FHWA Approves Congestion Pricing Toll To Fund $15B in MTA Capital Projects
By JOHN JORDAN – December 2024
NEW YORK—As the first of its kind in the nation, New York City is set to launch the modified congestion pricing tolling plan for downtown Manhattan on Jan. 5, 2025. At least eight lawsuits have been filed to block the plan, which the Federal Highway Administration approved on Nov. 21.
At press time, no court injunctions have been issued to delay the tolling plan, which is projected to raise $1 billion annually to support $15 billion of capital plan improvements for the Metropolitan Transportation Authority.
While opponents of the congestion pricing plan have vowed to fight on, one organization that has supported the tolling program praised the FHWA’s ruling. “Public transit riders are one big step closer to more reliable trains, accessible stations and faster buses.
After years of campaigning and holding our leaders accountable, relief cannot come soon enough,” said Betsy Plum, executive director of the nonprofit Riders Alliance, in a statement. “Decongesting America’s most gridlocked neighborhoods will speed up ambulances and cut the massive waste and inefficiency that drive up our grocery bills and put essentials out of reach. Reducing traffic crashes and toxic air pollution will lower healthcare costs.”
Starting on Jan. 5, 2025, vehicles will be tolled to enter the Congestion Relief Zone in Manhattan–local streets and avenues at or below 60th Street. The toll amount will depend on the type of vehicle, time of day, whether any crossing credits apply, and the method of payment.
Revenue generated by Congestion Relief Zone tolling will fund some of the region’s most important transit capital projects, including accessibility improvements at more than 20 stations, modern signal systems on segments of the A, C and B, D, F and M lines for more than 1.5 million daily riders, hundreds of new electric buses, the Second Avenue Subway Phase 2 extension to East Harlem and other critical projects, such as structural repairs, power system improvements and upgrades to bus depots.
The MTA reported that more than 700,000 vehicles enter the Manhattan Central Business District, which is included in the Congestion Relief Zone, daily, and get caught in traffic with speeds between 9 mph and 7 mph. At many times of the day in Midtown, pedestrian foot speed is faster than the speed of vehicles.
“New Yorkers lose 117 hours on average sitting in traffic every year, costing them nearly $2,000 in lost productivity and wasted time,” the MTA stated on its Congestion Relief Zone website. “For drivers, Congestion Pricing will reduce traffic and make it easier to get to, from, and around the Congestion Relief Zone. Congestion Pricing means fewer cars on the road, so those who still need to drive will have faster trips and spend less time in traffic.”