Manhattan congestion pricing plan approved, could cost drivers up to $34.50

The Metropolitan Transportation Authority has received final federal approval for its congestion pricing plan that would charge tolls to motorists driving below 60th Street in Manhattan.

The Federal Highway Administration confirmed on Monday that, after an analysis of the plan and a review of public comments, it had determined the plan would cause no adverse environmental impact for the region.

The plan, the first of its kind in the country, is intended to reduce congestion in Manhattan's central business district. It could take effect as early as April. The plan would charge cars with an E-ZPass up to $24 for driving below 60th Street during peak hours. Those without an E-ZPass could face tolls of up to $34.50.

In 2019, the MTA awarded a $507 million contract for the design, construction, operation and maintenance of the new tolling system.

A six-member Traffic Mobility Review Board, which includes a Long Island representative — John Durso, president of the Long Island Federation of Labor — is expected to hold public meetings before making recommendations on toll amounts. Most drivers could pay between $9 and $24.

The MTA, which declined to comment Monday, is seeking to raise $1 billion a year in new revenue. The money will be dedicated to the agency's capital program, which funds infrastructure improvements throughout the transit agency, including the Long Island Rail Road, which stands to get 10% of the new toll money.

Gov. Kathy Hochul applauded the decision.

“Congestion pricing will reduce traffic in our crowded downtown, improve air quality and provide critical resources to the MTA," Hochul said in a statement. "I am proud of the thorough environmental assessment process we conducted, including responding to thousands of comments from community members from across the region. With the green light from the federal government, we look forward to moving ahead with the implementation of this program.” 

Last month, the MTA issued its final environmental assessment of the plan, which was approved by Albany lawmakers in 2019 and has been heavily criticized by some Long Island lawmakers, who argue it will make driving into the city, including for work, school and appointments, too expensive.

The MTA said it will offer discounts to low-income New Yorkers earning $50,000 or less per year, or receiving government subsidies. They would pay 25% less than the regular toll rate for the first 10 trips made every month. The discount program would expire in five years.

The agency has said it also wants to discount tolls during overnight hours by at least 50%, and possibly lift them altogether. To make the tolls free between midnight and 6 a.m. and still hit its annual revenue goal, the MTA would have to charge at least $13.20 during peak hours.

"Now begins the hard part for the MTA and the Traffic Review Mobility Board: developing a program that limits exemptions and offers appropriate credits so everyone pays a similar price to drive into Manhattan’s core," said Tom Wright, president and chief executive of Regional Plan Association, a nonprofit planning organization.

 "With the right credits," Wright added, the "congestion pricing program can be implemented in a way that eliminates toll shopping and benefits both New York and New Jersey.”

With Alfonso A. Castillo

By Robert Brodsky

robert.brodsky@newsday.com@BrodskyRobert

Robert Brodsky is a breaking news reporter who has worked at Newsday since 2011. He is a Queens College and American University alum.