Latest news with #CBDTP
Yahoo
19-02-2025
- Business
- Yahoo
Congestion pricing approval pulled: When would the tolling end?
NEW YORK (PIX11) — The federal Department of Transportation terminated its approval of New York City's congestion pricing program on Wednesday. Secretary of Transportation Sean Duffy announced the move in a public letter to Gov. Kathy Hochul. More Congestion Pricing News 'The recent imposition of this CBDTP pilot project upon residents, businesses, and commuters left highway users without any free highway alternative,' the letter read. 'Moreover, the revenues generated under this pilot program are directed toward the transit system as opposed to the highways. I do not believe that this is a fair deal.' With the federal government pulling its approval, does that mean congestion pricing will end in Manhattan? It's unclear what, if any, immediate impacts there will be on daily tolling. According to Duffy's letter, officials from the federal government will work with New York's Department of Transportation to facilitate the 'orderly cessation of toll operations.' More: Latest News from Around the Tri-State However, the MTA swiftly took legal action against the Trump Administration to keep the congestion pricing program going. The MTA's court filing called the Trump administration's efforts 'unlawful' and said the court should declare the efforts 'null and void.' Sara Lind, co-executive director of Open Plans, pointed out that congestion pricing has already been upheld in several court battles. 'The program was passed into law through democratically legitimate mechanisms, courts have repeatedly upheld congestion pricing after legal challenges, and they will do so again now,' said Lind. More Local News Hochul also responded to the federal DOT's decision, promising, 'We'll see you in court.' Public transit is the lifeblood of New York City and critical to our economic future — as a New Yorker, like President Trump, knows very well. Since this first-in-the-nation program took effect last month, congestion has dropped dramatically and commuters are getting to work faster than ever. Broadway shows are selling out and foot traffic to local businesses is spiking. School buses are getting kids to class on time, and yellow cab trips increased by 10 percent. Transit ridership is up, drivers are having a better experience, and support for this program is growing every day. We are a nation of laws, not ruled by a king. The MTA has initiated legal proceedings in the Southern District of New York to preserve this critical program. We'll see you in court Gov. Kathy Hochul Dominique Jack is a digital content producer from Brooklyn with more than five years of experience covering news. She joined PIX11 in 2024. More of her work can be found here. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
19-02-2025
- Business
- Yahoo
Trump Administration Tells NYC to Shut Down Congestion Pricing
New York City's groundbreaking central business district congestion pricing plan went into effect just over a month ago, but the revenue-building, congestion-alleviating scheme may not be long for this world. Department of Transportation Secretary Sean Duffy, under the guidance of President Trump, has directed the federal transportation agency to cancel the special waiver allotted to the Empire State that enabled the city to charge motorists for entry. "New York State's congestion pricing plan is a slap in the face to working-class Americans and small business owners," said U.S. Transportation Secretary Sean P. Duffy on Wednesday. "Commuters using the highway system to enter New York City have already financed the construction and improvement of these highways through the payment of gas taxes and other taxes. But now the toll program leaves drivers without any free highway alternative, and instead, it takes more money from working people to pay for a transit system and not highways. It's backward and unfair." New York's congestion pricing had been in the works since 2019 and had endured a number of setbacks in its development, including an official pause from Governor Kathy Hochul back in June 2024 over affordability. However, the plan was finalized and un-paused in November 2024 after debates with city and state officials, labor unions, neighboring states, and industry lobbyists garnered a 40% cost reduction, lowering the standard toll from $15 to $9. Congestion pricing was officially implemented on January 5, 2025, As the first form of congestion pricing here in the U.S., it required special federal approval from the Department of Transportation under a program known as the Value Pricing Pilot Program (VPPP). This pilot program was meant to emulate the urbanism projects of European nations, specifically around alleviating snarled city traffic. The program was implemented to encourage value pricing pilot projects that manage congestion on highways through tolls, whether by a mile or by zone, and had a maximum of 15 slots available. Federal approval was required for state, regional, and local government agencies who applied, with New York being granted one of the first slots and making national history as the first city to employ such a program. However, the position of the current presidential administration is that New York's plan actually violates certain federal road rules, with a letter from Secretary Duffy calling it "cordon pricing." "First, CBDTP uses a method of tolling known as 'cordon pricing,' under which drivers who enter Manhattan south of 60th Street are charged tolls no matter what roads they no statute contemplates cordon pricing in a situation where tolls are inescapable, and FHWA has never before approved a VPPP program that uses cordon pricing or that does not provide a toll-free option," a letter from Secretary Duffy to Governor Hochul reads. "Second, the imposition of tolls under the CBDTP pilot project appears to be driven primarily by the need to raise revenue to the Metropolitan Transit Authority system as opposed to the need to reduce if improving the transit system may eventually affect roadway congestion, there is no indication that the tolls were set in order to achieve these attenuated effects." The letter from Secretary Duffy goes on to claim the program hurts small businesses in New York that rely on residents from out of state for sales. Additionally, the letter claims that congestion pricing impedes the flow of commerce into New York, potentially making goods more expensive for New Yorkers. Finally, Duffy asserted that New York "shouldn't be reserved for an elite few," a statement that both the MTA and Governor Hochul took problem with, given the revenue from the plan was allocated for mass transit. "Public transit is the lifeblood of New York City and critical to our economic future — as a New Yorker, like President Trump, knows very well," a statement from Governor Hochul reads. "We are a nation of laws, not ruled by a king. The MTA has initiated legal proceedings in the Southern District of New York to preserve this critical program. We'll see you in court." "Today, the MTA filed papers in federal court to ensure that the highly successful program—which has already dramatically reduced congestion, bringing reduced traffic and faster travel times, while increasing speeds for buses and emergency vehicles—will continue notwithstanding this baseless effort to snatch those benefits away from the millions of mass transit users, pedestrians and, especially, the drivers who come to the Manhattan Central Business District," a statement from MTA Chair Janno Lieber reads. "It's mystifying that after four years and 4,000 pages of federally-supervised environmental review—and barely three months after giving final approval to the Congestion Relief Program—USDOT would seek to totally reverse course." The Federal Highway Administration says it will work with project sponsors, including the MTA and Port Authority of New York and New Jersey, to terminate the tolls in an orderly fashion. In the meantime, the lawsuit filed by the MTA will likely hold this action up in court for some time. New Yorker's reception to congestion pricing has been mixed so far, but preliminary figures indicate that both congestion and pedestrian injuries decreased in the short life of the program so far. You Might Also Like You Need a Torque Wrench in Your Toolbox Tested: Best Car Interior Cleaners The Man Who Signs Every Car
Yahoo
19-02-2025
- Business
- Yahoo
Trump admin moves to block NYC congestion toll program
President Donald Trump's administration has moved to block the New York City congestion pricing toll program. U.S. Transportation Secretary Sean Duffy penned a letter informing New York Gov. Kathy Hochul on Wednesday that the Federal Highway Administration's (FHWA) approval of the pilot program was "not authorized by law." "New York State's congestion pricing plan is a slap in the face to working-class Americans and small business owners," Duffy also said in a statement obtained by Fox News Digital. "Commuters using the highway system to enter New York City have already financed the construction and improvement of these highways through the payment of gas taxes and other taxes. But now the toll program leaves drivers without any free highway alternative, and instead, takes more money from working people to pay for a transit system and not highways. It's backwards and unfair.""The program also hurts small businesses in New York that rely on customers from New Jersey and Connecticut," he added. "Finally, it impedes the flow of commerce into New York by increasing costs for trucks, which in turn could make goods more expensive for consumer[s]. Every American should be able to access New York City regardless of their economic means. It shouldn't be reserved for an elite few." Mta Board Approves Democrat Gov. Hochul's Massive Nyc Congestion Pricing Toll Reboot In his letter, Duffy explained the legal avenue the administration will take to stop the pilot program. The Federal Highway Administration and the New York State Department of Transportation (NYSDOT) entered into an agreement on Nov. 21, 2024, approving the Central Business District Tolling Program (CBDTP) under the Value Pricing Pilot Program (VPPP). Approved by Congress in 1991, VPPP is an exception to the general rule prohibiting tolling on highways as a pilot to test congestion reduction techniques. New York is one of 15 states authorized to implement the program. Read On The Fox News App Duffy's letter notes the "cordon pricing" method of tolling that charges tolls to drivers who enter Manhattan south of 60th Street under the program means drivers are charged no matter what roads they use and "provides no toll-free option for many drivers who want or need to travel by vehicle in this major urbanized area." "No statue contemplates cordon pricing in a situation where tolls are inescapable," Duffy wrote. Duffy also said the "imposition of tolls under the CBDTP pilot project appears to be driven primarily by the need to raise revenue for the Metropolitan Transit Authority (MTA) system as opposed to the need to reduce congestion." "I share the President's concerns about the impacts to working class Americans who now have an additional financial burden to account for in their daily lives," Duffy wrote. Citing legal challenges to the program and concerns expressed by New Jersey Gov. Phil Murphy and New Jersey Department of Transportation Commissioner Fran O'Connor, Duffy said that he reviewed the tolling authority granted under VPPP to the CBDTP pilot project for compliance under federal law and "concluded that the scope of this pilot project as approved exceeds the authority authorized by Congress under VPPP." "To be sure, the termination of the program may deprive the transit system of funding, but any reliance on that funding stream was not reasonable given that FHWA's approval was not authorized by law," Duffy wrote. "The FHWA will contact NYSDOT and its project sponsors to discuss the orderly cessation of toll operations under this terminated pilot project." Hochul Spurs Bipartisan Outrage Over Massive Toll Reboot As Dems Worry Trump Will Block It New York City councilman Bob Holden, a Democrat representing Queens, praised Trump, saying the president "kept his promise to New Yorkers by stopping the unfair congestion pricing scheme, a scam tax that was unjust from the very start." "This is a major victory for working- and middle-class families who were forced to shoulder another financial burden just to navigate their own city," Holden said. "New Yorkers deserve real solutions to traffic and transit issues—not another cash grab disguised as policy." A staunch critic of the program who sued over the pilot, Rep. Nicole Malliotakis, R-N.Y., thanked Trump and Duffy "for keeping their promise to examine and halt New York City's Congestion Pricing scheme." "As I've said from the beginning and reaffirmed in our lawsuit, this congestion tax was approved by the Biden Administration in violation of federal law, as the proper environmental studies required under the National Environmental Policy Act were never conducted," Malliotakis said in a statement obatined by Fox News Digital. "President Trump is a New Yorker who understands the negative impact this additional toll had on my constituents, local businesses and our city's economy." "Today's actions are a victory for hardworking, taxpaying commuters who have been unfairly burdened by this toll and we will continue to fight against such policies that treat New Yorkers like bottomless ATMs," she added. In response to Duffy's letter, Metropolitan Transportation Authority (MTA) Chair and CEO Janno Lieber announced that the MTA filed papers in federal court Wednesday "to ensure that the highly successful program – which has already dramatically reduced congestion, bringing reduced traffic and faster travel times, while increasing speeds for buses and emergency vehicles – will continue notwithstanding this baseless effort to snatch those benefits away from the millions of mass transit users, pedestrians and, especially, the drivers who come to the Manhattan Central Business District." "It's mystifying that after four years and 4,000 pages of federally-supervised environmental review – and barely three months after giving final approval to the Congestion Relief Program – USDOT would seek to totally reverse course," Lieber said. Click To Get The Fox News App Owner-Operator Independent Drivers Association President Todd Spencer said "the thousands of small business truckers who operate in New York City welcome USDOT's decision to rescind tolling authority for New York 's congestion pricing plan." "Truckers often have very little control over their schedules, so this congestion pricing plan is particularly problematic for owner-operators and independent drivers," Spencer told Fox News Digital. "We routinely have no other choice than to drive through metropolitan areas during periods of high congestion because of the rigidity of current federal hours of service requirements." He said "shippers and receivers generally have little regard for a driver's schedule, frequently requiring loading and unloading to occur at times when nearby roads are most congested," adding that "New York City's congestion pricing plan was anti-trucker to begin with and we will continue fighting to ensure it doesn't come back." "Beyond New York City, we encourage the Trump Administration and Congress to fight the expansion of tolling across the country," Spencer article source: Trump admin moves to block NYC congestion toll program
USA Today
19-02-2025
- Business
- USA Today
Trump administration moves to nix New York City's congestion pricing program
Hear this story The Trump administration on Wednesday moved to end the polarizing congestion pricing program in place in New York City. The U.S. Department of Transportation said in a news release Wednesday its Federal Highway Administration terminated approval of the pilot for New York's Central Business District Tolling Program, or CBDTP. In a letter to New York Gov. Kathy Hochul, the DOT said it rescinded a Nov. 21, 2024 agreement signed under the Value Pricing Pilot Program, or VPPP, that effectively ends tolling authority for New York City's cordon pricing plan, which imposes tolls on drivers entering Manhattan below 60th Street. The toll charged drivers entering Manhattan $9 from 5 a.m. to 9 p.m. on weekdays and between 9 a.m. and 9 p.m. on weekends. The plan aimed to discourage drivers from entering a highly congested area of the city with the intention of clearing pollution while also helping to raise $15 billion for the Metropolitan Transportation Authority. "New York State's congestion pricing plan is a slap in the face to working class Americans and small business owners,' said U.S. Transportation Secretary Sean P. Duffy in the news release. 'Commuters using the highway system to enter New York City have already financed the construction and improvement of these highways through the payment of gas taxes and other taxes," Duffy said. "But now the toll program leaves drivers without any free highway alternative, and instead, takes more money from working people to pay for a transit system and not highways. It's backwards and unfair." Gabe Hauari is a national trending news reporter at USA TODAY. You can follow him on X @GabeHauari or email him at Gdhauari@
