Chicago Announces $12.5M Program to Help Residents Pay for Gas, Transit

© REUTERS / MIKE BLAKEFILE PHOTO: Gas prices grow along with inflation as this sign at a gas station shows in San Diego, California, U.S. November, 9, 2021. REUTERS/Mike Blake/File Photo
FILE PHOTO: Gas prices grow along with inflation as this sign at a gas station shows in San Diego, California, U.S. November, 9, 2021.  REUTERS/Mike Blake/File Photo - Sputnik International, 1920, 01.04.2022
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With gas prices and inflation rising nationwide, Chicago Mayor Lori Lightfoot has announced a new program designed to help Chicago residents deal with the crisis.
The city of Chicago is allocating $12.5 million for prepaid gas and public transportation cards for residents, in an effort to ease the effects of rising gas prices in the Windy City, Mayor Lori Lightfoot announced in a press conference today.
The newly announced Chicago Moves program will provide 50,000 gas cards worth $150 each and 100,000 pre-loaded public transit cards worth $50 each.
The cards will be handed out in a lottery system and will be restricted to residents of Chicago over the age of 18, who make 140% or less of the Chicago area’s median income and hold a valid vehicle city sticker. It is unclear from the announcement if residents applying for the public transit cards will be required to hold a vehicle city sticker.
The cards will be given out in a lottery system in 10,000 increments. Residents can begin applying for the cards on April 27th, pending approval from the city council.
“People have to be able to get to work, school, places of worship, medical offices, grocery stores,” Mayor Lightfoot stated at the press conference.
Illinois has some of the highest gas prices in the country outside of the West Coast. The national average is $4.225 compared to $4.463 in Illinois and $4.843 in Chicago, according to the American Automobile Association (AAA). Prices have been rising nationally since NATO imposed sanctions on Russia in response to the special operation in Ukraine.
The Mayor also announced that while she is not accusing anyone of price gouging, she is going to ask Attorney General Kwame Raoul to look into the possibility.
“I’m very concerned about gas gouging, and I’m not accusing anyone, but it’s worthy of the Attorney General to look at this, because the escalation is really pricing people out,” the mayor said.
This is the first program of its kind in a major American city. Some states have been pausing state taxes on gasoline, something Illinois and the city of Chicago have been considering. That move is opposed by Illinois’ Civic Federation because of the effect it would have on infrastructure funding.
Chicago has a $0.08 per gallon gas tax, which adds to the $0.06 tax from Cook County and the $0.39 tax from the state of Illinois.
The gas cards will only be spendable on gasoline and will be limited to gas stations within the city limits of Chicago.
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