Federal Government Threatens NYC Funding Over Congestion Pricing

The Trump administration, through Transportation Secretary Sean Duffy, has threatened to withhold federal highway funding and regulatory approvals for New York City projects if the Metropolitan Transportation Authority (MTA) continues Manhattan's congestion pricing. Duffy issued a May 21 deadline for New York officials to end the program or prove its legality, warning that funding cuts could expand statewide if the city does not comply. The program, approved during the Biden administration, charges a $9 toll for cars entering Manhattan below 60th Street, aiming to reduce congestion and pollution. Trump officials argue the toll unfairly burdens working-class Americans and is being used to address the transit system's budget shortfall. Governor Hochul and the MTA have indicated they will maintain the program unless ordered otherwise by a federal judge, with current legal proceedings expected to keep the toll active until at least the fall. The federal government stated it would not target projects essential for safety but emphasized the seriousness of potential funding consequences.