Congestion Pricing in New York City: What You Need to Know
What is Congestion Pricing?
It’s a mandate through the state legislature’s 2019 MTA Reform and Traffic Mobility Act to raise billions of dollars for transit upgrades while reducing vehicle use in the most gridlocked parts of the city by charging motorists a toll to enter Manhattan’s "Central Business District."
Where is Congestion Pricing Happening?
The Congestion Relief Zone starts at 60th Street and extends south, including all local streets and avenues. It does not include the FDR Drive, the West Side Highway/Route 9A or the connections to the Hugh L. Carey Tunnel at the southern tip of Manhattan.
When Will the System Turn On and How?
On Sunday, January 5, tolling infrastructure — including license plate readers and cameras at gateways to the CBD — should begin detecting when motorists enter the central business district and charging once-daily tolls.
What Will Motorists Have to Pay During the Day?
The price varies by vehicle class and time of day. During the peak hours — 5 a.m. to 9 p.m. on weekdays; 9 a.m. to 9 p.m. on weekends — the planned rates are:
- Passenger vehicles: $9
- Motorcycles: $4.50
- Small trucks and non-commuter buses: $14.40
- Large trucks and sightseeing buses: $21.60
What Will the Tolls Be at Night?
During off-peak hours (9 p.m. to 5 a.m. on weekdays and 9 p.m. to 9 a.m. on weekends) tolls will carry a 75% reduction from what is charged during earlier hours. So, the $9 toll for passenger vehicles, for example, would be $2.25.
How Will This Affect Cab Drivers and App-Based Drivers?
Traditional taxis and black livery cars will pay a per-ride fee of $0.75 for "all trips to, from or within the CBD." App-based for-hire cars like those working for Uber and Lyft will pay double that, with a $1.50 congestion charge in the zone.
Who Is Exempt from the Fee? How Do I Apply to Have Reduced Tolls on Day One?
Exemptions include:
- A discount for drivers who earn no more than $50,000 a year in federally adjusted gross income. Here’s how to apply.
- An exemption for people who have disabilities or conditions that prevent them from using public transit. Here’s how to apply.
- An exemption for organizations who drive people with disabilities. Here’s how to apply.
- Emergency vehicles as defined by state law.
- School buses, commuter buses, and TLC-licensed vans.
- Publicly owned vehicles "specifically designed to perform public works other than general transportation," according to the MTA.
The Governor Said Tolling Rates May Change Over Time. How Will That Work?
Director of State Operations Kathy Garcia on Thursday said the governor does not want the rates to go up for "at least three years." But officials have also said that they will be closely monitoring the results of the program from day one and make changes accordingly.
How Will the Toll Be Recorded? Do I Have to Have an E-ZPass?
Tolls will be paid similarly to how many tolls in the city and region are handled: by E-ZPass. License-plate readers will track those without E-ZPass and send them a toll by snail mail later, the MTA has said.
How Much Will This Reduce Traffic, Really?
While the $15 tolling plan estimated a 15-17% drop in street traffic within the congestion zone, the new plan at $9 is estimated to bring down traffic by only 13%. That’s still a significant change, bringing an average of 100,000 fewer cars into central and downtown Manhattan every day.
How Many Commuters Enter the Central Business District Daily — and by What Modes of Transportation?
According to a Final Environmental Assessment from April 2023, 1.2 million people travel daily into the Central Business District from across the region. An estimated 90% of those commuters travel into Manhattan by mass transit, with drivers making up about 6 to 10%.
How Much Money Will This Bring In, Really?
Hochul and her budget team have repeatedly insisted that the tolling system will bring in the same amount of money that congestion pricing always intended to bring in: $15 billion in funding for the MTA’s 2020 to 2024 Capital Program.
Could the New President Just Shut This Off After He Takes Office in January?
That remains to be seen. President-elect Donald Trump is notorious for operating outside the bounds of political norms, and has said explicitly that he will do everything he can to nix congestion pricing — perhaps as soon as his first week in office.
What Is the MTA Doing to Accommodate New Transit Riders Who Opt Out of Driving?
As she unveiled the new congestion plan, Hochul ordered the MTA to boost the frequency of bus service on 23 routes outside of Manhattan. The MTA notes it has also previously increased weekday and weekend frequency on many subway lines.
Could More Court Cases Be Coming as a Result of Congestion Pricing’s Revival?
Yes. There are already multiple lawsuits tied to the vehicle-tolling plan — from across the Hudson River, from the teachers union, and over the June pause — and more appear likely.
Conclusion
Congestion pricing is set to launch in New York City, with tolls starting at $9 during peak hours and decreasing at night. The program aims to reduce traffic and raise billions of dollars for transit upgrades. While there are exemptions and discounts available, many drivers will need to pay the toll. The MTA is also planning to increase bus service and improve subway signals to accommodate new transit riders.
Frequently Asked Questions
Q: What is congestion pricing?
A: It’s a mandate to raise billions of dollars for transit upgrades while reducing vehicle use in the most gridlocked parts of the city by charging motorists a toll to enter Manhattan’s "Central Business District."
Q: Where is congestion pricing happening?
A: The Congestion Relief Zone starts at 60th Street and extends south, including all local streets and avenues.
Q: When will the system turn on and how?
A: On Sunday, January 5, tolling infrastructure will begin detecting when motorists enter the central business district and charging once-daily tolls.
Q: Who is exempt from the fee?
A: Exemptions include a discount for drivers who earn no more than $50,000 a year in federally adjusted gross income, people with disabilities, organizations who drive people with disabilities, emergency vehicles, school buses, commuter buses, and TLC-licensed vans.
Q: How will the toll be recorded?
A: Tolls will be paid by E-ZPass, with license-plate readers tracking those without E-ZPass and sending them a toll by snail mail later.
