Princeton Will Pay $18 Million to Settle Residents’ Tax Case
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A statue of former Princeton University president John Witherspoon outside the East Pyne building on the Princeton University campus, New Jersey.
Photographer: Emile Wamsteker/BloombergPrinceton University agreed to pay more than $18 million to settle a lawsuit by local homeowners who claimed the fifth-richest U.S. school should be paying property taxes on its New Jersey campus.
The settlement, announced by the school, came days before the scheduled start of a trial between the Ivy League university and local homeowners. A ruling against Princeton may have had far-reaching implications, upending the relationship between local communities and non-profit schools, hospitals and other organizations that don’t pay property taxes but put a strain on roads, emergency operations and other municipal services.