NEW YORK CITY – New York Governor Kathy Hochul announced a revised version New York Congestion Pricing Plan during a press conference Thursday morning.

New York Congestion Pricing Plan

“And I’m proud to announce that we’ve found a way to fund the MTA, reduce traffic congestion and keep millions of dollars in the pockets of our commuters,” Hochul said. “As part of this plan, the MTA will implement a congestion pricing plan with a reduced daytime toll of $9 starting in January.”

The program, which would charge drivers a fee to enter Manhattan south of 60th Street, aims to ease traffic in midtown Manhattan, reduce pollution and raise money for public transportation improvements.

Hochul proposed a base toll of $9 instead of the original $15 for cars to enter the congestion zone during peak hours, insisting that the money raised from the lower fee would still be enough to cover MTA costs.

NEW YORK, NY – DECEMBER 20: A taxi passes under congestion toll drives suspended over Broadway at Columbus Circle on December 20, 2023, in New York City. (Photo by Gary Hershorn/Getty Images)

In June, Hochul I slammed the brakes on the plan, arguing that the toll was too high for hardworking New Yorkers. But critics accused Hochul of playing politics to protect Democrats in a big election year.

“It seems now, it’s clearly evident, that the plan was just to get through Election Day,” Staten Island Borough President Vito Fossella said.

The governor has faced increasing pressure from transit advocates to secure funding for the transit system. Congestion tolls are expected to generate about $15 billion in revenue for the MTA’s capital program.

But the late break created a major budget shortfall, forcing the MTA to pause accessibility improvements, the construction of hundreds of new electric buses and more.

“This announcement is great news for New Yorkers who have fought for years for safer streets, cleaner air, better public transportation and, indeed, a testament to the fact that we know this policy is absolutely necessary for New York,” Elizabeth said. Adams of the advocacy group Transportation Alternatives.

Other cities around the world, including London, Stockholm, Milan and Singapore, have similar systems, but New York’s system would be the first in the United States. The aim of these systems is to reduce traffic and pollution while encouraging the use of public transport.