Wauconda considers referendum for roads

Wauconda is considering asking voters for $5.5 million to fund roughly 5.6 miles of road repairs throughout the village.

The village board must decide by Sept. 2 if the referendum question is to be included on the Nov. 4 ballot.

The estimated annual cost to the owner of a $300,000 home is $138.09 in additional taxes over 10 years, $98.30 over 15 years or $74.11 over 20 years.

Mayor Salvatore Saccomanno said Tuesday officials had hoped to fund the road improvements through existing revenues, but there's no extra money available in the budget to fund the projects.

"There's only one way that we can do the improvements of the roads in Wauconda and that is through referendum," he said.

"We know for sure we can't do our own financing because with the motor fuel tax money, it has already been earmarked for other projects."

The village approved the sale of a general obligation bond approximately a year for $7 million, Saccomanno said.

Of that money, $5 million was used for water reclamation and $2 million was put toward road improvements. Those bonds are being paid off through motor fuel tax revenues over 20 years.

Wauconda also recently laid off eight employees to ward off a projected $958,000 deficit at the end of the 2010 fiscal year. All village departments are also reviewing their budgets and cutting expenses where possible.

"The referendum is totally up to the residents," Saccomanno said. "The village is not allowed to campaign for or against the referendum."

Saccomanno said all officials can do is present the facts.

The referendum question likely will be discussed further at a special committee of the whole meeting Tuesday.