The MTA board has voted to halt transportation enhancements in light of Governor Kathy Hochul’s suspension of the congestion pricing program. According to MTA Chairman Janno Lieber, the delay in expected toll revenue of $15 billion has resulted in significant projects such as the second phase of Second Avenue Subway and full ADA compliance being put on hold. Despite disappointment, Lieber assures that the $500 million worth of installed congestion pricing hardware will be preserved for future use.
Congestion pricing aimed to charge passenger vehicles entering Manhattan below 60th Street around $15 per day, with an estimated goal of generating $15 billion for the 2020-2024 capital program. The decision to pause this initiative just weeks before its scheduled launch on June 30 has sparked controversy and raised speculation about potential political influence.
Approximately $16.5 billion worth of projects, including accessibility improvements, signal modernization, and infrastructure upgrades have now been deferred due to funding uncertainties. Concerns remain regarding how this delay will impact MTA’s debt servicing and potential withdrawal from federal grants; further details are expected at upcoming board meetings.
This article was originally published by Connect CRE.
