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Manhattan’s congestion pricing can continue, judge rules

3:14
Hochul ‘in fight mode’ over Trump’s move to stop NYC congestion pricing
Alex Kent/Getty Images
ByAaron Katersky, Peter Charalambous, and Nadine El-Bawab
March 03, 2026, 7:50 PM

A federal judge ruled that Manhattan's congestion pricing program can continue and the Trump administration does not have the authority to kill the program, which is the first of its kind in the nation.

In a 149-page ruling, Judge Lewis Liman said the Trump administration's attempt to revoke approval for the program was unlawful, handing a victory to the Metropolitan Transportation Authority following a monthslong legal battle.   

"It is difficult to imagine more arbitrary and capricious decision-making than that at issue here," Liman wrote. 

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DOT says it has terminated approval for NYC's congestion pricing plan

The congestion pricing program went into effect last year in an effort to reduce traffic congestion during peak hours and to raise funds for the city's public transit system. Passenger vehicles are charged $9 to access Manhattan below 60th Street during peak hours.

Traffic moves along midtown Manhattan on Feb. 19, 2025, in New York.
Alex Kent/Getty Images

The extra per-ride surcharge is 75 cents for taxis and black car services, and $1.50 for Ubers and Lyfts. During peak hours, small trucks and charter buses will be charged $14.40, while large trucks and tour buses must pay $21.60.

The Trump administration moved to reverse approval of the program last year. Transportation Secretary Sean Duffy said at the time that the "scope of this pilot project as approved exceeds the authority authorized by Congress" under the Federal Highway Administration's Value Pricing Pilot Program, calling it "backwards and unfair."

New York lawmakers pushed back against the decision and challenged the federal government in court.

The federal judge reaffirmed an order from last May upholding the program, but stopped short of completely barring the Trump administration from challenging the program again. 

Traffic moves along midtown Manhattan on Feb. 19, 2025, in New York.
Alex Kent/Getty Images

"[Trump] is obviously free to continue to make public statements as well as to ask the Secretary of Transportation to look into whether there are lawful means to end the [Central Business District Tolling Program]. And, as to the Secretary's statements, he has a right to continue to fight his case and to take an appeal of this Court's orders," Liman said. 

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Nation's 1st congestion pricing 'working,' preliminary data shows: MTA

Overall, the program was the "product of a democratic process" and cannot be arbitrarily revoked, Liman said. 

"The [Value Pricing Pilot Program] was passed by Congress. The [Traffic Mobility Act] was passed by democratically elected legislators and signed by a Governor elected by the people of New York. The [Value Pricing Pilot Program] Agreement was authorized by a Secretary nominated by a duly elected President and confirmed by the Senate. The democratic process worked," the judge wrote.  

The program applies for Manhattan south of 60th Street, except for the FDR Drive, the West Side Highway and the Hugh L. Carey Tunnel.

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