The Metropolitan Transportation Authority (MTA) has scored a legal win against the Trump administration as the battle over congestion pricing continues. U.S. District Judge Lewis Liman issued a temporary restraining order on Tuesday blocking the administration from withholding federal funding for New York transit projects, which it had threatened if the MTA didn’t end the program by May 28. Liman ruled that the federal government cannot withhold any funding until the MTA’s lawsuit over the toll program is resolved.
Liman said the state “would suffer irreparable damage” without a restraining order and left open the possibility of issuing a longer-term protective order, according to the New York Times. He also noted that the MTA “showed a likelihood of success” in its effort to preserve congestion pricing.
A Department of Transportation lawyer said the federal government will comply with the judge’s order but described the unfavorable ruling as unrelated to the “merits” of their case against “Hochul’s class warfare.” The lawyer called it a temporary pause to allow more time for a final decision.
The ruling marks a victory for the MTA, which has been locked in a legal dispute with the Federal Highway Administration (FHWA) since President Donald Trump took office in January and followed through on his pledge to end congestion pricing during his first week.
In February, the Trump administration ordered Gov. Kathy Hochul to end the program by March 21. The MTA responded by filing a lawsuit to keep the program in place, and the U.S. Department of Transportation extended the deadline to April 20.
In April, U.S. Transportation Secretary Sean Duffy gave the governor until May 21 to either shut down the program or explain why the FHWA should not impose penalties, which would begin on May 28. If the state failed to comply, Duffy threatened to withhold federal funding for NY’s transportation projects.
That month, the Trump administration and NY transit officials reached a deal to allow the city’s congestion pricing program to continue through the fall, according to court filings. As part of the MTA’s lawsuit, the two parties will present their arguments under a pre-determined timeline expected to run until at least October.
“Judge Liman’s temporary restraining order is a massive victory for New York commuters, vindicating our right as a State to make decisions regarding what’s best for our streets. New Yorkers deserve to control our own traffic patterns, keep gridlock off our streets, and protect our clean air,” Hochul said in an official statement.
“We need to make the massive investments necessary to support our transit system and prevent it from falling into disarray and disrepair. Congestion pricing is the right solution to get us there.”
The tolling program has charged drivers $9 to enter Manhattan below 60th Street since January 5. In addition to reducing congestion and pollution, the tolls are projected to bring in $1 billion in annual revenue for the MTA, as 6sqft previously reported.
In its first four months, the program raised $215.7 million in revenue, keeping it on track to bring in $500 million in 2025 after expenses, according to Bloomberg.
Additionally, MTA data shows roughly 8.1 million fewer vehicles have entered Manhattan’s central business district since the toll began, a daily average decline of 11 percent.
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