What you need to know about congestion pricing

Riders Alliance Executive Director Betsy Plum with Governor Kathy Hochul to commemorate the MTA Board’s vote to approve recommended congestion pricing rules. Union Square, December 5, 2023

The story of congestion pricing is far older than Riders Alliance itself, with the concept being first introduced to NYC in 1971 in an effort to reign in the gridlock traffic that has plagued the city’s urban core since the mass adoption of the automobile.

Decades later, after years of fighting alongside a broad coalition of riders and advocates for a plan to #FixTheSubway with expanded, fully accessible service, Riders Alliance helped to win the 2019 Transit Mobility Act, which mandated the creation of New York’s congestion pricing program. And, with the approval of the MTA Board, millions of New Yorkers (and New Jerseyans!) will soon be reaping the benefits of reduced congestion and a new $15B revenue source going directly to making our transit network more accessible and reliable.

Some specific examples of what transit riders stand to gain from the revenues generated by congestion pricing:

  • New, modernized subway signals that are necessary to increase frequency (see 7 train frequency improvements)

  • New elevators and escalators, making dozens of subway stations newly accessible

  • Expanded transit service with dedicated funding for the Second Avenue Subway Phase 2 and 4 new Metro-North stations in the Bronx.

  • A new fleet of all-electric buses and 1,900 new subway cars

The Proposed Tolling Rules

At base, the proposed rules include a $15, once-a-day toll for personal vehicles entering the Central Business District (or the CBD, lower Manhattan south of 60th Street) and $24-$36 for commercial trucks (depending on size) and non-transit/commuter buses. There are several important exemptions and discounts included in the plan to help mitigate the costs incurred by on some people driving into the CBD. These are the key details, including exemptions:

  • The base tolls will be in effect from 5am-9pm on weekdays and 9am-9pm on weekends. Outside of those hours, the toll will be reduced by 75%.

  • People earning less than $60,000 who live in the CBD will receive a New York State tax credit equal to the amount paid in tolls, effectively exempting them.

  • Low-income commuters entering the CBD (earning less than $50,000) will receive a 50% discount after their 10th trip in a calendar month.

  • Vehicles with government-issued disability license plates are exempt, but there there are no additional discounts or exemptions for people with disabilities or for those going to medical appointments within the CBD.

  • There will be a $1.25 charge tacked onto each taxi trip entering the CBD, and a $2.50 charge on for-hire vehicle trips.

What’s Next?

After a final round of public hearings and a vote in March, we can look ahead to the start of revenue operation as soon as Spring 2024 (given the frivolous legal drama being spurred by certain NJ elected officials is resolved before it can interrupt the implementation process).

But, for now, there’s plenty to celebrate as we move a step closer to the future of NYC transit and a history-making moment whose impact will be seen and felt for decades to come.

We’re holding a virtual congestion pricing teach-in event on Tuesday, December 19 from 6pm-7:30pm. Join us for an open discussion where we’ll go over the specifics of the proposed rules and offer space to share any thoughts or questions we may have.


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