The Trump administration’s Department of Transportation has terminated its approval of the congestion pricing toll program in New York City – four months after the Biden administration gave its approval.
The program was introduced in early January and charged most drivers who entered Manhattan between 60th Street and the lower tip of the island. Motorists were charged based on the time of day and vehicles.
The program, which was the first of its kind in the nation, was intended to raise billions of dollars for infrastructure upkeep and repairs while encouraging motorists to use mass transit instead of driving through the city. However, the program faced opposition from New Jersey’s state government and from New York State counties north of the city that unsuccessfully attempted to stop the program in court.
In a letter to New York Gov. Kathy Hochul, Transportation Secretary Sean Duffy said the federal agreement from last November to proceed with the program was rescinded.
“New York State’s congestion pricing plan is a slap in the face to working class Americans and small business owners,” said Duffy. “Commuters using the highway system to enter New York City have already financed the construction and improvement of these highways through the payment of gas taxes and other taxes. But now the toll program leaves drivers without any free highway alternative, and instead, takes more money from working people to pay for a transit system and not highways. It’s backwards and unfair.”
Duffy added, “The program also hurts small businesses in New York that rely on customers from New Jersey and Connecticut. Finally, it impedes the flow of commerce into New York by increasing costs for trucks, which in turn could make goods more expensive for consumer. Every American should be able to access New York City regardless of their economic means. It shouldn’t be reserved for an elite few.”