The federal government gave the state until May 21 to end new York City’s congestion pricing program or risk losing federal funding and project approvals.
The Department of Transportation is threatening to withhold federal funding and project approvals from the state of New York while Governor Kathy Hochul remains defiant of the Trump administration’s efforts to kill New York City’s congestion pricing program.
As Dan Zukowski explains in Smart Cities Dive, despite the program’s demonstrated success, USDOT called on the state to end the program by May 21 in an April 21 letter. Since it launched in January, it has exceeded revenue projections and reduced traffic by 11 percent.
Smart Cities Dive offers a timeline of the program’s controversial history. After being approved by New York State in 2019, the program was forced to undergo an environmental assessment to gain final federal approval in 2023. In 2024, the MTA Board approved the final pricing of $9 for most cars, and the program finally took effect in early 2025.
FULL STORY: DOT could halt highway funding to New York May 28
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