CTA President Forrest Claypool said Tuesday the transit authority is facing a $277 million budget deficit for 2012.
Claypool outlined the CTA's fiscal state during a morning address to the City Club of Chicago at a public policy breakfast. He said the agency borrowed $554 million in the past four years, despite a fare hike in 2009 and cuts in 2010.
Though the budget hasn't yet been finalized, Claypool is expected to announce service changes, including possible cuts.
The Chicago Transit Board last month approved an increase in parking fees at several Park & Ride lots and Under-‘L’ lots to generate $90,000 a year in new CTA revenue. Free rides for some seniors also were eliminated to save money.
Service reductions went into effect in 2010. Nine express bus routes with corresponding local service were eliminated and 41 bus routes either started service later or end earlier, or both. CTA also sent more than 1,000 lay-off notices that year.
In 2009, the CTA hiked fares by 25 cents for most rides. Bus fares were increased from $1.75 to $2 and rail fares to $2.25 from $2.
The CTA has since avoided additional fare increases.
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