NYC Congestion Toll Faces Legal Battle as Launch Date Nears
New York City’s groundbreaking congestion toll plan, set to begin Sunday, is facing a last-minute legal challenge from neighboring New Jersey. The toll aims to reduce traffic and pollution in Manhattan’s central business district while generating significant revenue for public transportation improvements. However, this plan has sparked fierce opposition, with billions of dollars and the future of the program at stake.
New Jersey’s Fight to Halt the Toll
On Friday, New Jersey is heading to federal court in Newark, asking a judge to delay the toll’s launch. The state argues that the plan would increase traffic and emissions on New Jersey highways and bridges as drivers try to avoid the fees. This follows an earlier court ruling requiring more details from the Federal Highway Administration (FHWA) about its environmental review of the program.
Despite rejecting most of New Jersey’s claims earlier this week, Judge Leo Gordon has yet to decide whether the program’s January 5 start date should be postponed. New Jersey hopes to secure an emergency order freezing the plan until the judge reviews the FHWA’s additional information.
How the Toll Works
The congestion pricing program, the first of its kind in the U.S., will charge most drivers $9 to enter Manhattan below 60th Street. The toll aims to generate $15 billion for the Metropolitan Transportation Authority (MTA) to modernize its aging subway, bus, and commuter rail systems. It also seeks to alleviate traffic congestion and reduce vehicle emissions in the city.
Federal and State Arguments
The U.S. Justice Department, representing the FHWA, argues that New Jersey is improperly trying to revisit previously settled issues. It claims the potential traffic increases in some New Jersey communities are minor and don’t justify halting the program.
The MTA has criticized New Jersey’s last-minute attempt to block the toll, stating that the state’s delay in raising new concerns undermines its case.
Opposition to the Plan
The congestion pricing initiative has faced significant backlash from commuters, environmental groups, and political figures. President-elect Donald Trump has labeled it a “massive business killer” and pledged to stop it. Meanwhile, the Long Island town of Hempstead has also filed a lawsuit, accusing New York Governor Kathy Hochul of rushing the program’s implementation before Trump takes office.
What’s at Stake?
The MTA has already faced financial setbacks due to the uncertainty surrounding the toll. In 2024, it allocated just $2.9 billion for capital projects, a sharp drop from the $12 billion planned before legal challenges arose. A favorable court ruling could help the agency resume critical upgrades.
Looking Ahead
With the program’s launch imminent, the outcome of Friday’s hearing could determine whether the toll starts as planned or faces further delays. If implemented, it could serve as a model for other cities grappling with urban congestion and aging infrastructure.
The case, New Jersey v. US Department of Transportation, remains under review in the U.S. District Court for the District of New Jersey.
