After five months in limbo, New York’s congestion pricing program has been given new life. But it is still far from clear whether the plan to ease traffic, reduce air pollution and raise billions of dollars for mass transit in New York City will live or die.
Last month, Gov. Kathy Hochul of New York announced a new, heavily discounted version of the plan she had put on hold over the summer, just as it was set to begin. Now the race is on to get the program up and running on Jan. 5, before President-elect Donald Trump returns to the White House. And for good reason: During his campaign, he vowed to kill congestion pricing in his “first week back in office.”
The current plan would slash the proposed toll for passenger vehicles entering Manhattan’s central business district by 40 percent across the board, with most drivers paying a peak period toll of $9 instead of the original $15. The governor had complained that $15 was “too much” for commuters coping with inflation. But her decision to suspend the plan, which caught city and state officials off guard, was viewed as political, to help Democrats in the November election.
The Biden administration has given New York the go-ahead to start collecting the new tolls. (The Federal Highway Administration must approve tolling on federally funded roadways.) The $9 toll is slated to ratchet up to $12 in 2028 and $15 in 2031. The program is expected to generate less than the $1 billion that was anticipated. The Metropolitan Transportation Authority plans to use the money to borrow $15 billion for badly needed transit repairs and upgrades through the sale of bonds. Some projects could be delayed because of the phase-in of the toll.
Even if the program begins before Mr. Trump returns to Washington, its survival is in question. Lying ahead is an expected frontal assault from the new president and the Republicans who control Congress and also oppose it. In addition to Mr. Trump’s threat to rescind federal approval, Republican lawmakers have promised to pass legislation shutting down the program if the new president can’t terminate it with an executive order.
Others are also trying to block it in court before Jan. 5. Gov. Phil Murphy of New Jersey argues it would be a financial burden to the state’s commuters. (Though New Jersey residents will reap significant time savings as the tolls thin traffic.) Had Governor Hochul allowed the tolls to start in June, as scheduled, she would have had a much longer runway on which to address and get past the litigation. Now time is running out to establish the program before the White House changes residents.
In a recent interview with The New York Post, Mr. Trump warned that the tolls would “put New York City at a disadvantage over competing cities and states, and businesses will flee.” He added, “It will hurt workers, families and businesses, but in particular, anything to do with jobs.”
Nothing could be further from the truth. If Mr. Trump would take a closer look at the plan, he might change his mind and let it stand. Elsewhere, conservatives have supported transportation user fees.
The tolls — user fees charged to those who choose to drive into Manhattan’s central business district — are designed to encourage greater transit use and discourage cars from entering one the most congested parts of the city. The crush of traffic increases air pollution, asthma hospitalization rates, carbon emissions and vehicle crashes. The congestion delays also cost the region an estimated $20 billion each year in lost productivity, according to Partnership for New York City, one of New York’s leading business associations.
Congestion pricing will not disadvantage New York City. It will unleash an economic boon, breathing new life into a city still trying to get its bearings post-Covid. The $15 billion in transit improvements and investments will help sustain an estimated 100,000 jobs at over 100 businesses statewide. Better transit and less traffic will draw more people into the city, including tourists, where they will spend money. And the overwhelming majority of city residents, most of them lower or middle income, will benefit from faster, more reliable transit and safer streets.
Inspired by New York’s efforts, other cities around the country are in various stages of adopting their own congestion pricing plans. These programs proved successful and popular over several decades in London, Singapore and Stockholm, where residents initially hated the idea before quickly embracing it once it took effect.
Before axing congestion pricing, the president-elect should consider the alternative. The M.T.A. has a big hole in its current budget. Without congestion pricing, the state may have to turn to taxpayers to maintain and upgrade an outdated transit system that about 6.5 million of the region’s commuters rely on — including those from New Jersey, Westchester County and Long Island.
For New York City, congestion pricing is a once-in-a-generation opportunity to create a more livable, equitable and affordable city. The governor has put in motion a fair compromise. It addresses the concerns of drivers still struggling with the cost of living while modernizing the city’s aged transit system. And it will improve Manhattan’s intolerable, century-old traffic, which New Yorkers should not accept as an inevitable feature of living in the city.
If the new plan is stopped, it would be an enormous loss for the New York metropolitan area. The air will be dirtier, the traffic — already at a record high — worse, and the city’s subway, bus and commuter rail system back on life support.
Republicans expect Democrats to honor the recent election by giving the Trump administration a chance to pursue its vision for America. Mr. Trump, too, should respect Governor Hochul’s efforts to deliver creative solutions for New York’s economic and environmental challenges. And he should listen to leaders of the city’s business community, who are firmly behind the improved mobility and prosperity that congestion pricing will bring.
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