#MobilityMonday: Angering many and impeding public transit funding, NYC congestion pricing scheme axed at the last minute
Almost exactly a year ago, I wrote about NYC getting federal approval for the congestion pricing plan (see https://bit.ly/3Xi9xqu). Eleven months later, New York State Executive Chamber Governor Kathy Hochul unexpectedly announced the indefinite suspension of the Congestion Relief Zone (CRZ), which was planned to go into on June 30. Suddenly, the title of the first American city to implement congestion pricing remains up for grabs.
Proponents of the CRZ hailed its potential for tackling air pollution and carbon emissions, relieving traffic, and providing a significant revenue stream for the Metropolitan Transportation Authority, the city’s undercapitalized and beleaguered public transit system. The MTA had already earmarked $15B from expected CRZ funds and now has left dozens of rail and bus projects across all five boroughs without any financial backing (see https://lnkd.in/dmZaUvmh). With over 700k vehicles entering the Manhattan Central Business District each day, the economic ramifications of the CRZ — and, now, the lack thereof — are massive (see https://lnkd.in/dNf5v5dp).
Despite championing the scheme herself, Hochul now argues that the plan would harm the city’s post-pandemic economic recovery and unfairly burden low-income residents. However, critics have argued that the decision was political in nature: “an election year ploy to help Democrats in suburban districts where congestion pricing is notably unpopular” (see https://bit.ly/45fSN5h).
At a time when Hochul is polling at her lowest favorability rating since taking office in 2021, it’s hard not to wonder the extent to which this decision was politically motivated. Admittedly, the same polling indicates that a majority of NYC-area residents oppose the CRZ (see https://bit.ly/4b4ygC4). Though Hochul isn’t up for election until 2026, national politics is still top-of-mind, as no less than 7 NY seats in the 2024 House elections are considered “competitive races” (see https://bit.ly/3KyCs25).
Now, the city’s underfunded public transit woes are set to continue. One analysis by the Regional Plan Association notes that 56% of outer-borough NYC residents rely on public transportation to get into Manhattan for work — 14x more than the 4% who drive. Despite Hochul’s assertions, only 2% of those classified as working poor would potentially pay the congestion charge (see https://bit.ly/4aR9u8l).
All this symbolizes a more troubling trend: how net-positive mobility schemes are being hijacked for political purposes. The EV transition, micromobility incentives, curb space reallocation, and yes, congestion pricing, will each produce winners and losers in the market. But in the end, most would agree that the long-term environmental, societal, and economic benefits are worth it.
#congestionpricing #NYC #NewYork #Hochul #MTA #publictransit
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