FOR IMMEDIATE RELEASE
Tuesday, August 11, 1998
Contact: Janeise Beckwith
(202) 366-4043
FTA 19-98
SLATER ANNOUNCES IMPROVEMENTS
TO CHICAGO TRANSIT CHECK PROGRAM
Chicago -- U.S. Secretary of Transportation Rodney E. Slater today joined U.S. Senator Carol Moseley-Braun and Chicago Regional Transportation Board Member Reverend Addie Wyatt to announce improvements in employer provided transit benefits such as the Chicago Regional Transportation Authority’s Transit Check program.
"President Clinton is committed to safe and efficient transit systems," Secretary Slater said. "The Transit Check system provides a hassle-free, economical way for commuters to receive transit benefits that will aid in getting them to and from work. I applaud Sen. Moseley-Braun’s efforts in successfully working in the Senate Finance, Housing and Urban Affairs Committee in helping to make this project a reality for the people of Chicago."
Speaking at an event held at the Northwestern Transit Station, Slater announced improvements to the transit benefits system that will allow employers to increase employee transit subsidies from the current $65 maximum to $100 by the year 2001.
Transit Check is one of many projects that benefit from the Transportation Equity Act for the 21st Century, recently enacted legislation which allows for a guaranteed record $198 billion investment in surface transportation over the next six years.
Provisions of the Transit Check program will allow employers to save on payroll costs associated with funds set aside for the transit benefits program since funding associated with Transit Check is exempt from federal, state and local payroll taxes. In addition, the program gives employees the option of trading the cash value of employer-provided parking for a transit benefits voucher of equal value.
The Transit Check fare system is already in use on the CTA, Metra, Pace buses, vanpools, paratransit systems and the South Shore Railroad. Once fully implemented, the program is expected to serve about 65,000 Chicago-area employers.
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