The Manhattan congestion tax, which was postponed with less than a month left until its implementation at the end of June this year, is being increasingly pressured by the New York State government to implement it within this year. This is because the implementation of the congestion tax has become uncertain since former President Donald Trump, who opposed the Manhattan congestion tax, won the presidential election and will be re-elected in January next year.
According to a Politico report on the 8th, the New York Governor’s Office recently asked the Department of Transportation whether another environmental impact assessment would be necessary if the congestion tax fare were lowered from the originally planned $15 to $9.
A director of the New York Metropolitan Transportation Authority (MTA) said, “Governor Hochul wants to lower the congestion tax from $15 to $9.” With just three weeks left until the original June 30th implementation date, Gov. Hochul abruptly announced a measure to indefinitely postpone the implementation date. At the time, Gov. Hochul’s decision was partly due to concerns that the opposition to the congestion tax in the suburbs of New York City would be strong and disadvantageous to the Democratic Party in the November election.
In the general election held on the 5th, the Democratic Party won 19 of the 26 seats in the New York State House of Representatives, three more than before. However, in the presidential election, Republican candidate Donald Trump won a landslide victory, making it unclear whether the congestion tax would be implemented. This is because Trump has pledged to repeal the Manhattan congestion tax as soon as he takes office if he is re-elected.
As a result, those in favor of the congestion tax are pressuring Gov. Hochul to implement the congestion tax before President-elect Trump takes office in January next year. The supporters of the congestion tax claim that “Governor Hochul must take immediate action. There is not much time left to implement the congestion tax.”
In relation to this, it appears that Governor Hochul is considering lowering the congestion tax rate to $9 and implementing it within the year. In 2023, the MTA submitted an environmental impact assessment report to the federal government, which specified a fare range of $9 to $23, and received approval. It is believed that Governor Hochul hopes that the Biden administration will allow it without further procedures, since lowering the toll to $9 will meet the proposed fare range in the already approved environmental impact assessment report.
On the 6th, Governor Hochul did not give specific details but stated that “I discussed the congestion tax with the White House” and “I will reveal a specific plan by the end of the year.” The supporters of the congestion tax claim that if Governor Hochul decides and implements it, it will be difficult for President-elect Trump to repeal it after he takes office. However, there is also a view that legal obstacles remain, as a lawsuit opposing the implementation of the congestion charge is still pending in the Federal Court for the District of New Jersey.