NY Traffic Pricing Deadline Issued by Trump Administration

NEW YORK – The Trump administration has issued a directive to New York, demanding the cessation of Manhattan’s newly implemented congestion pricing system by next month. However, state officials have declared their intention to maintain the tolling initiative, which is designed to alleviate traffic and provide additional funds to the very busy transit network in the country.

The Federal Highway Administration communicated that the $9 toll imposed on most vehicles entering Manhattan areas south of Central Park must cease by March 21. This information was relayed in a letter sent from the U.S. Department of Transportation. The correspondence, dated February 20, followed an announcement from Transportation Secretary Sean Duffy. Duffy explained the decision to revoke federal approval of the toll, describing it as an “insult to working-class Americans and small businesses.”

Governor Kathy Hochul of New York has pledged a firm but organized resistance to the federal mandate, which seeks to terminate the congestion pricing system. This model of tolling has found success in various international cities like London, Stockholm, Milan, and Singapore, but its implementation is unprecedented in the United States.

Governor Hochul, speaking at a meeting of the Metropolitan Transportation Authority (MTA)—the state body overseeing the toll program—staunchly declared, “We will not be steamrolled here in New York.” She emphasized solidarity among state officials and expressed her commitment to the cause by saying, “We’re in this fight together, and I’m in this as long as it takes.”

In a meeting at the White House, Governor Hochul presented President Trump with an overview detailing the initial achievements of the congestion pricing scheme. The MTA, under the leadership of Chair and CEO Janno Lieber, has taken legal action in Manhattan federal court, challenging the Trump administration’s authority to retract the prior approval granted by the Biden administration.

“The federal government cannot unilaterally terminate the program,” Lieber asserted during a recent NY1 interview. He highlighted established case law emphasizing the procedural requirements the federal government must follow to rescind an approval, adding, “None of this complies with that, and that’s why we are so comfortable that this is a strong case, and we’re going to win.”

Lieber further advocated for the effectiveness of the tolling plan, operational since January 5, noting significant changes. According to him, daily vehicular traffic within the toll zone has decreased by 60,000, marking a 10% reduction. Additionally, travel times on bridges, tunnels, and busy streets of Manhattan have improved, pedestrian presence has increased by 4%, and there are positive trends in local economic indicators like Broadway theater attendance, restaurant participation, and retail sales compared to data from 2024.

Financially, the MTA foresees generating approximately $500 million from the congestion pricing system by year-end, enabling considerable enhancements in subway, bus, and overall transit services. Within the initial month alone, the toll generated around $50 million, as per a recent MTA report.

“We’re not going back, no matter what the rhetoric from other parts of the East Coast is,” emphasized Lieber. He condemned previous traffic gridlock as detrimental to New York City’s economy, public health, and residents’ quality of life.

New York state officials remain resolute in supporting the program amid federal opposition and legal challenges, determined to sustain and advance improvements in city transportation and environmental conditions.