Congestion pricing options studied by MTA would charge NJ drivers extra to get to NYC

Steep, new tolls could be on the horizon for New Jersey drivers as the Metropolitan Transportation Authority moves toward a congestion pricing program that would charge drivers to enter midtown Manhattan.

The MTA released an in-depth study Wednesday of what the traffic, pollution and tolling outcomes could be in seven different scenarios with varying credit options for tolls already paid at crossings and exemptions of certain types of vehicles, like buses. The study also looked at what would happen if the agency does not go forward with congestion pricing.

The new tolls to enter the Central Business District (CBD) of Manhattan, the area below 60th Street, could range from $9 to $23 during peak hours, $7 to $17 during off-peak hours, or $5 to $12 overnight, according to models used by the report's authors to study the tolling program. These potential tolls would be in addition to tolls paid at other crossings used to reach midtown Manhattan, like the Lincoln Tunnel, Holland Tunnel and George Washington Bridge, whose tolls currently range from $11.75 to $16 for cars.

In three of the seven scenarios, drivers coming from New Jersey via the Lincoln and Holland tunnels, which directly enter the CBD, would receive a credit for tolls already paid to use that crossing. In one of the scenarios studied, those two tunnels and drivers crossing the Hudson River using the George Washington Bridge would receive a credit.

But none of the scenarios laid out in the report would fully credit drivers using Hudson River crossings for tolls paid before reaching the CBD. There are "high" scenarios where most of the pre-paid tolls would be credited, there are "low" scenarios where some of the pre-paid tolls are credited, and there are scenarios where there are no credits at all.

"When you have crossing credits apply, what the crossing credits do is they help balance in terms of parity," a senior MTA official said. "It also changes the balance of where the traffic is coming from and who is more or less affected in terms of traffic reductions."

While the report does not favor any scenario, the authors predict all congestion pricing scenarios would lead to reductions in traffic and increased transit ridership to get to midtown Manhattan — which are the ultimate goals of the program, along with raising $1 billion annually for the MTA's capital fund to improve subways and buses.

"The assessment found that 85% of existing work trips to the Central Business District are made by transit, 5% by car from New York City, 3% by car from New York suburban counties, 3% by car from New Jersey, 0.2% by car from Connecticut, and 4% by other modes, including taxis, for-hire vehicles, bicycling and walking," according to a MTA press release. "With initiation of the program, the number of vehicles entering the CBD would decline by 15.4% to 19.9%, depending on the tolling scenario."

Congestion pricing programs like this have been successful in places including London, Stockholm and Singapore in reducing traffic, increasing public transportation, raising revenue and improving air quality.

But nothing is set in stone.

The Federal Highway Administration is expected to issue a decision on the environmental review in January 2023. If the agency determines there are no significant impacts expected, the Toll Mobility Review Board will have 310 days to issue a report with recommendations and details about how the tolling structure should work, what crossings should receive credits and how exemptions would work. In that time frame, the infrastructure needed to process the tolls will also need to be put in place.

Five of six appointments to the toll board were announced earlier this month, but a sixth has yet to be announced by New York City Mayor Eric Adams. During public hearings last year, calls were made to give New Jersey more input on the plan. New Jersey does not have representation on the board, but residents have been included in some public outreach.

Gov. Phil Murphy made it clear last week that he would not support a congestion pricing tolling program that does not give credit to New Jersey drivers at all three Hudson River crossings.

"We love it conceptually," Murphy said about congestion pricing, but, he added, "There is no way, no how that will happen with a double taxation on New Jersey commuters. Period."

Asked in a follow-up question what he was going to do about it, he responded, "I’m an optimist, I believe we will ultimately get to a good resolution, but it will not happen if that’s the case."

At a campaign event last September, Murphy told constituents he has “methods” to use against New York “that we will use if we have to — and I hope we don’t have to — including vetoing the minutes of the Port Authority, which is kind of a nuclear option, but if we have to, we’ll do it," according to a Politico report.

Around that same time, emails exclusively obtained by NorthJersey.com and the USA TODAY Network New Jersey revealed that New Jersey officials mentioned congestion pricing, and crediting the George Washington Bridge, as a bargaining chip for giving New York more money than apportioned by Federal Transit Administration formulas. Ultimately, New Jersey surrendered nearly $850 million to New York, but it's unknown if the Garden State got anything in return. Murphy's office has not said whether agreements about congestion pricing were part of that deal.

Govs. Murphy and Kathy Hochul of New York have spent months assuring residents the two states are getting along, but this could potentially disrupt that harmony. It also comes at a time when the two states are trying to get agreements in place about how they will finance and split the costs associated with the first phase of the Gateway program, a slate of $14.6 billion in projects to replace the Portal North Bridge, build new train tunnels into New York Penn Station and repair the old ones.

U.S. Rep. Josh Gottheimer has been one of the most vocal opponents of congestion pricing, saying it would put an unfair additional financial burden on New Jersey residents. On Tuesday, he pitched — along with state Sen. Joe Lagana, D-Paramus, Assemblywoman Lisa Swain, D-Fair Lawn and Assemblyman Chris Tully, D-Bergenfield — a newly proposed incentive package to entice more businesses to open offices in New Jersey so residents won't have to commute to New York City.

"Just read MTA spelled backwards and it tells you exactly what you need to know," Gottheimer said. "It tells you exactly what you need to know and how New York looks at New Jersey: as their personal ATM."

The public can weigh in on the MTA's congestion pricing report by submitting comments and participating in one of the six virtual public hearings scheduled to take place in a few weeks. The dates and times of those hearings are:

• Aug. 25, 5 to 8 p.m.
• Aug. 27, 10 a.m. to 1 p.m.
• Aug. 28, 1 to 4 p.m.
• Aug. 29, 1 to 4 p.m.
• Aug. 30, 5 to 8 p.m.
• Aug. 31, 10 a.m. to 1 p.m.

More information can be found on the MTA's website.