News Summary
A federal judge has issued a temporary restraining order preventing the Trump administration from withholding federal funds for New York’s congestion pricing program. This order, effective until June 9, protects the planned $9 toll for drivers entering Midtown. Governor Kathy Hochul praised the ruling, which underscores the state’s right to manage its own traffic solutions. The congestion pricing initiative aims to reduce congestion while financing public transport projects, with early results showing increased subway ridership and decreased vehicle traffic.
New York – A federal judge in Manhattan, Lewis Liman, has issued a temporary restraining order that prevents the Trump administration from withholding federal funding for New York State in relation to its congestion pricing program. The ruling will be effective until 5 p.m. on June 9, ensuring that the federal government cannot obstruct the planned $9 toll for drivers entering Midtown and lower Manhattan.
This decision has been hailed as a significant victory for the state’s commuters. Governor Kathy Hochul remarked on the ruling’s positive implications, affirming the state’s authority to govern its own streets and maintain its congestion pricing initiative. The program was designed to reduce crowded traffic in New York City and finance various public transport projects, particularly benefiting the Metropolitan Transportation Authority (MTA).
The U.S. Department of Transportation (U.S. DOT) previously threatened New York with compliance actions due to its ongoing congestion toll. This raised alarms regarding potential funding cuts for highway projects within the state. Furthermore, a federal lawyer argued that the toll had not been properly authorized by the Biden administration and suggested that it could be revoked due to shifting governmental priorities.
The congestion pricing program, enacted in January 2025 under the 2019 Traffic Mobility Act, aims to decrease traffic congestion and provide funding estimated at $15 billion for MTA projects. It has reportedly led to a 6% increase in subway ridership and an 11% decrease in vehicle traffic since its initiation, demonstrating early positive outcomes for the initiative.
Judge Liman criticized the claims made by the federal government, warning that the assertion of a unilateral right to withdraw agreements could disrupt existing public works projects. Liman’s judgment highlights the need for collaboration rather than confrontation between federal and state governments regarding transportation funding and infrastructure management.
The legal showdown began after Secretary Duffy of the U.S. DOT publicly expressed the administration’s intent to halt federal funding in response to New York’s continuation of its congestion pricing. The agency had previously stipulated a compliance deadline of May 28, which was rendered moot by Liman’s order, effectively nullifying the federal government’s leverage in this matter.
Multiple attorneys represented the MTA in the court proceedings, advocating for the continuation of congestion pricing. The federal representatives faced challenges including staffing shortages and complications related to an internal memo, which indicated that their case was not as strong as needed to substantiate their claims against the state’s congestion pricing efforts.
The purpose of the congestion pricing system is to alleviate city traffic and provide substantial financial support for public transportation, with an emphasis on generating considerable revenue for the MTA. The ongoing legal challenges underscore the contentious relationship between federal and state authorities over transportation policy and funding mechanisms.
As the case continues to unfold, commuters and stakeholders in New York await further developments that could impact the future of congestion pricing and the funding of vital transportation initiatives across the state.
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