Congestion pricing is set to begin again in New York City after Governor Kathy Hochul reintroduced a lower toll rate.
The new policy comes into effect despite challenges from a New Jersey court arguing that New York authorities need to take more consideration before implementing the policy.
Newsweek contacted Hochul’s office for comment via email.
Why It Matters
Hochul previously suspended congestion pricing for New York City in June, the first system of its kind in the U.S.
Under the original policy, passenger cars would have been charged $15 to enter Manhattan below 60th Street, while trucks could have been charged up to $36, depending on their size.
The updated policy reduces those prices by 40 percent.
What to Know
The new plan will place a $9 fee on most vehicles driving into Manhattan neighborhoods south of 60th Street, using the same borders as the original. The toll is scheduled to take effect on January 5, 2025, and it will be collected using license plate readers in the city.
While similar congestion pricing systems are used worldwide in other similarly sized cities, like London and Singapore, New York will be the first U.S. city to implement this kind of policy.
The toll system will be managed by the Metropolitan Transportation Authority (MTA), despite the efforts of a court in New Jersey.
New Jersey Governor Phil Murphy hired attorney Randy Mastro to prevent the MTA from implementing the policy over environmental concerns, with Mastro saying in court: “More consideration is needed before the current congestion pricing proposal may take effect.”
However, Judge Leo Gordon said that while the environmental mitigation concerns in New Jersey were valid, he refused to issue an injunction that might have stopped the policy’s implementation.
What People Are Saying
In a statement on Monday, Hochul said: “Despite the best efforts of the State of New Jersey trying to thwart New York’s ability to reduce congestion on our streets while making long-overdue investments in public transit, our position has prevailed in court on nearly every issue.
“This is a massive win for commuters in both New York and New Jersey. Now that the judge has issued his ruling, the program will move forward this weekend with a 40 percent reduction in the originally proposed cost of the toll.”
What Happens Next
The policy takes effect on January 5. President-elect Donald Trump, who will return to the White House on January 20, has been critical of the policy and has claimed that he would take down the congestion pricing system on his first week in office.
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