💵 After Key Fed Approval, NYC Congestion Toll Set For 2024
Major federal government approval was granted for NYC’s Central Business District Tolling Program (CBDTP). NYC TLC industry continues to fight "double taxation", with some drivers fearing "collapse"
A major federal government approval was granted, allowing NYC’s Central Business District Tolling Program (CBDTP) to move ahead to a local political level before its 2024 implementation. CBDTP is often referred to as NYC Congestion Pricing and plans to charge vehicles that, with certain exemptions, enter Manhattan below 60th Street.
What essentially remains now is for the MTA Board and a six member Mobility Review Board (TMRB) to decide final toll rates, including any discounts, exemptions and other allowances.
Some hints on what the final tolling amounts may look like have been formally discussed over the past several months 👇.
Traffic Mobility Review Board (TMRB)
In late July 2022, the MTA appointed five of six members of the Traffic Mobility Review Board (TMRB). NYC Mayor Eric Adams also nominated John Samuelsen to the TMRB last year. Mr. Samuelson serves as international president of the Transport Workers Union (TWU) of America, AFL-CIO and is a non-voting member on the MTA Board.
Therefore, the two key decision making bodies for NYC congestion pricing are:
The 23 member MTA Board
The 6 member Traffic Mobility Review Board (TMRB), which includes current and former MTA Board members
“The TMRB will take into consideration traffic patterns, traffic mitigation measures, operating costs, vehicle types, public impact, public safety, peak and off-peak rates and environmental impacts. Accompanying their recommendations, the TMRB will provide a report…Ultimately, the MTA Board will determine the final toll structure after the TMRB’s recommendations. The recommendations must ensure collection of annual net revenues and fees necessary to fund at least $15 billion for the MTA’s 2020 to 2024 capital program”
- MTA
NJ Pushback
“This is nothing more than a cash grab to fund the M.T.A.”
- Statement by Senator Robert Menendez and Representatives Josh Gottheimer and Bill Pascrell Jr. of New Jersey
Notably, New Jersey politicians and residents have threatened to take action that would stop Congestion Pricing from moving forward, UNLESS certain assurances are made before final plans are signed off on. For example, NJ leaders believe (quite reasonably in our view) that credits should be given for tolls already paid to enter Manhattan via the Holland & Lincoln Tunnels. MTA Chief Janno Lieber seemed open to the idea, but didn’t 100% commit to it during a recent interview with CBS NY.
TLC Industry Pushback
As we recently covered, the MTA’s final decision about how NYC for-hire vehicles (FHVs) will be treated, is critical to the future of the NYC TLC industry.
For example, common questions in the NYC FHV industry include:
Will congestion tolls be capped at once a day for all FHVs?
Will yellow medallion cabs be totally exempt? Or all FHVs?
Will drivers or passengers pay for the ADDITIONAL congestion toll / surcharges?
The TLC itself, along with driver advocates, Uber, Lyft and several City & State politicians, have asked for exemptions (or caps) for NYC FHVs OR different tolling structures where the passenger is paying for tolls on a per trip basis.
We explored these questions & topics recently 👇.
As always, let us know your thoughts in the comments section below or by emailing us at info@automarketplace.com.
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