NYC congestion pricing set to start as planned Sunday after ruling in final lawsuit

NYC congestion pricing set to start as planned Sunday after ruling in final lawsuit


Cars pass under toll machines on Broadway Avenue in the Manhattan borough of New York City on November 14, 2024. 

Charly Triballeau | AFP | Getty Images

With just days to go before the nation’s first congestion toll begins in New York City, the pricing plan may have passed its final hurdle in a ruling from a U.S. district court who heard a suit from the state of New Jersey on environmental grounds, according to the MTA. But an attorney for the state of New Jersey says not so fast.

While the judge ruled the Federal Highway Administration (FHWA) will need to weigh in, the MTA tells NBC New York it has the green light to proceed with the start of congestion pricing this weekend saying the judge’s questions with the plan do not rise to the level of an injunction.

New York’s congestion pricing law is set to begin seconds past midnight on Jan. 5th. Under the congestion pricing plan, cars would pay a peak fee of $9 from 5 a.m. to 9 p.m. on weekdays and 9 a.m. to 9 p.m. on weekends. Off-peak would be a 75% discount — $2.25. 

The lawsuit from New Jersey was for tens of millions of dollars, predicting environmental harm if traffic gets worse on the other side of the river.

The judge’s ruling came in a 72-page decision issued Monday evening.

“We’re gratified that on virtually every issue, Judge Gordon agreed with the New York federal court and rejected New Jersey’s claim that the Environmental Assessment approved 18 months ago was deficient,” MTA Chair and CEO Janno Lieber said in a statement. Most important, the decision does not interfere with the program’s scheduled implementation this coming Sunday, January 5.”

In the decision, the judge said because of the questions for the federal government, “this matter is remanded to the FHWA until January 17, 2025 for the FHWA to take actions in conformity with this Opinion.”

For the state of New Jersey, that’s enough to hold off on starting congestion pricing, despite how the MTA is reading the ruling.

“We welcome the court’s ruling today in the congestion pricing lawsuit. Because of New Jersey’s litigation, the judge has ordered a remand, and the MTA therefore cannot proceed with implementing the current congestion pricing proposal on January 5, 2025,” said attorney Randy Mastro, who represents New Jersey.

Mastro said New Jersey remains “firmly opposed” to implementation of congestion pricing.

In response to New Jersey’s lawsuit, New York Gov. Kathy Hochul has said she offered money to settle it — but no deal was reached.

“We’ve made multiple offers to settle this lawsuit, very generous offers,” Hochul said previously.

After the ruling, Hochul said congestion pricing will start this weekend as planned.

“Despite the best efforts of the State of New Jersey trying to thwart New York’s ability to reduce congestion on our streets while making long-overdue investments in public transit, our position has prevailed in court on nearly every issue. This is a massive win for commuters in both New York and New Jersey,” the governor of New York said in a statement.

The MTA has predicted there would be 10% fewer cars and trucks after the toll begins.

MTA executives have promised that billions of dollars raised by congestion pricing will pay to modernize the system all across the region. 

A week before the New Jersey ruling, a federal judge in New York denied a different suit trying to pause the start of congestion pricing.

Responding to a lawsuit from the United Federation of Teachers, the Trucking Association of New York and Manhattan residents, Judge Lewis Liman issued a 111-page ruling in that case denying a request for a temporary injunction. 

“Plaintiffs fail to establish a likelihood of success on the merits for any claim,” the judge wrote in his conclusion.



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