Manhattan Congestion Toll Faces Court Challenge in Federal Showdown

The MTA and Trump administration are preparing for a significant judicial battle that could determine Manhattan’s congestion toll scheme. In the U.S. District Court in Manhattan on January 28, attorneys from both parties will have two hours to argue before Judge Lewis Liman.
The argument involves the $9 congestion charge for non-commercial passenger vehicles entering Manhattan south of 60th Street, which increases for larger trucks and buses. After U.S. Transportation Secretary Sean Duffy rescinded federal approval for the scheme, which was approved under the Biden administration in 2024, the MTA sued him last February.
In April, Duffy threatened to withhold federal transportation funds if congestion charging continued. The MTA won a court injunction in May to stop government action until the lawsuit was evaluated.
The program’s first anniversary was January 5, 2025, and the court date is soon. The congestion pricing initiative has shown results. The MTA and Governor Kathy Hochul report a 12% drop in traffic in the designated zone and faster Lincoln and Holland tunnel travel. The program has also raised $500 million for MTA capital projects, funding the city’s transit infrastructure.
Drivers can rest easy: E-ZPass congestion tolls will stay at $9 until 2028, when they will rise to $12. The congestion pricing plan’s $3 peak-hour credit will apply as Port Authority bridge and tunnel tolls climb.
The program’s success has drawn interest from neighboring states. New Jersey Governor-elect Mikie Sherrill has recommended a similar congestion charge for New York tourists attending key events like the FIFA World Cup games at MetLife Stadium this summer.
As the court date approaches, the MTA and federal authorities will argue whether the city’s congestion pricing plan should proceed without federal interference. New York City traffic management and transportation funds may be affected by the outcome.
Sources:
- U.S. Department of Transportation
- Metropolitan Transportation Authority
- Office of the Governor of New York



