A lawsuit against the village of Mundelein, filed by its own school districts over an impact fee dispute, could go before a judge after the village’s motion to dismiss the case was denied earlier this month.
Fremont School District 79 and Mundelein High School District 120 jointly filed the lawsuit in February against Mundelein because of a new impact fee ordinance they said significantly reduces the amount of money they will receive from two new residential developments.
According to communications sent to district parents, the ruling allows D79 and D120 to “formally present our position in court on the impact fees associated with these properties.”
While they “eagerly welcome community growth,” the release said, it must be “sustainable and structured to preserve the high quality of education our community expects and deserves,” the district statement said.
According to the release, current developer impact fees would leave a projected $2 million shortfall for D79, and the case could have far-reaching implications for other large developments.
The districts said they remained “fully committed to open dialogue with all parties regarding fair developer contributions to our school infrastructure.”
“Litigation has never been our preferred path. We firmly believe these matters are best resolved through collaboration, transparency, and thoughtful planning,” the release said. “However, as the case moves forward, our goal remains steadfast: ensuring responsible growth that protects both the long-term health of our schools and the interests of local taxpayers.”
In a statement, Mundelein Mayor Robin Meier noted the denial was a “procedural decision,” not a determination of the merits of the case, and that the village remains “confident that Illinois law supports its position.”
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The village “looks forward to presenting that position as the case moves forward,” she said.
The districts were seeking school impact fees beyond those required under the village’s ordinance, she argued, and had those additional fees been imposed, “the added costs ultimately would have been borne by new home buyers, further increasing housing costs in our community.”
Despite “multiple good-faith efforts” to work with the districts, “their demands were unreasonable and unsupported by the law,” she said.
“While it is disappointing that the school districts chose litigation rather than continued collaboration, the village remains confident that the facts and the law support its actions,” she said.
Walnut Ridge
The lawsuit centers on two properties that Mundelein had annexed, totaling nearly 250 acres, and that were rezoned for residential use.
Eighty acres are planned to become Walnut Ridge, a 150-unit continuation of the nearby Sheldon Woods subdivision being developed by the Pulte Group, and the remaining 165 acres, just west of the future Walnut Ridge, will be developed into another residential development by Pulte.
In previous communications to area parents, the districts argued that an ordinance Mundelein passed last April “significantly reduced” developer impact fees for the schools, warning of a multi-million-dollar funding gap for local schools.
The lawsuit is yet another step in a feud that can be traced back to the previous spring, when D79 and D120 leadership had sounded alarms over the Ivanhoe Village development, which will bring thousands of residential units to Mundelein over the next 25 years.
The school districts had warned that the influx of students would strain local schools and called for developers to shoulder more of the projected burden. But the village said it had far different student population projections, pointing to an overall decrease.
The dispute led to months of lengthy meetings, a protest resignation, critical public letters from the districts against the village, and even the weighing in of state legislators.
While the districts’ lawsuit is not about Ivanhoe Village — Walnut Ridge is the first development affected by the new rules — the issues the districts are raising are much the same as before.
The school districts have repeatedly accused the village of favoring the developers’ projections of student populations over those of the schools, while Mundelein leaders have argued that their analysis lies between dueling projections.