NYC Congestion Toll Hike: A $11.25 'Surge Pricing' Tax?

Starting next year, the new $9 congestion toll to enter Midtown Manhattan could spike by 25% to $11.25 on days with extreme traffic, according to a recent report. This potential increase, described as a "surge pricing" model similar to ride-sharing apps, is included in the revised congestion pricing plan.

<img src="https://nypost.com/wp-content/uploads/sites/2/2024/12/2024-governor-new-york-kathy-93738522_477ceb.jpg?w=1024" alt="Cars, buses, and other vehicles in a traffic jam on Park Avenue, New York City">

Politicians React

The proposed increase has sparked outrage among some politicians. Rep. Josh Gottheimer, representing northern New Jersey, calls it an "insult" to hardworking families. He points out that this adds to an already controversial toll.

<img src="https://nypost.com/wp-content/uploads/sites/2/2024/12/congestion-pricing-toll-system-equipment-94809649_b2501f.jpg?w=1024" alt="Congestion pricing toll system and equipment scanners on 2nd Avenue">

Gridlock Alert Days

The city's Department of Transportation determines "gridlock alert" days. In 2024, there were approximately 20 such days. These days will see the potential toll increase. The MTA suggests using alternative transportation on these days.

Governor Hochul's Role

Governor Kathy Hochul initially proposed a $15 toll, but later reduced it to $9 after the election. Her influence over the MTA is significant, and she might oppose the additional gridlock surge pricing. Public opinion heavily favors the lower toll.

<img src="https://nypost.com/wp-content/uploads/sites/2/2024/12/plan-launches-january-reduced-base-93653872.jpg?w=1024" alt="New York Governor Kathy Hochul at a press conference announcing the restart of congestion pricing">

Ongoing Legal Challenges

The plan faces legal challenges in federal and state courts, as well as in New Jersey. These challenges could delay or even block the congestion pricing plan entirely.

The Future of the Toll

The $9 toll starts on January 5th, and is slated to increase to $12 in 2028 and $15 in 2031. The revenue will fund a significant portion of the MTA's capital plan. The MTA's implementation of the new toll is also being closely watched in relation to the upcoming change in presidential administration.