Blagojevich's CTA rescue took from other projects

SPRINGFIELD -- When he announced emergency funding for Chicago-area mass-transit systems earlier this month, Gov. Rod Blagojevich said he simply was using money already set aside in the budget for transportation projects.

But that was true only because his administration transferred funds from other construction programs before revealing the bailout, state records show.

Of the $27 million Blagojevich provided to keep trains and buses running, $22.4 million originally was going to pay for bricks-and-mortar construction, highways and energy projects around the state.

Blagojevich announced the grant Nov. 2. Aides said it was "existing" money borrowed by selling bonds for rail and mass transit projects.

Giving it to the Chicago Transit Authority and its suburban sister would not delay construction elsewhere in the state, they said.

But no one seems to know whether that's true.

Spokesmen for the Democratic governor have ignored repeated requests from The Associated Press over the past three weeks for more details about the source of the money and what projects have been set aside.

The money will last through mid-January while lawmakers work on a long-term funding plan for the CTA and the Regional Transportation Authority. The General Assembly continues work on the problem Wednesday in a special session.

Lawmakers said the transfers are legal but complained Blagojevich unilaterally took money from other needy projects to bail out Chicago.

"The money that was transferred in came from funds that would have been appropriated throughout the state," said Republican Sen. Christine Radogno of Lemont. "Essentially, what we have is a statewide bailout for the CTA."

The $27 million technically is from a bond fund set up for mass transit and aviation projects. But only $4.6 million was in that account to start.

The day he announced the stopgap, Blagojevich transferred $10.2 million in bond money reserved for coal development and alternative energy projects, $7.4 million for highway construction and $4.8 million for general building projects.

Radogno knows of no plans by the administration to repay the money. Sen. Donne Trotter, a Chicago Democrat, said governors may transfer funds if there is extra available, but he didn't know how Blagojevich decided there was excess in the affected accounts.

Rep. Dan Reitz, a Steeleville Democrat, said there's plenty of work to be done in highways, buildings and energy. He said he hopes lawmakers replenish the funds.

"We just need to make sure we replace those and send them back to their intended purposes, hopefully in the not-too-distant future," Reitz said.

Metropolitan mass transit systems had run out of money and threatened massive service cuts and fare hikes beginning Nov. 5. Lawmakers were unable to agree on a long-term funding solution by the time Blagojevich announced the grant.

The governor called this week's special session. House Speaker Michael Madigan, a Chicago Democrat who unsuccessfully backed an increase in the Chicago area's sales tax, agreed Monday to a compromise. The plan, which Blagojevich supports, would divert tax receipts on gasoline sales in the area to transit.

But neither leader has offered a specific proposal to replace that $385 million.