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New York City congestion pricing plan returns with new reduced tolls

The revenue will enable improvements on the subway, the MTA said.

November 14, 2024, 2:15 PM

New York Gov. Kathy Hochul is reviving New York City's congestion pricing with a new plan that lowers the previously planned cost to vehicles traveling through Manhattan below 60th Street.

The revised version -- set to take effect on Jan. 5, even though it's opposed by President-elect Donald Trump -- reduces the base toll to $9 for most passenger vehicles, down from $15. Hochul had put the $15 plan on hold in June, just days before it was to launch, amid pressure from both sides of the aisle.

Extra per-ride surcharge is now 75 cents for taxis and black car services, down from $1.25, and $1.50 for Ubers and Lyfts, down from $2.50, Hochul announced on Thursday.

Small trucks and charter buses will be charged $14.40, down from $24, while large trucks and tour buses must pay $21.60, down from $36.

Cars pass under toll machines on Broadway Avenue in the Manhattan borough of New York City on Nov. 14, 2024.
Charly Triballeau/AFP via Getty Images

The decision, Hochul explained, was crafted to ease the financial burden on New York's working families while maintaining critical funding for the Metropolitan Transportation Authority.

Additional discounts are being introduced for low-income drivers making less than $50,000 annually, who will receive a 50% discount after their 10th toll each month.

"No New Yorker should have to pay a penny more than necessary," Hochul said.

New York Governor Kathy Hochul speaks during a press conference regarding congestion pricing in New York City on Nov. 14, 2024.
Angela Weiss/AFP via Getty Images

The MTA said the revenue from congestion pricing would enable improvements in subway service and safety.

"New Yorkers can count on new train cars, more reliable service and cleaner air, all thanks to Gov. Hochul's leadership," MTA Chair and CEO Janno Lieber said.

Lieber also said the program will help basic services by reducing vehicular traffic so ambulances and police can more easily respond to emergencies.

At Thursday's news conference, Hochul responded to concerns about the congestion pricing plan, which has drawn threats from Congress to block it through litigation and potential funding cuts.

Pedestrians cross Delancey Street as congested traffic from Brooklyn enters Manhattan over the Williamsburg Bridge, March 28, 2019, in New York.
Mary Altaffer/AP, FILE

"I'm not sure why the critics would want to take money away from New York," the governor said, adding this approach could harm New Yorkers rather than help them. "If they're willing to hurt their own constituents for political gain, that's very disturbing."

Despite lawsuits aimed at delaying the plan, the governor said, "We're following the same approach for this congestion pricing plan as before. Our environmental analysis was deemed appropriate in prior litigation, and we believe other federal judges will uphold it."

Trump has pledged to terminate the congestion pricing initiative during his first week in office.

Hochul said she remains undeterred by political pressures, telling reporters, "I'm not driven by the calendar of when people are elected or not elected."

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