Trump Takes the Subway

President’s bid to terminate congestion pricing would help all sides in the underground dispute.

AP/Seth Wenig
Signs advising drivers of congestion pricing tolls near the Lincoln Tunnel at New York, February 19, 2025 AP/Seth Wenig

President Trump’s bid to terminate New York’s congestion tolling scheme is good news for motorists across the tri-state area — and the economy of the city at the heart of the region. It’s good news, too, for the Metropolitan Transit Authority that sought to extort $1 billion a year in tolls from drivers to cover its own managerial failures — including unchecked fare evasion that is costing some $700 million a year. Now, it could well have to reform itself.

Before area motorists can heave a sigh of relief, though, Mr. Trump and his transportation secretary, Sean Duffy, will have to prevail in the courts, where the MTA has already filed suit to salvage their tolls. The levies went into effect only on January 5. Yet the highly-leveraged MTA was already counting its chickens. The authority just sold $500 million in bonds based on anticipated toll money. The ultimate goal was to borrow some $15 billion.

That money was meant to help cover the transit agency’s yawning budget deficits for years to come. That reflected the choice to seize the funds from drivers entering lower Manhattan rather than undertaking the reforms and cost-cutting that the agency needs. Fixing, say, fare evasion — which the MTA gave up on amid accusations that it was racist to police turnstile jumpers — would go a long ways toward erasing the agency’s budget shortfall.

Additional hundreds of millions a year could be saved if the MTA were to update its antiquated labor practices — like its policy, almost unique in the developed world, of having redundant subway conductors to open and close doors. The agency, too, could tackle its costly overtime system which rewards seniority and leads to bloated paychecks. These moves would require taking on the transit unions, though, which Democrats are unlikely to do.

The MTA and Democrats can’t say they weren’t warned of Mr. Trump’s plans for the tolls. During the presidential campaign, he made clear his opposition to the plan to tax motorists. That, critics said, was a reason why Governor Hochul suspended the tolls — until after the election, in a display of cynicism that surprised no one. “CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED,” Mr. Trump crowed in remarks today. 

“LONG LIVE THE KING,” Mr. Trump added. “We are a nation of laws, not ruled by a king,” was Mrs. Hochul’s republican reply. “We’ll see you in court.” Within moments of the president’s announcement, the MTA filed papers in federal court at New York City to preserve what it called “the highly successful program.” That’s an odd definition of success, measured by bringing fewer motorists into the city whose economy needs all the help it can get.

Mr. Duffy seems to grasp that point and looks well-prepared for a legal challenge, if his letter announcing the toll halt to Mrs. Hochul is any guide. He explains that Mr. Trump had “concerns about the extent of the tolling” imposed under the congestion scheme “on highways that have been constructed with funds under the Federal-aid Highway Program.” Such tolls — an impediment to interstate commerce — could be crosswise with federal law, he adds.

“Ever since the enactment of the Federal-Aid Road Act of 1916,” Mr. Duffy avers, “Congress has required that roads constructed with Federal-aid highway funds be free from tolls of all kinds, subject to limited exceptions.” While congestion tolling “pilot projects” have gotten the legislative okay, Mr. Duffy cavils that Congress failed to define such projects precisely enough, and New York’s scheme fails to fit the bill.

Mr. Duffy, too, points to the “significant burdens on the New York City residents, businesses, and area commuters” — including residents of New Jersey and Connecticut — “who regularly use the highway network.” Indeed, these columns have noted the illogic of taxing motorists for the purported privilege of visiting or doing business at New York. If the courts vindicate Mr. Trump’s move, it will be a boon not only for drivers, but transit riders, too.


The New York Sun

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