MFT Transportation
Package Summary

• Provides 3¢ gas tax effective 30 days after enactment; an additional 3¢ effective 1/1/90.

• Authorizes $1 billion in new Series A General Obligation Bonds for construction and reconstruction of highways. Supported from gas tax revenues.

• Decreases transfer from GRF to Road Fund from 2.5% of statewide sales tax to 1.7%. This provides the GRF funds needed to support the transit program.

• Caps road fund budget of the Secretary of State at FY 91 budget levels and State Police at FY 90 budget levels. Future increases to come from GRF.

• Allows local option gas tax for DuPage, Kane and McHenry counties of up to 4¢.

• Establishes gubernatorial appointed commission to oversee IDOT Disadvantaged Business Program.

• Authorizes $310 million in new Series B General Obligation bonds for transit capital projects statewide. $15 million will be used downstate and the rest will be used in Northeastern Illinois.

• Provides RTA with authority to issue $500 million in Strategic Capital Improvement Bonds and provide state GRF funding equal to amount of debt service.

• Increases current RTA bonding authority from $400 million to $500 million. Bonds are to be paid from RTA revenues.

• Empowers the Department of Transportation to make grants to transit agencies to subsidize reduced fare programs for students, elderly, and mobility limited.

• Allows the Department of Transportation to make transit capital grants to transit agencies where sufficient federal funds are not available. Current state law limits IDOT funds to the amount required for federal matching. Under the new legislation, the state will be able to provide more than the minimum share required to match federal dollars where sufficient federal funds are not available to complete projects or where overmatch is needed to secure federal discretionary transit grants.

• Increase funding for the Grade Crossing Protection Fund by $6 million annually. The increased monies are restricted for railroad grade separations on local roads and streets.

• Increase funding for the Boating Act Fund by $1 million annually. •

August 1989 / Illinois Municipal Review / Page 5