NEW YORK (1010 WINS) – After New York defied a Sunday deadline to end congestion pricing, the U.S. transportation secretary said Monday that the state will face “serious consequences” if it doesn’t comply within the next month.
In a new letter to Gov. Kathy Hochul, U.S. Transportation Secretary Sean Duffy said the state has openly flouted demands from federal officials that it “cease the collection of tolls” after federal approval was pulled earlier this year. He set a new deadline of May 21 for the program's termination.
“I write to warn you that the State of New York risks serious consequences if it continues to fail to comply with Federal law, and to direct New York to show cause why the Federal Highway Administration should not impose appropriate measures to ensure compliance,” Duffy wrote in his four-page letter.
Duffy rescinded federal approval for the program in February, calling it “a slap in the face to working class Americans and small business owners.” He initially gave New York until March 21 to comply.
The MTA challenged Duffy’s decision in federal court and Duffy subsequently pushed the deadline back by a month, to April 20. But that day came and went without any action from New York officials.
The transportation department insisted it would not back off the deadline even as the court case plays out, saying it would “not hesitate to use every tool at our disposal” if the state failed to stop the toll.
In his letter, Duffy warned various measures could be taken against New York City—including pulling approval and funding for road projects—if officials don’t comply, and that those measures could be “expanded” across New York state. He said such measures wouldn’t be applied to projects that are necessary for safety.
Hochul said Monday in a statement: "I received the letter from USDOT extending their congestion pricing threats once again. I repeat: congestion pricing is legal - and it's working. Traffic is down, business is up and the cameras are staying on."
MTA Chair and CEO Janno Lieber said the MTA was evaluating its legal options but that "the cameras are staying on" in the meantime as a federal judge reviews the case. "New Yorkers continue to benefit from the first-in-the-nation congestion pricing program with less traffic, cleaner air, safer streets and a stronger regional economy."
A spokesperson for the MTA also said Sunday that the agency had no intention of halting the program.
“In case there were any doubts, MTA, State and City reaffirmed in a court filing that congestion pricing is here to stay and that the arguments Secretary Duffy made trying to stop it have zero merit," said John J. McCarthy, the MTA's chief of policy and external relations.
The MTA has continued to tout the benefits of the tolling program, saying fewer vehicles are now coming into the heart of Manhattan.
The fee began Jan. 5 and is meant to not just reduce traffic jams but also raise billions of dollars in revenue for the subway, commuter trains and public buses. Most drivers are charged $9 to enter Manhattan below 60th Street.
On Thursday, a Manhattan federal judge dismissed a series of lawsuits brought by the local trucking industry and other local groups challenging the toll.
The Associated Press contributed to this report.