Gov. Kathy Hochul is quietly maneuvering to delay a plan to toll drivers getting into Manhattan’s central enterprise district, simply weeks earlier than it’s slated to enter impact, in keeping with two folks accustomed to the discussions.
The primary-in-the-nation congestion pricing plan, which has been a long time within the making, is slated to start out June 30. Drivers utilizing E-ZPass pays as a lot as $15 to enter Manhattan south of sixtieth Avenue.
However at the same time as Ms. Hochul believes that congestion pricing is sweet environmental coverage, she has issues that the timing was lower than splendid, in keeping with an individual accustomed to her pondering. The governor feared that it’d deter commuters from returning to the central enterprise district, which has but to totally recuperate from the pandemic.
It’s not clear whether or not Ms. Hochul’s still-formative plan to delay congestion pricing and change it with one other income stream would acquire the wanted approval of the New York State Legislature, which handed the plan years in the past.
Ms. Hochul’s gambit, if profitable, can be a devastating blow to advocates and organizers who’ve labored for greater than a decade to carry this transformation to New York Metropolis.
The tolling scheme was designed to cut back site visitors congestion in Manhattan and produce $1 billion a 12 months in income for the Metropolitan Transportation Authority, which runs the area’s subways, buses and two of its commuter rail methods. That income, in flip, would fund the system’s huge capital development wants.
To fill the $1 billion yearly hole, Ms. Hochul is contemplating proposing a tax on New York Metropolis companies. Such a tax would require the approval of the Legislature, which is much from assured, particularly with simply two days left within the legislative session.
If congestion pricing have been to enter impact, it could be borne closely by drivers from New York Metropolis, Connecticut, New Jersey and surrounding counties. A enterprise tax would fall largely on New York Metropolis. However shifting the tax burden from drivers to enterprise might additionally carry some populist enchantment forward of the final election.
The plan to cost drivers to enter Manhattan’s central enterprise district has sparked fierce opposition from unions, drivers, Gov. Phil Murphy of New Jersey, former President Donald J. Trump and New York Metropolis suburbanites throughout an election 12 months when a number of suburban congressional seats are at stake.
Different main cities all over the world, together with Stockholm, London and Singapore, have for years charged tolls to enter central enterprise districts, and transportation specialists have lengthy cherished hopes that New York Metropolis would be a part of their ranks.
Former Mayor Michael R. Bloomberg made a severe bid to persuade Albany legislators to cross a congestion pricing plan for New York Metropolis, however finally failed. It was solely after the transit system’s so-called “summer time of hell” in 2017 that the plan gained traction, with then-subways chief Andy Byford championing the hassle, and then-Gov. Andrew M. Cuomo belatedly embracing the concept.
Within the ensuing years, the pandemic ravaged Manhattan’s central enterprise district, and Mr. Cuomo has begun to publicly query the knowledge of congestion pricing. Mayor Eric Adams has supplied the plan solely tepid assist.
“Pumping the brakes on congestion pricing can be a large betrayal of a number of million public transit riders,” mentioned Danny Pearlstein, the coverage and communications director at Riders Alliance, which has spent years pushing for congestion pricing. “It could additionally imply taking cues from the likes of Phil Murphy, Andrew Cuomo and Donald Trump.”