New Jersey files lawsuit to block New York City’s congestion pricing plan

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The state of New Jersey has filed a lawsuit to suspend the rollout of the first congestion fee in the US, planned for cars running through mid-Manhattan, saying such a plan would transfer pollution to neighboring areas and impose undue costs on commuters crossing the Hudson River.

In a complaint filed in federal court on Friday, New Jersey accused government agencies of “turning a blind eye” to the environmental impacts of the allegation on the Garden State when agreeing to approve the plan last month, and administrators in New York of failing to fairly distribute the proceeds of such a plan across the wider metropolitan area.

A congestion charge for Manhattan – the most congested urban area in the US – was first proposed 16 years ago by former New York mayor Michael Bloomberg, but was defeated by state lawmakers before being revived in 2019.

Last month, the Federal Highway Administration approved a proposed plan that aims to generate $15 billion in revenue for New York’s perpetually cash-strapped public transit agency, the MTA, by charging drivers to enter Manhattan below 60th Street. The exact fee has not been established, but it is reported to be as high as $23 per day for some drivers.

New Jersey Governor Phil Murphy has long denounced the plan as unfair to the state’s 400,000 residents who commute to Manhattan daily, and has vowed to explore all legal options to thwart its implementation. His state has passed legislation that provides tax incentives in a retaliatory effort to drive businesses away from New York.

This year, New Jersey also issued billboard advertisements throughout New York with slogans such as “Paying congestion tax to sit in NYC traffic”. Get outta here”—and call on passers-by to consider relocating to New Jersey.

“We can’t fix a broken MTA in New York City on the backs of New Jersey commuters,” Murphy said this month. “It’s a huge tax on them, and frankly, it challenges our environment because of all the redirection of traffic.”

In its lawsuit, New Jersey accused New York of setting aside funds for areas in its state affected by the plan and neglecting surrounding counties.

“(The Federal Highway Administration) acknowledges that diverting traffic that would otherwise go below 60th Street to border areas will impact air quality in those areas, so the MTA has proposed funding $130 million for mitigation efforts in the Bronx. Its complaint says. “But not so for New Jersey.”

State attorneys said the MTA had also agreed to allocate 10 percent of the revenue from the plan to the Long Island Railroad and 10 percent to the Metro-North Railroad, which brings passengers from Upper New York, but nothing to New Jersey. Transit Agencies of”.

The US Department of Transportation and the office of New York Governor Cathy Hochul did not immediately respond to requests for comment.