Council Approves FY 08-09 Budget

At the September 23 meeting, Council unanimously approved the FY 08-09 budget. The fiscal outlook is positive for Highland Village. The largest single revenue source in the proposed budget is the ad valorem (property) tax.  At the existing tax rate of .56963 per $100 valuation, this source would provide $7,445,130 for General Fund operations, a 12.53% increase over last year's adopted budget.  This increase in ad valorem tax revenue, coupled with increased in Sales Tax, Licenses & Permits and interest income - also with utilization of excess reserves carried forward from FY 08, will allow the City to adequately address funding needs identified by City Staff for FY 08/09. The FY 08/09 budget has a proposed fund balance of approximately 20%. As defined in the city’s five-year outlook, the City will maintain a higher Fund Balance for the current budget and next two or three years, as the full impact of commercial development is realized. 

Council approved the final plat and tree plan and entered into a development agreement with Landcore Development related to The District of Highland Village. The District is a “Main Street” development to be located at the southwest corner of FM 407 and Briarhill Boulevard. The development will consist of upscale townhomes and retail/office space in a Main Street setting. The developer requested the City participate in the cost of certain improvements and the abatement of certain park development fees. The agreement includes:

• Granting the variance request of underground placement of existing overhead utility lines
• The reimbursement of 30% of the actual cost of the purchase, design and construction of the FM 407 drainage improvements in an amount not to exceed $100,000
• Granting the variance request of the linear and neighborhood park assessment fees
• Adjusting the water and wastewater impact fees to $1667.33 for each residential townhome
• Developer will be responsible for construction of turn lanes in an amount not to exceed $75,000
• Developer will be responsible for all costs associated with the installation of security cameras in an amount not to exceed $75,000

Also at this meeting, Council approved the preliminary plat and tree plan for Highland Oaks subdivision. The residential development will be located on a 20-acre tract that was previously known as Rolling Hills Phase II.

Council postponed the discussion and appointment of boards and commission members until the October 14, 2008 meeting with the exception of re-appointing the current Planning and Zoning Commission members for a two-year term to expire in September 2010.

During the City Manager report, Michael Leavitt invited residents to the annual Family Fall Disco Dance to be held on October 3 and to participate in the Fall Clean Up on Saturday, October 18. Details are available on the city web site.