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Why drivers may soon pay $15 to use New York’s busiest streets

In June, New York is due to become the first U.S. city to charge a fee on cars and trucks as they enter its central business district in Manhattan, potentially raising billions of dollars to upgrade the city’s buses and subway lines. 

New York’s congestion toll follows similar moves in cities like London, Milan, and Singapore. While it signals local ambitions to lessen traffic gridlock, reduce the carbon footprint of private vehicles, and nudge more people onto public transport, it also runs headlong into the global political debate about climate action’s cost and who pays the price. 

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A global shift in urban planning – from private to public transit – has yet to take hold in the U.S. New York could be a test case for this shift and for public support for big-city congestion charges.

In New York, government studies say congestion pricing will reduce traffic by 17% in Manhattan’s 9-square-mile congestion zone, lowering pollution. But implementation is not yet a go. Lawsuits could stall it. One concern is that drivers will skirt Manhattan’s congestion zone and switch to routes through the South Bronx.

If your goal is to reduce congestion, a charge is the right approach, says Nicholas Klein, a Cornell University urban planning professor. “Now, we pay a lot to drive in congested areas. We just pay with our time.”

In June, New York is due to become the first U.S. city to charge a congestion toll on drivers entering its central business district in Manhattan, potentially raising billions of dollars to upgrade the city’s buses and subway that handle 4.6 millions trips a day.

Almost two decades in the making, New York’s congestion toll follows similar moves in cities like London, Milan, and Singapore. It signals local ambitions to lessen traffic gridlock, reduce the carbon footprint of private vehicles, and nudge more people onto public transport. It also runs headlong into the global political debate about climate action’s cost and who pays the price. 

Advocates point to government studies that say congestion fees will reduce traffic by 17% in the roughly 9-square-mile congestion zone, thus lowering pollution. On weekdays, around 700,000 vehicles traverse the designated area from Central Park at 60th Street south to Battery Park. 

Why We Wrote This

A story focused on

A global shift in urban planning – from private to public transit – has yet to take hold in the U.S. New York could be a test case for this shift and for public support for big-city congestion charges.

“We’re more than ready for congestion pricing,” says Jon Orcutt, transportation policy director under former Mayor Michael Bloomberg, whose administration first proposed the plan in 2007. He says traffic and car ownership in the city now exceeds pre-COVID levels, and the crush of Ubers, Lyfts, and just-in-time deliveries compounds snarls.

The New York State Legislature approved congestion tolls in 2019, but implementation was delayed by the pandemic, regulatory red tape, and lawsuits. The Metropolitan Transportation Authority (MTA) board voted last week to launch the plan, which still faces legal challenges.

Officials estimate the new toll would raise $1 billion a year to help pay for transit infrastructure, including extending the Second Avenue subway line to Harlem, making subway stations more accessible and further modernizing the aging system. 

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