Since the beginning of this year, New York City has been using a practice known as congestion pricing. The program in which congestion pricing stems from is the Central Business District Tolling Program, or the CBDTP. The CBDTP started on January 5, 2025, but it faced a number of delays prior to its official start. It first was proposed in 2007 and was accounted for in the 2019 state budget. Since it’s original proposal, it has been altered by just about every New York City mayor and New York governor. In June of last year, Governor Kathy Hochul put an indefinite pause on the plan but then relaunched it in November with a lower price point. Essentially, the program creates a map of New York City congestion and charges an increased fee on toll roads. The goal is to reduce congestion and pollution.
The program has faced federal controversy as well.
When he took office in January, President Trump quickly revoked federal approval of the tolling program. He demanded the program end by March of this year. However, this demand has not been followed by Governor Hochul. The MTA, Metropolitan Transportation Authority, filed a lawsuit against the federal government over the matter. The case argues that the current administration does not have the authority to end the program because it was already signed into law under the previous administration. Until a decision in the case has been made, Hochul continues to reaffirm that “the cameras are staying on.” She is referring to the cameras that track driving to charge toll fees.
The Transportation Secretary took to X to update on the federal government’s stance on congestion pricing.
The Department Secretary, Sean Duffy, posted that the program has been granted a 30-day extension to end. In the initial demand, Trump gave Hochul until March 21 to end the program. Since that day has come and gone, they granted a 30-day extension “as discussions continue.” However, in his post he also seemingly threatened Hochul and the state of New York, claiming that the federal government can alter funding sent to the state if they do not comply. He ended his post saying, “Continued noncompliance will not be taken lightly.” Nonetheless, Hochul continues to stand strong in her stance of continuing the program.
Where are the congestion prices most prominent?
Manhattan is currently the biggest target of the program. Specifically, there is an area being dubbed the “Congestion Relief Zone” that maps out the area with congestion pricing. It begins at 60th street and contains everything south of it, including the Lincoln, Holland, and High L. Carey tunnels and the bridges on the East Side. Essentially, when a driver enters the zone from any direction, they are subject to the congestion pricing fees. Prices vary depending on where the driver enters from, what kind of vehicle the driver is operating, and what time of day/day of the week it is. The prices are all created based on the goals of reducing traffic congestion and reducing pollution.
The congestion pricing program does have some exceptions.
Residents who live within the Congestion Relief Zone do not owe for parking or driving in the zone. However, they will be charged upon leaving and entering the zone. Some roads are excluded as well, such as FDR Drive and West Side Highway when drivers stay on these roads. There are scanners throughout the area that are all connected and generate fees based on driver detection.
According to Hochul and other state officials, thus far the program has been a success. It is helping the state economy flourish and is helping improve different industries in the city. Hochul described it as “Traffic is down, business is up!”
