Feds Approve Revised NYC Congestion Pricing Plan, Jan. 5 Start Date

NEW YORK CITY — The Federal Highway Administration has signed off on the revised New York City congestion pricing plan on Friday — meaning tolls will be activated on Jan. 5.

The new congestion toll — of $9— had to be approved by the federal government after Gov. Kathy Hochul decided to gradually raise the toll over the course of six years. She has claimed that the toll will be enough to raise $15 billion for the MTA.

"We are pleased to have received formal approval from the Federal Highway Administration for the phase-in feature of the Central Business District Tolling Program,"MTA Bridges and Tunnels President Catherine Sheridan said in a statement.

Earlier this week, the MTA board approved the revised congestion pricing plan, Patch previously reported.

The MTA plans on increasing the toll charge to $12 in 2028. Then base price will bump up to $15 in 2031.

The program was initially scheduled to begin at the end of June 2024 and would toll drivers who enter a zone stretching from 60th Street to the southern tip of Manhattan. It aims to fund public transit and make a dent in New York City's worst-in-the-world traffic, among other things, Patch previously reported.

The MTA will host eight public webinars on the revised toll structure from Dec. 4-19, officials said.

What's Included In the Revised Pricing Program

Part of the revised congestion pricing plan includes immediate service increases to a number of outer borough bus routes.

"I'm directing the MTA to make major services enhancement to at least 23 bus routes in the outer boroughs," Hochul said at a press conference last week. "... This would mean running buses more frequently along those routes."

In addition, drivers who earn less than $50,000 a year will get a 50 percent discount on every toll after the 10th toll each month.

There will also be discounts after 9 p.m.

Other projects that will be funded by the revised congestion pricing plan include signal system modernization, the Second Avenue subway phase 2 extension, a fleet of new electric buses and accessibility improvements at over 20 stations throughout the city, among other things.