Mundelein scraps old taxi regulations; Schaumburg is next

Reacting to the continued popularity of the ride-hailing industry, Mundelein officials have kicked the town’s decades-old taxi licensing system and related regulations to the curb.

The village board on Monday unanimously voted to repeal the rules without any public discussion. Schaumburg trustees are expected to take similar action Tuesday.

Mundelein’s now-former ordinance was enacted in 1976. It required companies or people to get licenses to operate taxi businesses in town and required taxi drivers to register with the village.

Licenses cost $50 annually plus $5 for each taxi operating in town. Driver registrations cost $1 annually.

The ordinance also included rules for safety equipment, cleanliness, insurance and other aspects of the taxi business. Among them was a requirement for cabs to have meters that record the amounts to be charged on trips.

Today, however, ride hailing services such as Uber and Lyft that use private vehicles and charge passengers online using flat fees rather than in-person using rates based on time and distance are increasingly common in the suburbs and taxis can be harder to find.

As such, Mundelein’s licenses and rules aren’t needed, assistant village administrator, Lynne Monroe, said in a memo to Mayor Steve Lentz and the board.

Additionally, taxis and ride-hailing services are regulated by the state under a 2007 law, so the local regulations aren’t needed, Monroe said.

Schaumburg’s regulations were enacted in 1987 and include rules for licensing, inspections and fair conduct.

At one time, the village issued more than 300 taxi licenses and more than 200 chauffeur licenses annually, Police Chief Bill Wolf said in a memo. But no licenses were issued in 2023 or 2024, he said.

“The significant reduction in the issuance of both chauffeur and taxi licenses … clearly indicates a decline in the traditional taxi service model,” Wolf wrote. “The current ordinance, established in a different era, no longer aligns with the modern transportation landscape.”

The Schaumburg village board is set to meet at 7 p.m. at village hall, 101 Schaumburg Court. It will air live online at youtube.com/live/wqJ9wpneFUo.

· Daily Herald Staff Writer Eric Peterson contributed to this report.