Federal Approval Clears Way for NYC $9 Congestion Toll in January

New York City's first-in-the-nation congestion pricing plan aims to reduce traffic, improve air quality, and fund mass transit upgrades.

The Federal Highway Administration has approved New York City's plan to impose a $9 toll for vehicles entering Manhattan below 60th Street, set to begin on January 5, 2025.
The toll, which will gradually increase to $15 by 2031, is expected to reduce traffic congestion by 13% and generate $15 billion for mass transit improvements, including subway upgrades and electric buses.
Governor Kathy Hochul revived the plan with a reduced toll rate after pausing it earlier this year, citing affordability concerns over the original $15 proposal.
The plan faces legal challenges, with several lawsuits filed by groups and municipalities arguing it is unfair and unconstitutional, and a court hearing is scheduled for December 20.
President-elect Donald Trump has vowed to terminate the program, raising urgency for implementation before his inauguration in January.