Special session planned on transit crisis

Seeking to distance himself from the blame game over a looming transit meltdown, Gov. Rod Blagojevich on Monday called lawmakers into yet another special session to hash out a solution next week.

Still, lawmakers and the governor appear to be miles apart on how to come up with more than $300 million to prevent sweeping service cuts and fare hikes at Pace, Metra and the CTA.

If a deal isn't reached by early next year, Blagojevich made it clear in a letter to lawmakers that he will direct the fury of transit riders at them.

"Transit riders that use the CTA, Metra and Pace to get to work and school are relying on you," the governor said in the letter. "The General Assembly must take action soon."

The governor opposes a Chicago-area quarter-cent sales tax hike, which is supported by House Speaker Michael Madigan and transit officials.

Instead, Blagojevich wants to bail out the transit agencies by closing so-called corporate tax loopholes. It remains highly unlikely Republicans and downstate lawmakers will vote to raise taxes on businesses statewide to pay for Chicago-area transit.

"In the past, there has been no support for a statewide tax increase for this regional problem," said Madigan spokesman Steve Brown.

Adding to the months-long gridlock, lawmakers on both sides of the aisle want to tie a major expansion in casinos to any transit bailout deal. The new casinos would bring in billions of dollars for new roads and schools.

Disputes over the details of that plan may jeopardize a transit bailout.

"That is our concern," said Cindy Davidsmeyer, spokeswoman for Senate President Emil Jones Jr. "With that being said, we remain committed to moving forward on both."

The governor has recently called numerous special sessions on issues ranging from transit to health care. In August, so few lawmakers showed up to a transit funding session that it had to be canceled.

Transit officials have put off service cuts and fare hikes twice this year when the governor came up with extra cash to buy more time for negotiations.

That won't happen again, Blagojevich warned in his letter.

"There are not funds available," he wrote.

The CTA and Pace are planning to cut more than 100 routes and raise fares come Jan. 20. Metra will hike fares 10 percent on Feb. 1. In addition, CTA union officials are threatening a walkout if a deal isn't reached by New Year's Eve.