President Donald Trump's administration has set a deadline for New York to cease its Manhattan congestion pricing system by March 21. The Federal Highway Administration has ordered the $9 toll on most vehicles entering Manhattan neighborhoods south of Central Park to end, citing concerns about its impact on working-class Americans and small business owners.
Despite this federal directive, New York state officials, led by Governor Kathy Hochul, have pledged to defy the order and continue with the tolling program. Congestion pricing aims to reduce traffic congestion and generate revenue for the city's transit system, mirroring successful models in cities like London, Stockholm, Milan, and Singapore.
The Metropolitan Transportation Authority (MTA) is spearheading the toll program and has filed a lawsuit challenging the federal government's authority to revoke approval. MTA officials argue that the tolling plan, which began on January 5, is yielding positive results, with a 10% reduction in daily vehicle entries into the tolling zone and improved travel times.
MTA Chair and CEO Janno Lieber highlighted the program's early success, noting increased pedestrian traffic, economic activity, and revenue projections of $500 million by year-end. The MTA earned nearly $50 million in the first month of toll operations, signaling a promising start for the initiative.
Governor Hochul emphasized New York's commitment to congestion pricing, stating, 'We will not be steamrolled here in New York. We're in this fight together, and I’m in this as long as it takes.' The state remains resolute in its stance against the federal order, asserting that the toll program is vital for the city's economic growth and residents' quality of life.
