New York Governor Halts Congestion-Pricing Plans

New York Gov. Kathy Hochul (D) announced yesterday that she is shelving the long-awaited tolling plan known as congestion pricing, just weeks before it was scheduled to go into effect. The program was set to begin collecting tolls on June 30.

“After careful consideration, I have come to the difficult decision that implementing the planned congestion-pricing system risks too many unintended consequences,” Gov. Hochul said. “I have directed the MTA to indefinitely pause the program.”

A source familiar with discussions on the issue stated that “the idea would be to hold the toll plan until and after the courts weigh in, and until and after final federal signoff. It would also allow time to gather more metrics on how the city’s commuting patterns are recovering post-pandemic and for people’s economic outlooks to improve.”

“This is an example of the importance of TRSA members getting involved to fight against unfair policy,” said Kevin Schwalb, TRSA’s vice president of government relations. “TRSA and New York members mobilized to discuss this issue with members of the New York City Council and New York state legislators to amplify the industry’s concerns with the current program.”

As previously announced, TRSA filed a declaration alongside the Trucking Association of New York’s (TANY) lawsuit against the MTA. TRSA’s declaration adds support to TANY’s case by describing the negative impacts of the program on the linen, uniform and facility services industry.

The crux of the lawsuit’s argument is that the congestion-pricing program is unconstitutional. TANY plans to move forward with the lawsuit as a delay of the program does not address concerns about the tolling structure. While we cannot attribute the delay to TANY’s legal efforts, key talking points have gained significant media attention and have increased awareness of the program’s negative impacts on industries such as linen, uniform and facility services whose truck fleets operate in New York City.

Gov. Hochul’s announcement is a huge win for TRSA members that operate in New York. TRSA will continue to advocate on behalf of the industry and fight against any program that puts an undue burden on the linen, uniform and facility services industry.

Questions? Contact Schwalb at kschwalb@trsa.org.