Trump Administration revokes controversial toll created to 'relieve' congestion in New York: 'It's backwards and unfair'

"Every American should be able to access New York City regardless of their economic means. It shouldn’t be reserved for an elite few," said Transportation Secretary Sean Duffy.

US Transportation Secretary Sean Duffy.Roberto Schmidt / AFP

Published by

Sabrina Martin

February 19, 2025

2 minutes read

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The US Department of Transportation announced Wednesday the cancellation of the congestion pricing program in New York City, previously approved under the Biden administration. The decision was communicated to Gov. Kathy Hochul through a letter from Transportation Secretary Sean Duffy.

Duffy characterized the program as "backward and unfair," arguing that drivers already contribute to road maintenance through gas taxes and other tributes. According to the secretary, the measure would disproportionately affect workers and small business owners who depend on vehicular access to the city.

"New York State’s congestion pricing plan is a slap in the face to working class Americans and small business owners," Duffy stated, further highlighting that tolls could increase the costs of transporting goods and make products more expensive for consumers.

The letter sent to Hochul lays out two key reasons for the repeal. First, the plan is unprecedented in its scope and offers no free alternatives for drivers. Second, tolling was designed primarily to raise funds for public transportation rather than reduce congestion, which contradicts the purpose ofthe Value Pricing Pilot Program (VPPP), which only allows tolls for traffic mitigation purposes.

"Every American should be able to access New York City regardless of their economic means. It shouldn’t be reserved for an elite few," Duffy added.

The statement also noted that the Federal Highway Administration will work with project officials to ensure an orderly end to tolling.

What is congestion pricing?

Congestion pricing is a toll applied to vehicles entering certain high-density areas. In New York, the approved plan sought to impose a toll on cars entering Manhattan below 60th Street, and was proposed as a supposed strategy to reduce traffic and fund public transportation improvements, with a revenue goal of billions of dollars. Initially, the charge was to be $15, but Hochul reduced it to $9 after criticism of its economic impact on citizens and merchants.

MTA response and Trump's reaction

In response, the Metropolitan Transportation Authority (MTA) filed a federal lawsuit in an attempt to reverse the decision, arguing that toll revenues were critical to fund transportation system infrastructure projects.

Donald Trump celebrated the cancellation on Truth Social: "Congestion pricing is dead. Manhattan and all of New York is saved." Earlier, the former president had promised to eliminate the plan.