As of the census of 2000, there were 3,477 people, 1,238 households, and 932 families residing in the city. The population density was 801.4 people per square mile (309.3/km). There were 1,377 housing units at an average density of 317.4/sq mi (122.5/km). The racial makeup of the city was 90.94% White, 0.95% African American, 0.98% Native American, 0.29% Asian, 4.57% from other races, and 2.27% from two or more races. Hispanic or Latino of any race were 10.90% of the population.
The size of the City of Princeton is under dispute. A tract of land consisting of five miles of the FM 982 right of way was claimed by the City in 2003. The City's contention is that the land was annexed in the early 1970s. No other governmental body recognizes this land as part of the City of Princeton. The property is not shown as part of the City on the Map on this page. On March 5, 2009 Specially Deputized Assistant District Attorney for Collin County Bob Davis and other officials from the DA's office held a meeting with approximately 100 local residents. The residents had been asking the DA's office to bring an action against the City to disprove their claim. At the meeting Bob Davis stated he would be giving the city one more opportunity to drop their claim before taking the matter to district court. A draft copy of the court filling that will start the Quo Warranto action was also shown at the meeting. The City Council met on March 10, 2009. They discussed the issue at length in executive session. They took no action on the matter. The lawsuit will be titled State of Texas vs. City of Princeton and is expected to be filled without delay.
There were 1,238 households out of which 40.5% had children under the age of 18 living with them, 56.9% were married couples living together, 13.6% had a female householder with no husband present, and 24.7% were non-families. 21.2% of all households were made up of individuals and 9.8% had someone living alone who was 65 years of age or older. The average household size was 2.76 and the average family size was 3.19.
In the city the population was spread out with 29.7% under the age of 18, 8.7% from 18 to 24, 31.8% from 25 to 44, 19.0% from 45 to 64, and 10.9% who were 65 years of age or older. The median age was 32 years. For every 100 females there were 95.4 males. For every 100 females age 18 and over, there were 89.6 males.
The median income for a household in the city was $38,590, and the median income for a family was $45,948. Males had a median income of $32,852 versus $25,021 for females. The per capita income for the city was $17,092. About 6.6% of families and 9.1% of the population were below the poverty line, including 9.6% of those under age 18 and 20.9% of those age 65 or over.
In the elections of Nov. 2007, May 2008, Nov. 2008 voters rejected the adoption of a home rule charter. The margin against adoption increased at each election. Changing from a general law city to a home rule city would raise the maximum possible property tax rate from $1.50 of valuation to $2.50 of valuation.[1] It would also allow the city to annex an area equal to 30% of its area each year without the permission of property owners.[2]