New York’s proposed “congestion” tax on drivers going into Manhattan below 60th Street would not make much sense at any time. But to introduce it now, in the wake of the economic damage done to Manhattan’s downtown by the pandemic lockdowns and their aftermath would be lunacy. At the moment, New York City (and, by extension, the State of New York, which needs Gotham to flourish) needs to avoid doing anything that might discourage people from coming to work (or to play or to shop) in Manhattan.
And so it was good to read this (via ABC, emphasis added):
The implementation of congestion pricing in New York City has been indefinitely postponed. It will not start on June 30 as originally planned, Gov. Kathy Hochul announced Wednesday.
The move marks a stunning reversal for public transit advocates who had championed the tolls as a way of raising billions of dollars for New York’s beleaguered subway and commuter rail systems while reducing traffic in the city’s streets.
Hochul said that while she remains committed to the program’s environmental goals, implementing it now as New York City is still recovering from the COVID-19 pandemic “risked too many unintended consequences for New Yorkers at this time.”
The tolling program had been scheduled to start June 30.
The governor framed her decision as economic, saying the city’s recovery from the pandemic is incomplete and “hard-working New Yorkers are getting hammered on costs” for food, housing and childcare.
The governor expressed concern suburban commuters would choose to work from home or skip recreational visits to the city. She said nothing about politics, which undoubtedly played a role in her decision to instruct the MTA to indefinitely pause implementation of congestion pricing.
Well, if “politics” means listening to voters, there’s nothing wrong with that.
ABC points out that the congestion tax would have been added on top of tolls already charged to use certain key bridges and tunnels into Manhattan, such as “the $13.38 to $17.63 it costs to take a car through the Lincoln or Holland tunnels.” There is also already a $2.50 congestion surcharge on taxi journeys that begin, end, or pass through Manhattan south of 96th Street, even at 2 a.m., not a time known for congestion.
Governor Hochul has only “postponed” the congestion tax, and I have no doubt that this issue will return, but she should be congratulated for being prepared to change her plans in the face of a difficult economic reality.
It’s worth noting that Hochul’s predecessor, Andrew Cuomo, who signed the tax into law in 2019, also turned against it. Here he is in the New York Post (March 11):
Many things have changed since 2019 and while it is the right public policy, we must seriously consider if now is the right time to enact it.
New York City still hasn’t recovered from COVID; office occupancy is still at only 48.9%. For many, traveling to the city is no longer a necessity — and for some it is an unwelcome hardship.
What impact will an additional $15 entry surcharge have on New York City’s recovery in this moment — when the migrant crisis, crime, homelessness, quality of life and taxes are all pressing problems?
More important, the policy’s success hinges on people’s confidence that mass transit — which is still operating 29% below pre-pandemic ridership levels — is a safe alternative.
Indeed.