MTA approval moves congestion pricing plan to public comment (updated)

Matthew Fazelpoor//December 6, 2023//

New York City traffic and pedestrians

New York City traffic and pedestrians - CANVA

New York City traffic and pedestrians

New York City traffic and pedestrians - CANVA

MTA approval moves congestion pricing plan to public comment (updated)

Matthew Fazelpoor//December 6, 2023//

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New York’s controversial plan continued its forward momentum Dec. 6 when the Metropolitan Transportation Authority (MTA) board voted to approve the pricing structure and advance the scheme to its next step, a 60-day public comment period.

The vote followed last week’s report by the Traffic Mobility Review Board (TMRB), which recommended a plan that would include a $15 toll for passenger vehicles to enter the area south of 60th Street in Manhattan.

As NJBIZ has extensively reported, the recommendations set off a firestorm here on the New Jersey side of the Hudson River – with strong statements of opposition and the threat of more litigation from Gov. Phil Murphy and other leaders and stakeholders.

MTA officials say the rate making process for the tolls will include an open process. Wednesday’s vote approving those TMRB recommendations initiates the public review of the plan. Hearings are planned for February 2024, followed by a review of the input by the organization’s board, and then a decision on scheduling a vote whether to authorize and adopt a tolling schedule.

“This kicks off the state’s toll-making process and brings us one step closer to making congestion pricing a reality,” the MTA wrote in a post on social media site X following the approval. “Congestion pricing will improve quality of life for the region. Fewer cars in the Central Business District means cleaner air, less traffic, safer streets, and better transit. We’re committed to getting this right and building a more sustainable future.”

“Congestion pricing means cleaner air, better transit and less gridlock on New York City’s streets and today’s vote by the MTA Board is a critical step forward,” said New York Gov. Kathy Hochul in a statement. “The proposal approved today heeds my call to lower the toll rate by nearly 35% from the maximum rate originally considered. This initiative will make New York City a global leader in transportation policy, and I’m grateful for the work of the Traffic Mobility Review Board to bring us to this milestone.”

Murphy did not weigh in on Wednesday’s vote with a new statement. However, his office pointed to remarks  from last week, as NJBIZ reported, reiterating his opposition to the current recommended structure, saying it was underwhelming.

New York City's congestion pricing plan "is doing two things – it's displacing pollution from Manhattan to Northern Jersey, particularly in and around the George Washington Bridge,” Gov. Phil Murphy said Nov. 30, 2023, during an unrelated event in North Bergen. “And it is ripping off New Jersey commuters to pay for whatever financial failings the MTA has. We are considering all of our options, including further legal action.”
New York City’s congestion pricing plan “is doing two things – it’s displacing pollution from Manhattan to northern Jersey, particularly in and around the George Washington Bridge,” Gov. Phil Murphy said Nov. 30, 2023, during an unrelated event in North Bergen. “And it is ripping off New Jersey commuters to pay for whatever financial failings the MTA has. We are considering all of our options, including further legal action.” – MATTHEW FAZELPOOR

“We are considering our options. The fact that the George Washington Bridge, in some form, was not included,” Murphy told reporters following the Gateway groundbreaking in North Bergen. “This is doing two things: it’s displacing pollution from Manhattan to northern Jersey, particularly in and around the George Washington Bridge. And it is ripping off New Jersey commuters to pay for whatever financial failings the MTA has. We are considering all of our options, including further legal action.”

U.S. Rep Josh Gottheimer, D-5th District, a longtime critic of the MTA and congestion pricing, slammed the approval and questioned some potential hidden fees and costs.

“It’s hard to believe, but today New York and the MTA actually increased the congestion tax pricing that they announced just a few days ago. The mismanaged MTA’s commuter-crushing congestion tax is worse than we originally thought,” Gottheimer said in a statement.

“At a minimum, it will cost $15/day or $4,000/year to commute over the GWB,” he continued. “Now, for the new additional hidden fees, which is the number I’ll be using going forward: NO E-ZPASS: $22.50/day, or more than $5,000/year to go over the GWB. New ‘Gridlock Alert Days’ – which are up to New York’s discretion: add 25% to prices. That’s $28/day and more than $7,000/year at the GWB. And an ability to increase the congestion tax 10% in 2024.”

Gottheimer said that the bottom line is that if you plan to take the GWB into the city next year, get ready to pay $40 in congestion pricing – in addition to the existing tolls, gas and parking prices. The congressman blasted congestion pricing as a money grab for the MTA to plug budget holes and rescue it from mismanagement.

“The MTA lost $700 million last year alone to people who didn’t pay to ride – fare skippers,” said Gottheimer. “The MTA is a hot mess and just desperate for cash.”

On Sept. 18, U.S. Rep. Mikie Sherrill, D-11th District, announced the American Jobs and Competition Plan — a legislative package aimed at strengthening economic and national security amid increased competition and aggression from the Chinese Communist Party.
U.S. Rep. Mikie Sherrill, D-11th District, shown at an unrelated event Sept. 18, is another strong opponent of New York’s congestion pricing plan. – OFFICE OF CONGRESSWOMAN MIKIE SHERRILL

Another strong opponent of the controversial plan here in Jersey, U.S. Rep. Mikie Sherrill, D-11th District, said it was deeply frustrating to see the MTA approve what she describes as an “unfair cash grab that will cost New Jersey commuters thousands of dollars extra a year to get to work.”

“New York is forcing this tax on our state without any input from NJ leaders and without a cent going to New Jersey’s public transportation system, which will harm our ability to reduce car traffic and improve air quality,” Sherrill said in a statement. “The lawsuit filed by New Jersey is ongoing and it is my hope it stops this plan from moving forward.”

But the MTA has a much different take – describing Wednesday’s vote as a big day and officials saying they will continue pressing forward with their plan.

“People have been talking about congestion pricing for generations – going back to the late ‘60s,” said MTA Chair and CEO Janno Lieber in a statement. “We have a plan, produced by an incredibly thoughtful TMRB, that achieves our big goals – keeping the toll low, providing big night and weekend discounts and also discounts and exemptions for the folks who really need to drive. Process-wise, we have a ways to go but we have already done 25+ public meetings and hearings, responded to 70,000 comments, so we’re determined to keep moving forward to implementation.”

The MTA says – following this review process and eventual vote to authorize adoption of a pricing plan – that toll collection is anticipated to commence in late spring.

Editor’s note: This story was updated at 11:20 a.m. ET Dec. 7, 2023, to include statements from U.S. Rep. Mikie Sherrill and MTA Chair and CEO Janno Lieber.