New York Governor and the “Feds” clash over Manhattan’s new congestion charges

Summary

New York City introduced congestion changing in early January 2025.
The congestion changing uses number plate recognition cameras and applies charges for entry into lower Manhattan.
The typical charge is report to be $9 (USD) per vehicle during peak hours (5am to 9pm on weekdays, 9am to pm on weekends).
Motor vehicle travellers entering the congestion charge zone without using the “E-ZPass” receive a +50% penalty on their toll.
Earlier proposals for scheme were going to charge private passenger cars $15 and trucks up to $36 per trip.
New York Governor Kathy Hochul, who has been heavily promoting the scheme, reduced the prices of the tolls before the scheme was launched.
President Trump has vowed to stop the scheme and US Transportation Secretary Sean Duffy has declared the scheme illegal and has demanded the tolling cease.
The scheme has been challenged in court cases with future legal challenges expected.
Active opponents of the scheme include the Trucking Association of New York, United Federation of Teachers, and New Jersey Governor Phil Murphy.
Active supporters of the scheme include the Natural Resources Defense Council and the Metropolitan Transportation Authority.
Governor Kathy Hochul held a 21 March 2025 press release and press conference declaring “Since congestion pricing took effect over two months ago, traffic is down and business is up – and that’s the kind of progress we’re going to keep delivering for New Yorkers” and “Every day, more New Yorkers are seeing and hearing the benefits for our commutes, quality of life and economy – and we’re not going back.” Statistics and endorsements were presented in support of the scheme.
The crowd posing in the background of Governor Kathy Hochul’s press release chanted “Business is up! Traffic is down!” and “The cameras are staying on!”. The crowd also held copies of branded signs “THANK YOU GOVERNER HOCHUL” and “BUSINESS UP TRAFFIC DOWN”
Earlier in March 2025, poll results gauging New York State voters’ opinion on the scheme showed that 40% “believe it should be eliminated” and only 33% “believe it should remain”. Opposition towards the scheme appeared stronger in a December 2024 poll and remains stronger in areas outside of the inner city.
Bloomburg reported that the scheme collected close to 160 million USD in its first three months and the Metropolitan Transportation Authority plans to use the scheme to borrow billions. “The MTA runs the city’s transit system and implements the program, which is expected to raise $500 million this year. It plans to borrow against the revenue source and raise $15 billion to upgrade infrastructure.”

Quotes

“…just walk around and talk to people, ask if their lives are more enriched, whether they have more time with their families if they’re a commuter, whether or not they’re finally realizing that we have the world-class public transit system but we need to keep it world class by raising the revenues to invest in it as well, that is essential.

So, today is an important day. The cameras are staying on.”

New York Governor Kathy Hochul, 22 March 2025

“In a letter dated Monday and addressed to Hochul, the Trump administration reiterated its demand that she halt the collection of congestion pricing tolls and gave the governor until 21 May to either certify that the collection of tolls has ceased, or provide an explanation for why its continuation does not violate federal law.

“I write to warn you that the State of New York risks serious consequences if it continues to fail to comply with Federal law,” Duffy wrote.

“President Trump and I will not sit back while Governor Hochul engages in class warfare and prices working-class Americans out of accessing New York City,” Duffy wrote. “The federal government sends billions to New York — but we won’t foot the bill if Governor Hochul continues to implement an illegal toll to backfill the budget of New York’s failing transit system We are giving New York one last chance to turn back or prove their actions are not illegal.”

Duffy warned that the administration could begin taking action against the state as early as 28 May if the congestion tolls remain in place, such as withholding federal funding and approvals for future transportation projects in the state.”

Trump official threatens New York governor over halt of congestion pricing, The Guardian, 21 April 2025

“The MTA’s congestion pricing tolls went live on Jan. 5. Here are key aspects of the tolling scheme south of 60th Street in Manhattan:

-A $9 fee on passenger vehicles from 5 a.m. to 9 p.m. on weekdays and from 9 a.m. to 9 p.m. on weekends.

-A 75% discount for all vehicles during the overnight hours, putting the after-hours toll at $2.25.

-A $14.40 toll for smaller trucks, such as box trucks.

-A $21.60 toll for large trucks, including big rigs.

-A $4.50 toll for motorcyclists.

-Yellow and green taxis receive an additional 75-cent surcharge.

-For-hire vehicles such as Uber and Lyft receive an additional $1.50 surcharge.

-Both taxis and app-based for-hire vehicles pass the cost of the tolls onto passengers.

-Drivers who do not use E-ZPass when entering the congestion zone pay an extra 50%.”

Feds threaten NYC highway money if MTA doesn’t shut down congestion pricing. The Gothamist, 21 April 2025

“The Federal Highway Administration said the $9 toll on most vehicles entering Manhattan neighborhoods south of Central Park must end by March 21, according to a letter from the U.S. Department of Transportation.

That letter was sent to New York officials on Feb. 20, the day after Transportation Secretary Sean Duffy announced he’d rescinded federal approval of the toll, calling it a “slap in the face to working class Americans and small business owners.”

Gov. Kathy Hochul has promised an “orderly resistance” to the federal decree, which called for an “orderly termination” to congestion pricing. Similar toll programs have long existed in other cities, including London, Stockholm, Milan and Singapore, but have never been tried before in the U.S.”

NYC congestion pricing has more support than ever as Trump deadline looms, new poll finds, NBC New York, 10 March 2025

“The latest Siena College poll taken statewide among registered voters between March 2 and March 6 asked based on that statement should it stay or go.

According to the poll, 33% believe it should remain, 40% believe it should be eliminated, 16% are in the middle and 11% either didn’t know about it or refused to answer. The results are better in the city, but worse in the suburbs.

“It has got support, but not overwhelming support plurality support among New York city voters, 42% to 35%,” Greenberg said. “In the downstate suburbs it’s underwater: Forty-eight percent [of] voters think congestion pricing should be eliminated as compared to 30% who think it should remain.”

But the poll leaves out an important and large segment of commuters into the city: New Jersey drivers who have one thing on their mind, their wallets.

While the two months may not have changed those drivers’ minds, it did change some.

“Just a few months ago in December, when we asked voters do you support or oppose Governor Hochul re-instituting the $9 congestion pricing toll plan,” Greenberg said. “At that time 51% said they opposed it, 29% said they supported it.”

While even those against the program say it’s working as intended, yet another lawsuit has been filed against Hochul and the MTA from a Long Island state legislator.”

New poll shows how New Yorkers feel about eliminating congestion pricing, Spectrum News NY1, 10 March 2025

“New York City’s congestion pricing toll pulled in $159 million in the first three months of the program as the Trump administration is pushing to end the controversial initiative.

Most drivers pay $9 during peak hours to drive south of 60th Street in Manhattan. Since Jan. 5, when the toll first started, through March 31, it has brought in close to the $160 million in revenue it budgeted for, according to Metropolitan Transportation Authority data released Monday.

The MTA runs the city’s transit system and implements the program, which is expected to raise $500 million this year. It plans to borrow against the revenue source and raise $15 billion to upgrade infrastructure.”

NYC’s Congestion Toll Raised $159 Million in the First Quarter, Bloomburg, 29 April 2025.