphasized that the transit agency stretched its remaining federal COVID relief funds into 2026 to stave off deeper cuts earlier. He noted that Illinois lawmakers have yet to pass legislation that could close the funding gap, prompting the RTA to insist on fare increases that rely only on known revenue sources.

The capital investment component attached to the budget is ambitious: $575.3 million is earmarked for infrastructure renewal, station improvements, rolling stock procurement and bridge repairs. Of that, $268.2 million is destined for rolling stock - including new train sets and updates to existing units - while $68.4 million is allocated for bridges and structural work, and $59.9 million for station and parking projects.

Metra's financial stress mirrors the broader fiscal instability now plaguing Chicago-area transit. Collectively, the RTA and its transit agencies are confronting a systemic shortfall of nearly $771 million, though updated projections have trimmed that to about $200 million for 2026. Without fresh revenue or state backing, that deficit could balloon upward again in 2027.

The Chicago Transit Authority, unlike Metra, has flagged the possibility of deep service cuts starting next year. CTA officials warn that up to a quarter of bus and rail service could be eliminated, with entire routes shuttered and station access constrained - unless the state legislature steps in during its upcoming veto session. Some advocacy groups and state legislators have decried the lack of clarity around cut proposals, arguing that the pressure to act weakens as budget figures shift downward.

Transit union leaders and front-line staff view the fare hike and looming cuts as a signal of deeper instability. Layoff notices may start circulating next year if legislative support fails to materialize. Union representatives urge transparency in planning and have called on the state to back long-term reform rather than cyclical stopgap fixes.

Commuters, especially those from outer suburbs, face steeper costs just to maintain service continuity. For many who rely on Metra for daily travel to downtown Chicago, the fare increase could tip the balance of commute affordability. Suburban representatives have argued that longer-haul commuters already shoulder a disproportionate share of transit costs.

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