What are the main sources of revenue for the CTA?

Study for the Chicago Transit Authority Bus Test. Prepare with multiple-choice questions and flashcards accompanied by hints and explanations. Ensure your success on the exam!

The primary sources of revenue for the Chicago Transit Authority (CTA) come from sales tax and farebox revenues. Sales tax plays a significant role as a funding source; specific taxes are collected within the jurisdictions served by the CTA and allocated to support public transit services. This consistent revenue stream is crucial for maintaining and expanding transit operations, infrastructure, and services.

Farebox revenue is generated from the fares collected from passengers using buses and trains. This source is vital as it directly reflects the ridership levels, and increases in usage can lead to higher farebox income. Collectively, these two sources form the backbone of the CTA’s financial structure, ensuring that public transit needs are met efficiently and effectively.

While property tax can contribute to transit funding, it is not as directly related to the day-to-day revenue collection process as sales tax and farebox revenue. Other potential sources like fines and donations are generally supplementary and not integral to the main revenue streams that support operational costs.

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