Highland Village City Council members unanimously approved setting the proposed tax rate at $0.500984 per $100 valuation at an Aug. 12 meeting.

Council also approved Sept. 9 as the date to receive public feedback on the proposed tax rate and proposed fiscal year 2025-26 budget.

A closer look

Finance Director Heather Miller said council cannot adopt a tax rate that exceeds the proposed amount of $0.500984 per $100 valuation, but council can decide on a lower rate.

In the 2024-25 fiscal year, the city’s tax rate decreased from $0.5013 per $100 valuation to $0.5002 per $100 valuation, representing a 0.2% reduction. Although the tax rate decreased last fiscal year, the average home in Highland Village increased in valuation by 8.25%, according to previous Community Impact reporting.


City officials said the FY 2025-26 budget is still being finalized and will be presented at the Sept. 9 meeting.

Also of note

Here’s what Highland Village residents can expect for the remainder of the budget process:
  • Aug. 26: Council members will follow up with the budget as needed at a regular council meeting.
  • Aug. 28: The recommended budget will be posted on the city’s website.
  • Sept. 9: The city manager will present the recommended budget and tax rate at a regular council meeting.
The tax code requires council to vote on adopting the tax rate no later than seven days following public hearing, so if the budget and tax rate are not adopted after the first reading Sept. 9, a special meeting will be held Sept. 16.