New York to implement congestion pricing at lower rate

New York Gov. Kathy Hochul (D) will revive plans for the nation’s first traffic congestion pricing plan in New York City at a reduced rate after delaying the controversial plan earlier this year.

Under the proposal, set to begin in January, most vehicles entering Manhattan below 60th Street will be subject to a $9 charge, down from the $15 originally planned. The affected areas include the borough’s central business district, through which thousands of commuters travel daily, many of them New Jersey residents.

The Biden administration already approved the plan, which aimed to raise revenues while reducing traffic and pollution, in 2023.

“As I said from the start, a $15 toll was just too high in this economic climate. That’s why our plan cuts the daytime toll to $9 for cars,” Hochul said in a Thursday statement. “By getting congestion pricing underway and fully supporting the MTA capital plan, we’ll unclog our streets, reduce pollution and deliver better public transit for millions of New Yorkers.”

In June, Hochul announced the delay, saying it “risks too many unintended consequences for New Yorkers at this time,” making no indication of when or if it would resume as scheduled.

President-elect Trump, however, is a vocal opponent of the plan, and Empire State Republicans this week called on him to kill it, potentially creating new urgency for any plan to take effect before his second term begins in January.

The organization Reinvent Albany, which had backed the original proposal, commended Hochul’s decision in a statement Thursday.

“Congestion pricing went through extensive public review and is designed to put fairness first so that special interest groups pay the same as the general public,” the organization said. “Further, we note that most crossings into Manhattan have been tolled by the MTA and Port Authority for decades, and congestion pricing will create a far fairer and more sensible regional tolling structure."