Case: Chicago Transit Authority v. United States Department of Transportation

1:26-cv-03140 | U.S. District Court for the Northern District of Illinois

Filed Date: March 20, 2026

Case Ongoing

Clearinghouse coding complete

Case Summary

This case is a challenge by the Chicago Transit Authority to the federal government's purportedly retaliatory decision to freeze federal grants for projects aimed to modernize the city's train system. The Chicago Transit Authority (CTA) filed this lawsuit on March 20, 2026, in the United States District Court for the Northern District of Illinois against the Department of Transportation (DOT), Federal Transit Administration (FTA), and the United States, alleging that the federal government unla…

This case is a challenge by the Chicago Transit Authority to the federal government's purportedly retaliatory decision to freeze federal grants for projects aimed to modernize the city's train system.

The Chicago Transit Authority (CTA) filed this lawsuit on March 20, 2026, in the United States District Court for the Northern District of Illinois against the Department of Transportation (DOT), Federal Transit Administration (FTA), and the United States, alleging that the federal government unlawfully froze billions in federal grants for two critical Chicago infrastructure projects. The frozen grants totaled $3.07 billion and were for the Red and Purple Modernization Phase One Project ($1.1 billion) and the Red Line Extension Project ($1.97 billion), both projects aimed to modernize and improve Chicago’s train system. CTA alleged that DOT retroactively applied a new Interim Final Rule (IFR) eliminating race- and gender-based presumptions from Disadvantaged Business Enterprise requirements, freezing only four grants nationwide despite CTA's full compliance with existing DBE requirements when the grants were awarded. The complaint alleged that the defendants' action violated the Administrative Procedure Act by constituting an arbitrary and capricious agency action and a failure to follow proper rulemaking procedures, and that it violated Title VI, the Spending Clause, and Separation of Powers principles. CTA sought declaratory and injunctive relief to vacate the rule's retroactive application and resume grant funding.

This case was assigned to Judge Thomas M. Durkin. 

The same day they filed their complaint, the plaintiffs filed a motion for a temporary restraining order (TRO). 

On March 24, 2026, the court granted the plaintiffs’ motion for a TRO, and ordered the government to cease applying the IFR to grants and resume payment processing. The court found that the federal government’s retroactive application of the IFR to existing grants was likely arbitrary and capricious, as the DOT failed to reasonably explain the policy shift or consider the CTA's significant reliance on the existing grants. Additionally, the court noted that the DOT's actions appeared pretextual and targeted, given that the funding freeze was applied only to entities in Chicago and New York despite hundreds of similar grants existing nationwide. Finally, the court found that the CTA would face irreparable harm from project demobilization, which would cause unrecoverable delays and safety risks. The TRO was set to go into effect March 27, 2026.

On April 7, 2026, the plaintiffs filed a motion to extend the TRO until the court ruled on the plaintiffs’ forthcoming motion for a preliminary injunction and defendants’ forthcoming motion to dismiss. The court granted the plaintiffs’ motion on April 9, 2026 at a status hearing, and extended the TRO pending a hearing on the preliminary injunction, which was scheduled for June 30, 2026. 

The plaintiffs officially filed their motion for a preliminary injunction on April 17, 2026. 

This case is ongoing.

Summary Authors

Sofia Yoder (4/19/2026)

People

For PACER's information on parties and their attorneys, see: https://www.courtlistener.com/docket/72521744/parties/chicago-transit-authority-v-united-states-department-of-transportation/


Judge(s)

Durkin, Thomas Michael (Illinois)

Attorney for Plaintiff

Bora, Jeffrey C (Illinois)

Bradford, Jason Michael (Illinois)

Carvalho, Simon de (Illinois)

Attorney for Defendant

Chicago, AUSA - (Illinois)

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Documents in the Clearinghouse

Document
1

1:26-cv-03140

Complaint

Chicago Transit Authority v. United States Department of Transportation et al.

March 20, 2026

March 20, 2026

Complaint
25

1:26-cv-03140

Defendants’ Memorandum In Opposition To Plaintiff’s Motion For A Temporary Restraining Order

Chicago Transit Authority v. United States Department of Transportation et al.

March 23, 2026

March 23, 2026

Pleading / Motion / Brief
29

1:26-cv-03140

Memorandum Opinion and Order

Chicago Transit Authority v. United States Department of Transportation et al.

March 24, 2026

March 24, 2026

Order/Opinion

2026 WL 810912

Docket

See docket on RECAP: https://www.courtlistener.com/docket/72521744/chicago-transit-authority-v-united-states-department-of-transportation/

Last updated April 20, 2026, 3:10 a.m.

ECF Number Description Date Link Date / Link
1

COMPLAINT filed by Chicago Transit Authority; Filing fee $ 405, receipt number AILNDC-24876092. (Attachments: # 1 Exhibit A, # 2 Exhibit B, # 3 Exhibit C, # 4 Exhibit D, # 5 Exhibit E, # 6 Exhibit F, # 7 Exhibit G, # 8 Exhibit H, # 9 Exhibit I, # 10 Exhibit J, # 11 Exhibit K, # 12 Exhibit L, # 13 Exhibit M)(Kastanek, Andrianna) (Entered: 03/20/2026)

1 Exhibit A

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2 Exhibit B

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3 Exhibit C

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4 Exhibit D

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5 Exhibit E

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6 Exhibit F

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7 Exhibit G

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8 Exhibit H

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9 Exhibit I

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10 Exhibit J

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11 Exhibit K

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12 Exhibit L

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13 Exhibit M

View on PACER

March 20, 2026

March 20, 2026

Clearinghouse
2

CIVIL Cover Sheet (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

3

ATTORNEY Appearance for Plaintiff Chicago Transit Authority by Andrianna Deanne Kastanek (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

4

ATTORNEY Appearance for Plaintiff Chicago Transit Authority by Terri Lynn Mascherin (Mascherin, Terri) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

5

ATTORNEY Appearance for Plaintiff Chicago Transit Authority by Jason Michael Bradford (Bradford, Jason) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

6

ATTORNEY Appearance for Plaintiff Chicago Transit Authority by Simon de Carvalho (de Carvalho, Simon) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

7

DECLARATION of Andrianna D. Kastanek regarding complaint, 1 / Declaration of Andrianna D. Kastanek in Support of Plaintiff's Motion for a Temporary Restraining Order (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

8

MOTION by Plaintiff Chicago Transit Authority for temporary restraining order (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

RECAP
9

DECLARATION of Thomas McKone regarding motion for temporary restraining order 8 (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

RECAP
10

MOTION by Plaintiff Chicago Transit Authority for leave to file excess pages, MOTION by Plaintiff Chicago Transit Authority to file instanter (Attachments: # 1 [proposed] Memorandum of Law in Support of Plaintiff's Motion for a Temporary Restraining Order)(Kastanek, Andrianna) (Entered: 03/20/2026)

1 [proposed] Memorandum of Law in Support of Plaintiff's Motion for a Tempor

View on PACER

March 20, 2026

March 20, 2026

12

ATTORNEY Appearance for Plaintiff Chicago Transit Authority by Jeffrey C Bora (Bora, Jeffrey) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

13

MINUTE entry before the Honorable Thomas M. Durkin: Response brief to the motion for temporary restraining order 8 is due by noon on 3/23/2026. Hearing and oral argument is set for 3/24/2026 at 9:00 a.m. in courtroom 1441. Mailed notice. (ecw, ) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

14

DECLARATION of Thomas McKone regarding motion for temporary restraining order 8 (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

16

MINUTE entry before the Honorable Thomas M. Durkin: Motion for leave to file excess pages 10 is granted. Mailed notice. (ecw, ) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

21

MEMORANDUM by Chicago Transit Authority in support of motion for temporary restraining order 8 (Kastanek, Andrianna) (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

22

SUMMONS Issued (Court Participant) as to Federal Transit Administration, United States Department of Transportation, and U.S. Attorney General (Attachments: # 1 Summons, # 2 Summons, # 3 Summons, # 4 Summons)(axm, ) Modified on 3/20/2026 (axm, ). (Entered: 03/20/2026)

March 20, 2026

March 20, 2026

CASE ASSIGNED to the Honorable Thomas M. Durkin. Designated as Magistrate Judge the Honorable Keri L. Holleb Hotaling. Case assignment: Random assignment. (Civil Category 2). (man, )

March 20, 2026

March 20, 2026

CLERK'S NOTICE: Pursuant to Local Rule 73.1(b), a United States Magistrate Judge of this court is available to conduct all proceedings in this civil action. If all parties consent to have the currently assigned United States Magistrate Judge conduct all proceedings in this case, including trial, the entry of final judgment, and all post-trial proceedings, all parties must sign their names on the attached Consent To form. This consent form is eligible for filing only if executed by all parties. The parties can also express their consent to jurisdiction by a magistrate judge in any joint filing, including the Joint Initial Status Report or proposed Case Management Order. (man, )

March 20, 2026

March 20, 2026

23

DESIGNATION of Patrick Walter Johnson as U.S. Attorney for Defendants Federal Transit Administration, United States Department of Transportation, United States of America (Johnson, Patrick) (Entered: 03/23/2026)

March 23, 2026

March 23, 2026

24

MOTION by Defendant United States Department of Transportation for leave to file excess pages (unopposed) (Johnson, Patrick) (Entered: 03/23/2026)

March 23, 2026

March 23, 2026

25

MEMORANDUM by United States Department of Transportation in Opposition to motion for temporary restraining order 8 (Johnson, Patrick) (Entered: 03/23/2026)

March 23, 2026

March 23, 2026

Clearinghouse
26

MINUTE entry before the Honorable Thomas M. Durkin: On the Court's own motion, the motion hearing set for 3/24/2026 at 9:00 a.m. is reset to 3/24/2026 at 10:00 a.m. in Courtroom 1441. (TIME CHANGE ONLY). Reply brief to the motion for temporary restraining order 8 is due by 8:00 a.m. on 3/24/2026. The Court grants the motion for leave to file excess pages 24 . Mailed notice. (evw, ) (Entered: 03/23/2026)

March 23, 2026

March 23, 2026

27

REPLY by Chicago Transit Authority to MOTION by Plaintiff Chicago Transit Authority for temporary restraining order 8 (Kastanek, Andrianna) (Entered: 03/23/2026)

March 23, 2026

March 23, 2026

RECAP
28

MINUTE entry before the Honorable Thomas M. Durkin: To listen remotely to the motion hearing set for 3/24/2026 at 10:00 a.m., dial (650) 479-3207, Access Code 180 815 7648. Please be sure to keep your phone on mute. Persons granted remote access to proceedings are reminded of the general prohibition against photographing, recording, and rebroadcasting of court proceedings. Violation of these prohibitions may result in sanctions, including removal of court issued media credentials, restricted entry to future hearings, denial of entry to future hearings, or any other sanctions deemed necessary by the Court. Mailed notice. (ecw, ) (Entered: 03/24/2026)

March 24, 2026

March 24, 2026

RECAP
29

MEMORANDUM Opinion and Order. Signed by the Honorable Thomas M. Durkin on 3/24/2026. Mailed notice. (evw, ) (Entered: 03/24/2026)

March 24, 2026

March 24, 2026

Clearinghouse
30

MINUTE entry before the Honorable Thomas M. Durkin: A telephone status hearing is set for 4/9/2026 at 9:30 a.m. To join the telephone conference, dial (650) 479-3207, Access Code 180 815 7648. Throughout the hearing, each speaker will be expected to identify themselves for the record before speaking. Counsel must be in a quiet area while on the line. Please be sure to keep your phone on mute when you are not speaking. Persons granted remote access to proceedings are reminded of the general prohibition against photographing, recording, and rebroadcasting of court proceedings. Violation of these prohibitions may result in sanctions, including removal of court issued media credentials, restricted entry to future hearings, denial of entry to future hearings, or any other sanctions deemed necessary by the Court. Mailed notice. (ecw, ) (Entered: 03/31/2026)

March 31, 2026

March 31, 2026

31

SUMMONS Returned Executed by Chicago Transit Authority as to United States of America served on 4/2/2026, answer due 6/1/2026 (Kastanek, Andrianna) (Entered: 04/03/2026)

April 3, 2026

April 3, 2026

32

SUMMONS Returned Executed by Chicago Transit Authority as to United States Department of Transportation served on 3/25/2026, answer due 5/26/2026 (Kastanek, Andrianna) (Entered: 04/03/2026)

April 3, 2026

April 3, 2026

33

SUMMONS Returned Executed by Chicago Transit Authority as to Federal Transit Administration served on 3/25/2026, answer due 5/26/2026 (Kastanek, Andrianna) (Entered: 04/03/2026)

April 3, 2026

April 3, 2026

34

MOTION by Plaintiff Chicago Transit Authority for extension of time / Agreed Motion to Extend Temporary Restraining Order (Kastanek, Andrianna) (Entered: 04/07/2026)

April 7, 2026

April 7, 2026

RECAP
35

MINUTE entry before the Honorable Thomas M. Durkin: Telephone status hearing held on 4/9/2026. Agreed motion to extend temporary restraining order 34 is granted. The TRO will remain in place until a ruling is made on the motion for preliminary injunction and motion to dismiss. CTA's motion for a preliminary injunction is due by 4/17/2026. Defendants' opposition to CTA's motion for a preliminary injunction and Defendants' motion to dismiss are due by 5/15/2026. CTA's opposition to Defendants' motion to dismiss and CTA's reply in support of its motion for a preliminary injunction are due by 6/5/2026. Defendants' reply in support of their motion to dismiss is due by 6/19/2026. The courtroom deputy will contact the parties to schedule a preliminary injunction hearing. Mailed notice. (ecw, ) (Entered: 04/09/2026)

April 9, 2026

April 9, 2026

36

MINUTE entry before the Honorable Thomas M. Durkin: In Court preliminary injunction hearing is set for 6/30/2026 at 10:00 a.m. in courtroom 1441. Mailed notice. (ecw, ) (Entered: 04/10/2026)

April 10, 2026

April 10, 2026

37

TRANSCRIPT OF PROCEEDINGS held on 03/24/2026 before the Honorable Thomas M. Durkin. Motion Hearing. Order Number: 55078. Court Reporter Contact Information: Elia E. Carrion, EECarrionOfficialTranscript@gmail.com, 312.408.7782. IMPORTANT: The transcript may be viewed at the court's public terminal or purchased through the Court Reporter/Transcriber before the deadline for Release of Transcript Restriction. After that date it may be obtained through the Court Reporter/Transcriber or PACER. For further information on the redaction process, see the Court's web site at www.ilnd.uscourts.gov under Quick Links select Policy Regarding the Availability of Transcripts of Court Proceedings. Redaction Request due 5/4/2026. Redacted Transcript Deadline set for 5/14/2026. Release of Transcript Restriction set for 7/13/2026. (Carrion, Elia) (Entered: 04/13/2026)

April 13, 2026

April 13, 2026

38

MOTION by Plaintiff Chicago Transit Authority for leave to file excess pages / Unopposed Motion to File Overlength Brief in Support of Motion for a Preliminary Injunction (Kastanek, Andrianna) (Entered: 04/15/2026)

April 15, 2026

April 15, 2026

39

MINUTE entry before the Honorable Thomas M. Durkin: Unopposed motion for leave to file excess pages 38 is granted. Mailed notice. (jxm) (Entered: 04/15/2026)

April 15, 2026

April 15, 2026

40

MOTION by Plaintiff Chicago Transit Authority for preliminary injunction (Attachments: # 1 Memorandum in Support, # 2 Supplemental Declaration of Thomas McKone)(Kastanek, Andrianna) (Entered: 04/17/2026)

April 17, 2026

April 17, 2026

Case Details

State / Territory:

Illinois

Case Type(s):

Public Benefits/Government Services

Special Collection(s):

Trump Administration 2.0: Challenges to the Government

Key Dates

Filing Date: March 20, 2026

Case Ongoing: Yes

Plaintiffs

Plaintiff Description:

The Chicago Transit Authority

Plaintiff Type(s):

City/County Plaintiff

Public Interest Lawyer: No

Filed Pro Se: No

Class Action Sought: No

Class Action Outcome: Not sought

Defendants

Defendant Type(s):

Jurisdiction-wide

Case Details

Causes of Action:

Administrative Procedure Act, 5 U.S.C. §§ 551 et seq.

Title VI, Civil Rights Act of 1964, 42 U.S.C. § 2000d et seq.

Constitutional Clause(s):

Separation of Powers

Spending/Appropriations Clauses

Other Dockets:

Northern District of Illinois 1:26-cv-03140

Available Documents:

Complaint (any)

Trial Court Docket

Outcome

Prevailing Party: None Yet / None

Relief Sought:

Declaratory judgment

Injunction

Relief Granted:

Preliminary injunction / Temp. restraining order

Source of Relief:

Litigation

Content of Injunction:

Preliminary relief granted

Issues

General/Misc.:

Funding

Transportation

Recommended Citation