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PoliticsNew York City

New York Gov. Hochul may try to revive NYC congestion pricing before Trump can take office and block it

By
Anthony Izaguirre
Anthony Izaguirre
and
The Associated Press
The Associated Press
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By
Anthony Izaguirre
Anthony Izaguirre
and
The Associated Press
The Associated Press
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November 12, 2024, 5:54 AM ET
Pedestrians cross Delancey Street as congested traffic from Brooklyn enters Manhattan over the Williamsburg Bridge, March 28, 2019, in New York.
Pedestrians cross Delancey Street as congested traffic from Brooklyn enters Manhattan over the Williamsburg Bridge, March 28, 2019, in New York. Mary Altaffer—AP
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A $15 toll on vehicles entering the busiest parts of New York City could be revived, as the state’s Democratic governor considers enacting the program before President-elect Donald Trump takes office and can block it.

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In the days since Trump’s victory, Gov. Kathy Hochul and her staff have been reaching out to state lawmakers to gauge support for resuscitating the plan — known as “congestion pricing” — with a lower price tag, according to two people familiar with the outreach. They spoke to The Associated Press on condition of anonymity because they were revealing private conversations.

Hochul halted the plan to ease gridlock and pump billions into mass transit just weeks before it was set to launch this summer. All the costly infrastructure such as license plate readers was already in place.

At the time, she said she worried it would cost motorists too much money, but it was also widely seen as a political move to help Democrats in closely watched congressional races in the city’s suburbs. The fee would come on top of the already hefty tolls to enter the city via some river crossings, and Republicans were expected to use it as a cudgel in an election heavily focused on cost-of-living issues.

Some of those Democrats ended up winning. But so did Trump, who has vowed to terminate congestion pricing once he returns to the Oval Office in less than two months.

Hochul long insisted the program would eventually reemerge, but previously offered no clear plan for that — or to replace the billions of dollars in was supposed to generate to help New York City’s ailing public transit system.

Now the governor has floated idea of lowering the toll from $15 down to $9 for most people driving passenger vehicles into Manhattan below 60th Street, according to the two people. Her office suggested that a new internet sales tax or payroll tax could help to make up the money lost by lowering the fee, one of the people said.

A spokesman for Hochul declined to comment and pointed to public remarks the governor made last week when she said: “Conversations with the federal government are not new. We’ve had conversations — ongoing conversations — with the White House, the DOT, the Federal Highway Administration, since June.”

A key question hanging over the process is whether lowering the toll amount would require the federal government to conduct a lengthy environmental review of the program, potentially delaying the process into the incoming administration’s term. The program, which state lawmakers approved in 2019, stalled for years awaiting such a review during the first Trump administration.

The U.S. Department of Transportation did not immediately return an emailed request for comment.

Laura Gillen, a Democrat who last week won a close election for a House seat on Long Island just outside the city, responded to the congestion pricing news with dismay.

“We need a permanent end to congestion pricing efforts, full stop. Long Island commuters cannot afford another tax,” Gillen wrote on the social media site X after Politico New York first reported on the governor’s efforts to restart the toll program.

Andrew Albert, a member of the MTA board, said he supported the return of the fee but worried that $9 would not be enough to achieve the policy’s goals.

“It doesn’t raise enough money, it doesn’t clear enough cars off the streets or make the air clean enough,” he said.

Subscribe to Fortune Gulf Brief. Every Tuesday, this new newsletter delivers clear-eyed, authoritative intelligence on the deals, decisions, policies, and power shifts shaping one of the world’s most consequential regions, written for the people who need to act on it. Sign up here.
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