PrincetonUniversityA P R I N C E T O N P R O F I L E 1 9 9 8 - 9 9
Community Contributions
Property taxes. The University owns approximately 4,000 acres for commercial and academic uses in seven central New Jersey municipalities, with significant holdings in Princeton Borough, Princeton Township, West Windsor Township, Plainsboro Township, and South Brunswick Township and minor holdings in Hopewell Township and Bedminster Township. Most of the academic properties are located in Princeton Borough and Princeton Township, which serve as host to the University's main campus lands. The 1997-98 property and sewer taxes in the above-listed communities amount to approximately $5.1 million, exclusive of any sewer payments by tenants of University-owned property. The University is the largest taxpayer in both Princeton Borough and Princeton Township, paying $4.7 million to these two municipalities ($2.4 million to Princeton Borough; $2.3 million to Princeton Township).
Payments for University housing. Taxes paid in the borough and the township include significant amounts paid on faculty and graduate student housing, including the President's residence, which could be tax exempt. Taxes are paid on these properties voluntarily to ensure that the public school system is compensated for any children that might come from these households.
Policy on tax-exempt buildings. It is University policy to remove a building from the tax rolls only when 100 percent of the building is used for academic purposes, even though state law exempts colleges and universities from paying taxes on any portion of a building used for academic purposes. When a Princeton University property is removed from the tax rolls, payments are phased out over a 10-year period.
Direct contributions. The University makes an annual voluntary contribution to Princeton Borough. For 1997-98, this contribution was more than $135,000, which consisted of $90,000 as a general donation, plus $45,900 made on behalf of the University-owned McCarter Theatre property. The $90,000 donation will rise to $100,000 in 1999; after that, it will increase by the same percentage as the municipal portion of the tax rate.
Affordable housing contributions. The University pays both Princetons a "Developer's Fee" earmarked for affordable housing, based on the amount of new University construction. The University will pay $30,000 to the borough and $10,000 to the township each year until 2001. By the year2000, cash and land contributions will bring the University's support for affordable housing in the Princetons to $1.15million during this decade.
Service support and special gifts. The University has made many other community contributions during the past five years, including:
- Free Internet access and server use, worth $300,000 per year, for the Princeton public schools, library, municipal facilities and Senior Resource Center
- $100,000 to the Arts Council of Princeton Campaign
- $100,000 to Princeton Township for open space preservation
- $50,000 per year in memberships and donations to local non-profits, including the institutional contribution to the United Way
- $50,000 to the Princeton YWCA Capital Campaign
- $28,000 per year to the Princeton First Aid and Rescue Squad
- $20,000 per year to the Medical Center at Princeton
- $5,000 per year to the Princeton Fire Department
- Use of University fields for Fourth of July fireworks