We have several street projects underway or anticipated to begin within the next month or two.
The 2026 Asphalt Overlay Project is underway, providing a new asphalt overlay for Shade Tree, Rain Tree, and Meadow Crest Dr., as well as roads within Copperas Branch Park. Sellmeyer Lane from FM 407 to Victoria will also receive a new asphalt overlay, with construction beginning this month. Sellmeyer Lane from Victoria to Foggy Glen will be addressed in two phases with a future bond issuance.
We’ve been talking quite a bit about the Highland Shores Blvd. Reconstruction Project, and its set to begin this year. This project includes replacing the concrete pavement section with new pavement and enhancing drainage, pedestrian and traffic safety, and traffic calming from the intersection of Briarhill Blvd. to Twin Coves. This will be a lengthy project and will require traffic shifts.
Please be patient once this project begins and take another route if possible. You can stay up to date on the project progress by signing up for The Villager and the City Manager’s Report at highlandvillage.org/staynotified.
The City’s new fiscal year begins this month, and the FY 2026-27 Budget reflects both the changing financial environment facing Highland Village and our commitment to maintaining the high-quality services our residents value. This year, the City’s certified property tax values decreased 2.8% from the previous year, while sales tax revenue is projected to be 2.0% below last year’s budgeted amount. The tax rate will increase from $0.500984 to $0.528541 per $100 of assessed valuation, adding $377,615 to the General Fund and increasing the average taxpayer’s City property tax by $105.74 annually.
The FY 2026-27 General Fund Budget takes a conservative approach, with total operating expenditures of $25,702,807, 1.9% less than the FY 2025-26 adopted budget. The budget includes a 2% salary adjustment, along with market adjustments for some positions, to help attract and retain the qualified employees who provide City services. To limit the use of fund balance, we also made difficult decisions to reduce expenditures. These include a hiring freeze on three vacant positions, suspension of the intern program and nonprofit funding, reductions in recreation programming and lighting upgrades, and the elimination of several community events, including The Amazing Race, Wine Down with the Grinch, Concerts in the Park and Movies in the Park. Police and fire positions are exempt from the hiring freeze, and other vacancies will be carefully evaluated before being filled.
These decisions reflect a changing financial environment as Highland Village approaches build-out. With just over 70 undeveloped acres remaining, some of which present development challenges, opportunities for significant new growth are limited. At the same time, the costs of goods, services, employee benefits, and competitive compensation continue to rise, while state limits on property tax revenue growth affect the City’s ability to keep pace with those costs. Even with the increased tax rate, we must continue working to align ongoing revenues and ongoing expenditures.
Fortunately, years of conservative financial planning have prepared Highland Village for this transition. The five-year forecast projects a General Fund reserve of approximately 34% for FY 2026-27, above the City’s policy target of 20% to 25%. These reserves provide us with flexibility, but they are not a long-term solution for funding recurring expenses. Our goal is to make thoughtful adjustments now that will protect the City’s financial strength for the future.
During the coming fiscal year, we will conduct an Organizational, Workforce and Service Delivery Study to evaluate staffing, service delivery and opportunities to operate more efficiently. As Highland Village enters this next stage as a mature community, our focus remains on responsible financial management and maintaining the services and quality of life our residents expect. I encourage you to learn more about the budget, the challenges we are addressing, and how we are planning for the future at HighlandVillage.org/Budget.
In partnership with the Highland Village Business Association, we host the Salute Our Veterans event to honor our local Veterans and offer them an opportunity for fellowship and camaraderie. Veterans and one guest can attend at no charge, as we seek community sponsorships to cover the cost of their attendance and meal. Sponsorships begin at $50, which covers the cost of two veterans’ lunches. If you choose to sponsor additional veterans, the lunches are sold in increments of $25, allowing you to select the amount of your donation: $100 for four veterans, $150 for six veterans, etc. Typically, over 250 veterans, representing all branches of service, from Highland Village, Lewisville, Flower Mound, and surrounding areas, attend and have their lunch paid for through sponsorship funds. I hope you’ll consider becoming a sponsor. Please submit your sponsorship by Oct. 23 either online at thehvba.com/veterans or by mail to 1000 Highland Village Road, Highland Village, TX 75077, Attention: Salute Our Veterans Lunch.
Celebrate the season, and hopefully cooler weather, at our first annual Village Fest. Mark your calendar and bring the whole family to Doubletree Ranch Park on Oct. 17 for delicious food and pumpkin spice vibes. Show off your best moves while grooving to Le Freak, “The Greatest Disco Band in the World.” This free event features food and drink vendors, a mini-midway, hay maze, petting zoo, face painters, pumpkin decorating, and more! Festivities begin at 6 p.m.
Our police department is once again hosting the TXFallenPD 5K and Bike Race to raise funds for the Texas Police Chiefs Association’s Fallen Officer Fund. Since 2008, the department has held a bike race and 5k run fundraiser for the families of police officers who have lost their lives in the line of duty and, with the help of the community, has contributed nearly $664,000 to the fund. The event will take place on Saturday, Oct. 17, at Doubletree Ranch Park. Registration is open for the 5K run and the police and civilian bike race. The event also features a Kid Ride with a Cop. You can be part of this fundraising effort again this year by sponsoring the event, providing a cash donation to the fund, or by participating in the run or bike race. All proceeds from the event go directly to the Fallen Officer Fund, which provides monetary assistance to families of Texas officers killed in the line of duty. I hope you’ll consider helping us support the families of fallen Texas police officers.
I look forward to seeing you at the TXFallenPD 5K and Bike Race and at Village Fest!
