Congestion pricing in New York City
Updated: Wikipedia source
Congestion pricing in New York City, also known as the Central Business District Tolling Program or CBDTP, began on January 5, 2025. It applies to most motor vehicular traffic using the central business district area of Manhattan south of 61st Street, known as the Congestion Relief Zone, in an effort to encourage commuters to use public transportation instead. This Pigovian tax, intended to cut down on traffic congestion and pollution, was first proposed in 2007 and included in the 2019 New York State government budget by the New York State Legislature. Tolls are collected electronically and vary depending on the time of day, type of vehicle, and whether a vehicle has an E-ZPass toll transponder. The Metropolitan Transportation Authority (MTA) estimates $15 billion in available capital will be generated by bonding revenues from the tolls, which will be available to fund repairs and improvements to the subway, bus, and commuter rail systems. As of 2024, New York City led the world in urban automobile traffic congestion, despite having a 24/7 rapid transit system. Since the early 20th century, several proposals have been floated for traffic congestion fees or limits for vehicles traveling into or within the Manhattan central business district. A recurring proposal was adding tolls to all crossings of the East River, which separates the borough of Manhattan from the boroughs of Brooklyn and Queens. In response to the 2017 New York City transit crisis of the MTA, Governor Andrew Cuomo proposed taking advantage of open road tolling technology and providing a revenue stream for the agency. In 2019, following negotiations, Cuomo and New York City Mayor Bill de Blasio agreed to implement congestion pricing to stem the ongoing transit crisis. Federal officials gave final approval to the plan in June 2023, but due to various delays, the rollout was postponed several times. Governor Kathy Hochul indefinitely postponed the plan in June 2024, just before it was planned to go into effect; as a result, the MTA had to postpone capital projects. In November 2024, Hochul revived the congestion toll proposal at a lower price point. Shortly after the toll was implemented, the administration of President Donald Trump revoked federal approval, though tolls remain in effect pending a judicial ruling. The implementation of congestion pricing led to immediate decreases in private vehicle traffic, and a decrease in transit times for both public and private vehicles. Pedestrian traffic increased, pedestrian fatalities decreased, while preliminary data has indicated that air quality inside and outside of the congestion relief zone has either modestly improved or remained the same.