The Trump administration has announced it will halt New York City’s contentious congestion pricing plan, mere weeks after its launch, but Governor Kathy Hochul and the MTA are determined to preserve it.
In a letter sent to Hochul on Wednesday, the U.S. Department of Transportation indicated it was terminating its November 2024 agreement with the state. This follows President Trump’s discussions with Hochul about scrapping the program, according to a well-placed source familiar with the situation.
Transportation Secretary Sean Duffy described congestion pricing as “backwards and unjust,” asserting that it negatively impacts small businesses.
“New York State’s congestion pricing scheme disrespects the working class and small business owners across America,” Duffy stated. “Drivers who utilize the highway network to access New York City have already funded the construction and enhancements of these roads via gas taxes and various levies. Yet, the toll program deprives drivers of any free highway alternative, demanding more funds from working individuals to support a transit system, not highways. This is regressive and inequitable. Additionally, the program adversely affects small businesses in New York that depend on patrons from New Jersey and Connecticut. Ultimately, it hinders commercial flow into New York by raising expenses for trucks, potentially escalating consumer prices. Every American deserves access to New York City, regardless of their economic status; this privilege should not be reserved for a select few.”
Shortly after the decision to terminate the tolling plan, Trump declared on social media, “CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED. LONG LIVE THE KING!”
Hochul, MTA, Riders Alliance respond
Hochul was clearly displeased with Wednesday’s developments and pledged to contest the Trump administration in court.
“Public transit is the lifeblood of New York City and crucial for our economic future — something President Trump, as a New Yorker, understands well,” Hochul stated. “Since this pioneering program was launched last month, congestion has significantly declined, and commuters are reaching their destinations more swiftly than ever. Broadway shows are selling out, and foot traffic in local businesses is surging. School buses are delivering children on time, and yellow cab rides have increased by 10%. Transit ridership is on the rise, drivers are benefiting from better conditions, and support for this initiative is growing daily.”
Hochul then criticized Trump’s social media comments.
“We live in a nation governed by laws, not commanded by a king. The MTA has begun litigation in the Southern District of New York to safeguard this vital program. We will see you in court,” Hochul declared.
The MTA announced on Wednesday its plan to file legal documents to ensure the program’s continuation. MTA Chairman and CEO Janno Lieber deemed the Trump administration’s choice to retract approval as “baffling,” noting the program’s success.
“Today, the MTA filed legal papers in federal court to secure the continuation of this highly effective program — which has already led to a substantial decrease in congestion, resulting in reduced traffic and quicker travel times, while enhancing speeds for buses and emergency services — despite this unfounded attempt to strip those advantages away from countless mass transit users, pedestrians, and especially drivers entering the Manhattan Central Business District,” Lieber stated. “It is perplexing that after four years and 4,000 pages of federally-supervised environmental assessments — and only three months after granting final approval to the Congestion Relief Program — the USDOT would seek to reverse its decision entirely.”
The Riders Alliance announced it will fight to maintain congestion pricing.
“Public transit riders have won congestion relief and are now experiencing quicker and more dependable bus service from across New York and New Jersey. We mobilized for a decade, held two governors accountable, and won in court in three states following extensive environmental evaluations. We are dedicated to protecting and building on our success and will defend it with everything we possess,” said Riders Alliance Director Betsy Plum.
“It generates funds to create construction jobs and repair the subway. It is regressive and unjust to revert to a congested New York,” added Danny Pearlstein, Director of Policy and Communications at the Riders Alliance. “We’ve secured victories in court in New York, New Jersey, and Pennsylvania defending congestion pricing. We’re experienced in litigation. We’ll be back, and we anticipate having the governor of New York and the MTA right with us.”
Hochul addresses “long live the king” statement
During a Wednesday afternoon press conference with MTA officials, the governor reiterated her stance on Trump’s “long live the king” comment posted online.
“I want to emphasize that New York has not been under a king for over 250 years, and we certainly will not start now. The streets of this city, where battles were waged, bore witness to our stand against a king and our victory then. To all New Yorkers: we are in a struggle, and we do not surrender – now or ever,” Hochul asserted.
She continued to emphasize that she and the MTA are advocating for all New Yorkers, from commuters and drivers to emergency personnel and residents with asthma.
“Whether you support or oppose congestion pricing, this is an attack on our sovereign identity, our freedom from Washington. We are a nation of states. This is what we fought for. This is what figures like Alexander Hamilton and others fought for, establishing a system where we are not subservient to a king or anyone else from Washington,” Hochul elaborated.
Additionally, Hochul confirmed that the license plate reader cameras would remain operational, and Lieber mentioned that the MTA’s legal filing indicates they will not deactivate the tolls until a court order is issued.
“New York will not regress. We have experienced gridlock for 60 years, and it was ineffective, costing our economy billions. However, what is benefiting our economy, what is improving New York is congestion pricing,” Lieber remarked.
Both Hochul and Lieber expressed confidence in their ability to win against the Trump administration in court, but Hochul indicated that commuters should now associate the president with their traffic delays.
“If, in some hypothetical scenario, they prevail, the next time you find yourself in traffic, the next time your train is delayed, the next time you’re stuck in a flooded station due to unmet infrastructure repairs, I want you to think of this,” Hochul stated, displaying an image shared on official White House social media showing Mr. Trump in a crown captioned “LONG LIVE THE KING.”
Supporters celebrate Trump administration’s decision
Some leaders from New York City and nearby suburbs praised the decision to cancel the program.
“We’ve maintained this was a flawed initiative from the beginning,” Staten Island Borough President Vito Fossella noted. “This is positive news for people who have, I believe, been misled by those claiming this would benefit them when it actually harmed them.”
Fossella acknowledged that traffic had improved in certain areas but contended that there’s no justification for residents of Staten Island to incur a third toll.
“Staten Island residents already pay two tolls for commuting to work. This would add a third for traveling within the city. And yes, there may have been areas where traffic decreased, but the situation worsened in other parts of the city, outside the Central Business District, as we had predicted from the start,” Fossella argued.
“There is no free option to enter our city center using these federally funded highways. Therefore, they have the right to reverse this decision, and I’m pleased that the president followed through,” Rep. Nicole Malliotakis stated. “This policy is detrimental to our economy, undermines small businesses, and harms residents.”
Nassau County Executive Bruce Blakeman praised the Trump administration for abolishing what he termed a “very oppressive tax on working families in the metropolitan area.”
“It was nonsensical, and my MTA commissioner, David Mack, was the only commissioner who voted against it, and he was right, just as President Trump was right. This is an oppressive tax that burdens taxpayers, students, and workers in the area. Terminating it was the correct decision,” Blakeman added.
Blakeman also noted that Nassau County residents were “mad as hell” about the tolling initiative.
“Paying $9 just for the right to drive on a public roadway does not resonate well with individuals commuting to downtown Manhattan, students in downtown Manhattan, or families wanting to visit for a day. They were extremely upset about this, and I believe they will be very pleased that this tax is canceled,” Blakeman explained.
The town of Hempstead, the largest township in the nation, sued the MTA, alleging that congestion pricing exceeded its congressional authority as a pilot program. Supervisor Don Clavin expressed satisfaction that legal actions like his were referenced in the decision to pull the plug.
“I’ve never seen the Tri-State Area so unified against something as congestion pricing,” Clavin stated. “They overstepped their bounds and needed to return to Congress for authority.”
Another supporter was Charlton D’Souza, president of Passengers United, an organization representing Long Island Rail Road riders, who was against congestion pricing.
“I have attended MTA meetings for years. This agency is unaccountable. It’s chaotic,” D’Souza remarked. “The MTA has not provided any additional services, resulting in overcrowding on the Long Island Rail Road. Buses have also been congested.”
Congressman Mike Lawler, potentially eyeing a gubernatorial run in 2026, released a statement expressing gratitude to Mr. Trump and criticizing Gov. Hochul.
“This is a significant win for New York families, commuters, and small businesses who were cruelly targeted by this unjust tax,” Lawler stated in part. “This program is clearly a scam — a cash grab — indicative of a broader systemic issue in our state — government overreach and rampant mismanagement under Kathy Hochul and her associates in Albany.”
“Rather than imposing new, burdensome taxes on struggling families, we should audit the MTA, the worst-run authority in America, to identify savings, tackle its gross mismanagement, and ensure that commuters receive the safety and service they deserve,” he concluded.
New Jersey lawmakers celebrate victory
New Jersey Governor Phil Murphy, who previously noted that congestion pricing was one area where he and Mr. Trump could agree, issued the following statement:
“I am grateful to President Trump and Secretary Duffy for their actions to cease the current congestion pricing initiative in Manhattan’s Central Business District. While I have consistently shown openness to a congestion pricing model that genuinely safeguards the environment and does not unfairly burden diligent New Jersey commuters, the existing program merely fills the MTA’s coffers at the expense of New Jersey residents.
“Although we have had differing opinions regarding congestion pricing, we have always maintained a productive relationship with our New York neighbors across the Hudson. I look forward to continuing that spirit of collaboration for the benefit of the entire Tri-State Area.”
Congressman Josh Gottheimer, a strong opponent of the tolling initiative and a candidate to succeed Murphy, celebrated the termination of the “Congestion Tax.”
“Today marks a tremendous victory for Jersey families, their budgets, and the environment. From the very start of this fight, we recognized that the Congestion Tax was a colossal cash grab for New York and the MTA — all at the expense of hardworking Jersey families,” Gottheimer remarked in a statement. “Their disregard for how this tax would affect Jersey families has now been confirmed, and we can all breathe a sigh of relief. I will tirelessly advocate for the protection of Jersey families. As I often say, don’t mess with Jersey. Cross us, and you’ll discover why.”
“I am very pleased that the federal government intervened because New York was effectively declaring, ‘Hey, New Jersey, you’ll be our cash cow.’ Well, that’s finished,” Republican gubernatorial contender Jon Bramnick remarked.
Congestion pricing just began in January
The controversial program officially commenced just last month, on January 5, following years of discussions and delays.
Hochul has defended the initiative, citing early MTA data indicating the program’s success. In a report released at the end of January — the program’s inaugural month — the MTA noted that 1 million fewer vehicles entered the most congested areas of Manhattan, and travel times on inbound bridges and tunnels had decreased.
This halt is almost certain to ignite a legal battle. New York State and the MTA are likely to file suit to keep the program active.
Prior to his election, Trump pledged to “terminate” congestion pricing, and he has faced pressure from local congressional representatives to follow through. Malliotakis previously claimed Trump had “instructed the Department of Transportation to generate options” for halting the program.
The long path to congestion pricing
The journey towards congestion pricing in New York City has been lengthy. Former Mayor Michael Bloomberg proposed it in 2007. Former Governor Andrew Cuomo enacted the plan into law in 2019, which survived numerous legal battles.
Just weeks before it was slated to begin in 2024, Hochul paused the program, claiming the $15 charge was too steep. She later “un-paused” the initiative with a revised $9 fee for most drivers, and it officially launched in January.
It remains unclear if this latest attempt to suspend the program will completely terminate it.
Read DOT Secretary Sean Duffy’s letter
Stay tuned for updates on this developing story.
Ali Bauman
contributed to this report.
