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CTA finance report: ridership boosts revenue; $725M in federal relief remains to close deficit
Summary
CTA finance staff told the board that October ridership outperformed budget, driving fare revenue gains and putting system-generated revenue roughly $10 million above budget year to date; staff reported a $25.5 million federal relief draw in October and about $725 million remaining in that fund to address the operating deficit.
Tom McCone, CTA chief finance staffer, told the Finance, Audit and Budget Committee on Dec. 11 that October produced stronger‑than‑expected ridership and positive revenue variances. "So positive to budget on both fares and passes for the month," McCone said, adding that fare and pass totals were up $5,700,000 for the year versus budget and $21,600,000 versus last year.
The report said overall system‑generated revenue was about $26,100,000 better than the same point last year and approximately $10,000,000 above budget year‑to‑date. Non‑fare revenue gains came largely from investment and interest income, McCone said. On expenses, he reported that materials costs were negative to budget for October while labor variances diminished as hiring goals were met.
Why it matters: CTA officials said improved revenues and rising ridership are helping narrow a structural deficit but that public funding remains a headwind. McCone reported a $25,500,000 federal relief draw for October, leaving roughly $725,000,000 remaining in federal relief funding to help close the shortfall this year and next.
Board members asked clarifying questions about the components of the revenue gains and the drivers of expense variances; no policy action was taken at the committee level beyond placing related ordinances on the omnibus for full board consideration.
Next steps: Committee recommended several ordinances and nine contracts to the full board for action; the full board considered and approved the omnibus later in the meeting.
