NJ, NY lawmakers team to fight congestion pricing

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At a Jan. 19 press conference in Fort Lee, U.S. Reps. Josh Gottheimer, D-5th District, N.J., and Mike Lawler, R-17th District, N.Y., joined together to announce new bipartisan legislation to fight back against the Empire State’s proposed congestion pricing.

The Anti-Congestion Tax Act, which was introduced by Gottheimer and co-sponsored by Lawler as well as U.S. Rep. Jeff Van Drew, R-2nd District, N.J., takes aim at federal funding for the Metropolitan Transportation Authority (MTA).

The legislation would prohibit the U.S. Department of Transportation from awarding any new Capital Investment Grants to MTA projects in New York until drivers from all New Jersey and New York crossings into Manhattan receive exemptions from any congestion tax. And it would amend the U.S. tax code to offer commuters a federal tax credit at the end of the year equal to the amount they paid in a congestion tax, which bill sponsors say would protect both New Jersey and New York drivers.

Congestion pricing has been a thorny subject for motorists in both states who could face extra costs up to $23 a day to drive into Manhattan south of 60th Street.

The bill sponsors say that the MTA received $15 billion in federal COVID dollars and receives nearly $2 billion annually from the federal government but still runs a massive budget deficit because of mismanagement and lax enforcement of fare collection.

“New York City and the MTA are playing Russian roulette with their economy, and are willing to stick it to all of those hard-working commuters from Jersey, the outer boroughs, and the New York City suburbs, like my friend Congressman Lawler represents, with their absurd $23 a day congestion tax plan,” said Gottheimer. “A plan that, by the MTA’s own admission, won’t reduce congestion or pollution – in fact, it will increase both, including right here in Fort Lee, and as the MTA put it, will disproportionately impact low-income drivers.”

Lawler said commuters from his district have gotten the short end of the stick for too long and described congestion pricing as a ludicrous tax grab by the country’s most mismanaged authority, which needs to be stopped dead in its tracks.

“Today, I’m proud to stand with Congressman Gottheimer as we reintroduce this bipartisan piece of legislation to prevent the MTA from taking any more money out of the pockets of commuters who have no choice but to travel by car,” said Lawler. “Billions of dollars of waste, fraud, and abuse exists at the MTA. Where did that money go? Until they get their house in order and stop the cash grab, they shouldn’t get another dime in capital grant money.”

“Just read MTA spelled backwards and it tells you exactly how the MTA looks at New Jersey, outer borough, and other suburban New York drivers right now: as their personal ATM,” said Gottheimer. “Enough is enough.”

‘It has no effect on me’

“Surely from his time in Albany Congressman Lawler is aware that congestion pricing is established New York State law,” John McCarthy, MTA chief, External Relations, told NJBIZ in a statement. “Anyone serious about the environment and reducing gridlock understands that congestion pricing is good for the environment, good for getting fire trucks, buses and delivery vehicles through the city, and good for the 90% of people who depend on mass transit.”

At a Jan. 19 media event, New York Gov. Kathy Hochul was asked about the legislation, and said it would not prevent her state from moving congestion pricing forward.

“We’re not deterred by people holding press conferences, I assure you, regardless of what happens in the House of Representatives that would have to get through the United States Senate with Majority Leader Chuck Schumer,” said Hochul. “So, we believe in congestion pricing, number one, to protect our environment. It’s critical. And secondly, the congestion that we are experiencing in places like Manhattan are not sustainable. It becomes paralyzing, whether it’s emergency vehicles or delivery trucks or the people who live there.”

She added that it is also a source of funding to continue investing in the MTA, which she described as the lifeblood of the New York City region.

“So, we’re moving forward. It’s going through the legal process, but also their outreach to communities and listening to all the voices,” said Hochul. “But we’re not deterred by the sideshows that may or not be happening.”

When pressed on a realistic date about when congestion pricing may take effect, Hochul did not have a specific timeline, saying that the process is in the community involvement stage, that she is committed to moving forward, and that it is happening.

“I’m not deterred,” said Hochul. “They can do all the press conferences they want. It has no effect on me.”

Following an unrelated event Thursday in Union, Gov. Phil Murphy was asked about the congestion pricing issue, as well as the announced legislation and Hochul’s response.

Murphy said he is not opposed to mitigating pollution, congestion and climate change.

“But I cannot, number one, allow a plan to go into place that double taxes our commuters,” said Murphy. “And secondly, there’s a time and place for something like this. And sadly, because a lot of foot dragging that occurred before we got here, we don’t have the extra tunnels under the Hudson. We don’t have a state-of-the-art Port Authority Bus Terminal. All of that is going to happen. At long last, everything is moving.”

The governor added that in the current reality, a more reasonable middle ground would be to have the Biden Administration do an environmental impact study, which Murphy says would essentially be a timeout.

“Let’s get everybody at the table,” said Murphy. “If we’re going to do this, let’s do it right, in the right time and the right treatment of folks.”