President Donald Trump's administration has ordered a halt to congestion pricing tolls in New York City, a system that aims to reduce traffic and fund mass transit by charging drivers to enter Manhattan's core. The toll, which was implemented on Jan. 5, imposes a $9 fee on most vehicles entering Manhattan neighborhoods south of Central Park using license plate readers. Transit officials noted that the toll has led to modest traffic reductions since its inception.
The federal government, through U.S. Transportation Secretary Sean P. Duffy, has rescinded its approval of the program, citing the toll's financial burden on working-class Americans and small business owners. The Federal Highway Administration will collaborate with the state on an orderly termination of the tolls.
Following the announcement, the Metropolitan Transportation Authority filed a federal lawsuit to preserve congestion pricing. Governor Kathy Hochul stated that the toll program would continue during the legal proceedings.
President Trump, who had vowed to eliminate the plan upon taking office, celebrated the decision on social media platform Truth Social, declaring, 'CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED.' Governor Hochul responded by emphasizing New York's democratic principles.
Congestion pricing, a strategy employed in global cities like London and Stockholm, was intended to generate revenue for transit improvements in New York City. The toll varied based on vehicle size and time of day, with larger vehicles paying higher rates. The tolling system faced opposition from suburban commuters and those underserved by the subway.
Despite initial support from New York lawmakers in 2019, the tolling plan encountered delays and legal challenges. Governor Hochul had previously halted the program over economic concerns but later reinstated it at a reduced rate. The toll's fate remains uncertain as the legal battle unfolds.
New York City Mayor Eric Adams, once a proponent of congestion pricing, has refrained from taking a definitive stance amid the escalating conflict between Trump and the state. The future of congestion pricing in New York City hangs in the balance as stakeholders navigate the complex regulatory landscape.
