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A federal judge issued a partial ruling in the battle between New York and New Jersey over New York City’s congestion pricing program. U.S. District Court Judge Leo M. Gordon found that New York had taken most of the necessary steps to impose the toll on drivers entering Manhattan. However, Gordon called on the Federal Highway Administration (FHWA) to review and provide an explanation of certain aspects of the program. While Gordon did not explicitly state whether the program should proceed as planned on Jan. 5, 2025, officials from New York claimed victory and stated that the program will move forward this weekend.

Governor Kathy Hochul of New York expressed her satisfaction with Gordon’s decision, saying the program will proceed as scheduled. Metropolitan Transportation Authority (MTA) Chair and CEO Janno Lieber also welcomed the decision, stating that Judge Gordon rejected New Jersey’s claim that the Environmental Assessment approved 18 months prior was deficient. Despite the victory claimed by New York and the MTA, Attorney for the State of New Jersey Randy Mastro interpreted Gordon’s decision differently, stating that congestion pricing is on hold pending further clarification from federal officials. Mastro emphasized that New Jersey remains opposed to the congestion pricing proposal, particularly due to the financial burden it would impose on individuals traveling into downtown Manhattan.

The judge’s decision required the FHWA to provide feedback by Jan. 17, 2025. Last month, the MTA approved Hochul’s congestion pricing plan in a 12-1 vote, with implementation set to begin in January. The program would enforce a toll on drivers entering Manhattan below 60th Street and Central Park from various entry points. Hochul and Lieber had expressed a willingness to consider a lower toll than the initially proposed $15, citing inflation concerns. Ultimately, the MTA agreed to a phased-in congestion pricing plan that would result in higher tolls for Manhattan drivers by 2031.

President-elect Trump has indicated his intention to scrap congestion pricing once he returns to office on Jan. 20, 2025. This potential decision could complicate matters if the program is already in place by that time. The ongoing legal battle between New York and New Jersey over the congestion pricing program reflects the differing viewpoints on the initiative, with New York officials emphasizing the benefits of the toll in reducing congestion and generating revenue, while New Jersey raises concerns about the financial impact on commuters traveling into Manhattan for work, school, or leisure. The outcome of the litigation and the ultimate fate of the congestion pricing program remain uncertain as federal officials review the situation and provide further clarification.

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