Evanston Admits Motor Fuel Tax Account Errors
City staff acknowledged failing to follow state rules for spending Motor Fuel Tax funds, prompting council review.
Updated on Nov. 10, 2026 in City Hall
Live Poll
Do you trust your local government to manage tax money responsibly?
Evanston Public Works Director Edgar Cano said city staff did not follow Illinois Department of Transportation rules for spending Motor Fuel Tax funds. The council voted unanimously to receive IDOT's review, which found $17.4 million in unauthorized expenditures by the end of 2024.
Why it matters
Without retroactive authorization, the city might have to reimburse the Motor Fuel Tax account from another fund. Council's decision on the pending resolutions will determine how the city resolves the state's findings.
The state review, from the Illinois Department of Transportation, identified $17.4 million in unauthorized Motor Fuel Tax spending through 2024. Council tabled about $3.6 million in supplemental resolutions that would retroactively authorize past maintenance spending, and it is unclear how the matter will be resolved.
The players
Edgar Cano
Public Works Director for the City of Evanston, who said city staff failed to follow state rules for Motor Fuel Tax spending.
Illinois Department of Transportation
The state agency that reviews municipal Motor Fuel Tax spending and sets the rules cities must follow for it.
Jonathan Nieuwsma
Acting Mayor of Evanston, who said there was no evidence any crimes had been committed.
Parielle Davis
Evanston alderperson who proposed expanding the city's auditor contract to cover Motor Fuel Tax spending.
The details
The city consistently failed to post Motor Fuel Tax-funded contracts in IDOT's weekly bulletin, as required. Council approved an ordinance requiring those postings going forward, and Ald. Parielle Davis proposed expanding the city's auditor contract to cover MFT spending.
Timeline
2012 through 2017: Period covered by a previous IDOT review that was placed on file.
2019: The city clerk's office received the first IDOT review.
End of 2024: IDOT identified $17.4 million in unauthorized expenditures.
June 2026: The city clerk's office received the second IDOT review.
Nov. 23, 2026: The supplemental resolutions are scheduled to return to the Council agenda.
Political Context
Evanston's failures follow the state's Motor Fuel Tax rules, which require municipalities to post MFT-funded contracts in IDOT's bulletin before spending. Council's push to add auditing and advertising requirements reflects the state's own oversight framework rather than a new local standard.
If the council does not retroactively authorize the past spending, the city may have to repay the Motor Fuel Tax account from another fund. Residents may see those general fund dollars redirected away from other city services.
The takeaway
Local governments that receive state transportation funds must follow the posting and authorization rules attached to them. Evanston's council agenda on Nov. 23 will show whether the city plans to close the IDOT review.
What happens next
The $3.6 million in supplemental resolutions returns to the Council agenda at its Nov. 23 meeting.
Further reading
For more on how local government decisions are made, see City Hall coverage in Evanston.
Source note: This article includes information reported by The Daily Northwestern.
Live Poll
Do you trust your local government to manage tax money responsibly?
