By Manhattan Real Estate Tracker, August 14, 2025
Governor Hochul Update on Congestion Pricing
NYC News
Recently, Governor Hochul’s office provided an update on the city’s congestion pricing program that has been successful in lowering traffic and generating revenue to fund regional transit improvements in its first six months of operation. The country’s first urban congestion pricing program, which went into effect on January 5th at 12:00 am, charges drivers to enter the Congestion Relief Zone (CRZ) below 60th Street in Manhattan, thereby reducing traffic. The MTA plans to forward $15 billion in vital capital enhancements to mass transportation on its subway, bus, Long Island Rail Road, and Metro-North Railroad systems by 2025, when congestion pricing revenue is expected to reach the projected $500 million.
“Six months in, it’s clear: congestion pricing has been a huge success, making life in New York better,” Governor Hochul said. “In New York, we dare to do big things, and this program represents just that – traffic is down throughout the region, business is booming, transit ridership is up, and we are making historic upgrades to our transit system. We’ve also fended off five months of unlawful attempts from the federal government to unwind this successful program and will keep fighting – and winning – in the courts. The cameras are staying on.”
MTA Chair and CEO Janno Lieber said, “Congestion relief is a massive success and validation of the initiative keeps pouring in. The program is achieving all of its goals in terms of traffic reduction, increased travel speeds, safety, noise reduction and more. And not only is Congestion Relief delivering all the projected benefits – and more – it’s also proving that New York State government can effectively execute major, ambitious initiatives that improve the quality of life in ways New Yorkers notice and appreciate.”
In addition to successfully fending off numerous legal challenges to congestion pricing, New York State and the MTA have defended the program against illegal attempts to end it by the Trump Administration and the USDOT. In the case of Metropolitan Transportation Authority v. Duffy, a preliminary injunction was issued in May, preventing the federal government from retaliating in retaliation and maintaining congestion pricing in place while additional judicial processes are ongoing.