Are you installing the driver as the Local Administrator at the console of the MetaFrame server?
The best way I have found for installing printers in NT4 TSE is to cancel the setup routine from the CD, and use the Add Printers wizard instead to locate just the driver portion.
Of course, you'll need to check whether your printer is compatible with Terminal Services or not - especially with NT4 TSE.
Hope this is helpful CitrixEngineer@yahoo.co.uk