Congestion pricing has arrived in New York City
Image: CBS News New York
The majority of New York City drivers now have to pay $9 to enter the busiest part of Manhattan during peak hours, under a controversial first-in-the-nation congestion pricing law that took effect early Sunday morning.
The toll program, which has been in the works for nearly two decades, applies to all of Manhattan south of 60th Street. It features a discounted overnight rate of $2.25, as well as a 50% discount available to people who earn less than $50,000/year. The rates for trucks and buses are higher – up to $21.60.
How we got here: The most recent push for congestion pricing in the Big Apple began under former New York Governor Andrew Cuomo amid a crisis in subway service several years ago.
- Cuomo’s tolling plan was set to take effect in June 2024. But weeks before the start date, Governor Kathy Hochul delayed its implementation, saying the tolls could hurt the city’s economy and impose too much hardship on poorer New Yorkers.
- Hochul later revived the congestion pricing plan in mid-November at a discounted rate of $9 during peak hours, compared to $15 previously.
The arguments: Many transportation, business, and civic leaders, as well as subway and bus riders, argue the congestion pricing plan is an effective way to reduce heavy traffic in Manhattan, raise billions of dollars for the city’s aging transit system, and encourage motorists to adopt more eco-friendly mass transit alternatives.
- But many lawmakers from both parties, along with suburban commuters and residents, strongly oppose the congestion pricing plan, arguing it’ll do little to reduce traffic while punishing drivers who lack other travel options.
- Some critics also frame the tolling plan as a money-grab by New York’s Metropolitan Transportation Authority, a state agency with a history of financial problems.
Looking ahead…The congestion plan currently faces an uncertain future. New Jersey Governor Phil Murphy and the New York City teachers union have both sued to stop the plan, while President-elect Trump has promised to rescind its federal approval.
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Sprinkles in favor of congestion pricing
- Some commentators argue that congestion pricing will make Manhattan’s streets less jammed, which will make driving in the city less agonizing; buses will become more popular because they will move faster; ambulances and fire trucks will get to their destinations sooner; and there will be less air pollution.
- Others contend that Governor Hochul was right to reintroduce the congestion plan, which represents a bold initiative to promote mass transit use and reduce traffic, noise and air pollution in the highly congested heart of Manhattan.
- “Why I Welcome New York City’s Congestion Pricing Plan” –Peter Coy, NY Times
- “Unjam the congestion pricing plan” –Albany Times-Union Editorial Board
- “Congestion pricing is the cure to NYC’s traffic crisis” –Steven Wang, Washington Square News
Sprinkles against favor of congestion pricing
- Some commentators argue that by most accounts, the NYC tolling plan won’t even actually reduce congestion, and serves to punish average New Yorkers for the MTA’s mismanagement of funds in recent decades when better solutions exist (like cracking down on fare evasion).
- Others contend that New York City’s congestion pricing plan represents an economic assault on working-class commuters from New Jersey, and only deepens the divide between Manhattan elites and the working poor who rely on their vehicles.
- “Time for insane NYC congestion pricing plan to hit the road” –NY Post Editorial Board
- “Congestion pricing is ‘a tax on working people disguised as progress’” –Jersey City Council President Joyce Watterman
- “Hochul’s New York Driving Tax Is Back” –WSJ Editorial Board
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