Gov. Hochul to Relaunch NYC Congestion Pricing with Reduced $9 Base Toll

New York Governor Kathy Hochul is set to announce a revised congestion pricing plan for New York City on Thursday, according to sources. The new plan will introduce a $9 base toll for passenger cars, marking a 40% reduction from the previously approved $15 toll by the Metropolitan Transportation Authority (MTA).

The decision to lower the toll comes after Hochul paused the congestion pricing program in June, citing concerns that the $15 daily toll was too costly for drivers amid economic inflation. The reduced toll is expected to save motorists who drive into Manhattan five days a week approximately $1,500 over the course of a year compared to the original plan.

The congestion pricing program aims to charge drivers a fee for entering Manhattan south of 60th Street, with the revenue generated intended to fund $15 billion in essential repairs to the MTA’s transit systems. The program was initially approved by New York state lawmakers in 2019.

Despite the reduced toll, the plan faces significant opposition. President-elect Donald Trump has vowed to kill the congestion pricing program once he takes office, and local Republicans have pledged to challenge it. Lawmakers, including Rep. Mike Lawler and Staten Island Rep. Nicole Malliotakis, have expressed strong opposition, arguing that the plan is a bailout for the MTA’s poor financial management and will further burden taxpayers.

Hochul’s office has confirmed that she will make an announcement regarding mass transit funding on Thursday, which will also include details on new revenue streams to address a $33 billion gap in the MTA’s five-year construction plan starting next year. The MTA board is expected to approve the new tolls during its next meeting on November 20, with the program potentially launching on December 29 or in the first week of 2025.

The announcement comes as Hochul’s legal team prepares to respond to lawsuits filed by advocates pushing for the implementation of the tolls. Opponents, including Staten Island Borough President Vito Fossella, have already filed lawsuits to prevent the plan from going into effect.