The City of Pittsburgh is preparing to approve a 1% tuition tax on students attending college in that city. the tax would raise about $16 million and, in a a classic public choice move of identifying "winners" in order to garner political support, the tax is initially earmarked to pay pensions for retired city employees. Other cities have threatened such taxes - or, more directly, they have threatened to extend their property taxes to some nonprofit organizations. In response some universities (much larger property owners than museums and even churches in these cities) have agreed to make lump-sum payments to offset the presumed cost of firefighting and policing. My guess is that the tax will be imposed, challenged in court but not defeated, and then a compromise will be reached when one of the large universities next undertakes substantial building or expansion. At that point the university will have bargaining power - whereas at the moment the universities are fixed in place and vulnerable.