Hochul Pleads for More Fed Funds for MTA; DOT Pushes to End Congestion Pricing Tolls
The Trump Administration wants Gov. Hochul to turn off the congestion pricing cameras before it earmarks any more money for the financially pressed MTA. The agency, even with congestion pricing, is facing a budget deficit greater than $30 billion in its 2025-29 capital spending plan.
It looks like a standoff.
Top elected Democratic leaders in New York in late March pleaded with the federal government for a “fair share” of mass transit funding, pointing out that the state has 43 percent of the nation’s mass transit ridership but receives only 17 percent of the mass transit federal funding.
The Trump administration, however wants Governor Kathy Hochul to turn off the congestion pricing cameras in Manhattan by the end of the month before discussing more aid. Hochul has said the cameras will stay on unless a federal judge order her to shut them down.
Hochul was joined by Assembly Speaker Carl Heastie and Senate Majority Leader Andrea Stewart-Cousins in sending a letter on March 24 to President Donald Trump, US Department of Transportation Sean Duffy and other top Republican officials including the NY Gop Congressional delegation. The existence of the letter dispatched on March 24 was first reported by Gothamist.
It comes at a particularly fraught time for NY and federal funding. The state needs to close a $35 billion gap in its $68 billion capital spending plan covering 2025-29. Last year the Biden Administration sent just under $14 billion in federal funding to the MTA.
The rejection of the order to shut off congestion pricing cameras has angered DOT Secretary Sean Duffy, a Wisconsin-born former Congressman who was sharply critical of Hochul and subway crime in a recent appearance in New Jersey in which he called the subway system a “shithole.”
“In 36 hours you could clean out the subways, this could be a non-issue; send law enforcement in, kick out the homeless, get rid of the drugs,” Duffy said according to a report.
Duffy also demanded that the MTA send a detailed report to it by a March 31 deadline detailing what it is doing to combat crime in its mass transit systems.
None of that was covered in the March 24 letter, however. The thrust of the letter is that the NYC area is a vital economic engine for the United States producing eight percent of total US gross national product, with 15.7 million people in the MTA service area across the metropolitan region and 4.7 million NYC jobs.
“Mass transit must be federally funded at a level commensurate to its importance to our nation and New York must receive its fair share of that funding to keep up with the needs of New Yorkers who rely on it to get to work, school, and medical appointments,” the three top Democratic leaders wrote. The letter from Houchul, Assembly speaker Carl Heastie and NYS Senate Majority leader Andrea Stewart-Cousins also went to the NY GOP delegation.
The Staten Island Advance reported Congressional GOP Congressperson Nicole Malliotakis joined two of her congressional colleagues from New Jersey to reintroduce bills to curb NYC congestion pricing. Along with Malliotakis, New Jersey Representatives: Democratic Representative Josh Gottheimer, who is running for governor and Republican Jeff Van Drew submitted bills that would impact the MTA’s controversial tolling plan. “Governor Hochul and Janno Lieber will go to any length to continue treating hard working New Yorkers like bottomless ATMs,” said Malliotakis, indicating displeasure with Congestion Pricing to help the MTA to fund its Capital Plan.
N.J. Governor Phil Murphy also said on March 20, “Every day that congestion pricing continues in Manhattan’s Central Business District is another day that hardworking New Jerseyans are unfairly tolled to line the pockets of the mismanaged MTA.”
The MTA chairman and CEO Janno Lieber counters that insufficient investment will lead to subway deterioration, fewer trains, more delays, and disruption to the lives of New Yorkers.
Lieber who is involved in state budget negotiations noted at a March 26 press conference: “You have to let the process play out.” He warned, “If you neglect to invest in an infrastructure that is 50, 60, 100 years old, bad stuff will happen.”
“If you neglect to invest in an infrastructure that is 50, 60, 100 years old, bad stuff will happen.” MTA Chairman and CEO Janno Leiber