MTA Transit officials and advocates expressed shock Wednesday over a report that President Trump’s Transportation Secretary is killing the NYC congestion pricing program.
Transportation Secretary Sean Duffy — in a letter posted by the New York Post before it was sent to Gov. Hochul — said that he was revoking the federal government’s authorization for the program under the so-called the Value Pricing Pilot Program, an authorization that was given by the Biden DOT in December.
It was not immediately clear how or when his action would affect the ongoing program which most drivers are paying $9 a day for driving in the congestion zone south of 60th Street in Manhattan.
“The revenues generated under this pilot program are directed toward the transit system as opposed to the highways,” Duffy wrote — expressing the whole point of congestion pricing. “I do not believe that this is a fair deal.”
“I have concluded that the scope of this pilot project as approved exceeds the authority authorized by congress under the VPPP,” he said.
The Value Pricing Pilot Program agreement, signed in the waning days of 2024 by the state, local and federal departments of transportation, was the final sign-off required to authorize congestion pricing.
In a statement, the federal DOT argued that Congestion Pricing was not allowed because it did not do enough to curb congestion.
“The toll rate was set primarily to raise revenue for transit, rather than at an amount needed to reduce congestion,” read a statement released by the department. “By doing so, the pilot runs contrary to the purpose of the VPPP, which is to impose tolls for congestion reduction – not transit revenue generation.”
It was not immediately clear what legal authority the Trump administration might have to renege on the December agreement.
A Hochul spokesperson did not immediately respond to a request for comment.