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Campton Hills trustees weigh telecom, utility and streaming levies as part of road-funding strategy
Summary
Trustees discussed several potential revenue sources — telecom tax, utility tax, streaming tax, and food-and-beverage tax — to address a multi-million-dollar shortfall in road funding; they asked staff for more research on telecom, utility and streaming proposals and agreed not to pursue a food-and-beverage tax at this time.
Campton Hills trustees spent the meeting’s largest block of time discussing possible new revenue streams to address a long‑running shortfall in road funding, including a telecommunications tax, a utility tax, a streaming (franchise) tax and a food-and-beverage tax.
Why it matters: Staff and trustees said the village faces a multi‑million‑dollar gap to bring the road network up to an accepted standard. Administrator Mark Rooney told the board the village’s capital needs for roads are “a $15 to $25 million deficit” accumulated since 2007 and that revenue from Motor Fuel Tax alone is insufficient to maintain the system.
Trustees debated which options are politically and legally viable and whether revenues should be earmarked for roads. Trustee Janet Berson objected to the districting of the proposals as “user fees,” saying bluntly, “These are taxes. Each and every one of these User fees. Is a tax. They are not user fees.”
What trustees asked staff to research: The board reached consensus to develop more detailed financial estimates for three revenue options — a telecom/franchise tax, a municipal utility tax, and a streaming/franchise tax modeled on nearby East Dundee — and to exclude a food-and-beverage tax from further study at this time after multiple trustees expressed opposition.
Revenue and bond discussion: Trustees discussed using any newly adopted revenues as a dedicated pledge to support a revenue bond. Staff estimated the village could consider a $10 million revenue bond once tax collections have a one-year track record; one trustee requested bond-coverage quotes to translate projected levy revenues into potential borrowing capacity. Trustees also suggested earmarking a specified percentage of any new revenue stream for roads.
Estimates and caveats offered at the meeting: Auditors and staff gave rough order-of-magnitude figures: telecom/streaming/utility measures could each generate roughly $200,000–$300,000 annually depending on rate choices; the telecom tax could be set between 3% and 6% (higher rates producing larger revenue); East Dundee’s streaming franchise was cited as a conservative comparator. Administrator Rooney cautioned that franchise fees from cable had fallen as subscriptions changed and that streaming taxes may capture some of those shifting dollars.
Board action: Trustees did not adopt any fees at the meeting. They asked staff to return with more precise revenue estimates, bond-issuance scenarios, and suggested language that would earmark a portion of revenues for road capital. The board noted a bond supported by newly created revenues would not be sold immediately; staff said the village would need at least a year of revenue data before issuing bonds tied to the new sources.
Discussion vs. decision: The meeting record shows a consensus for further study (telecom, utility, streaming). Trustees rejected immediate pursuit of a food-and-beverage tax. No ordinance or revenue measure was adopted at Tuesday’s meeting.
What’s next: Staff will return with tailored projections, proposed ordinance language, and estimated bond capacity for trustees to review at a future meeting.
