Trump controls the destiny of Manhattan's toll plan
Governor Kathy Hochul has been engaging in conversations about the future of the contentious toll program referred to as congestion pricing.
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One potential arrangement would involve retracting the contentious Manhattan toll program while allocating "major investments" to improve New York City's infrastructure, according to a person familiar with the ongoing talks who spoke to PMG.
In addition to the tolls, Trump views other transit matters in the city, such as bike lanes, e-bikes, and parking, “as all part of the problem and solution,” the source stated.
“He’s giving her an out,” the source continued, requesting anonymity to discuss the internal matters. “She should take it.”
The Democratic governor has had several discussions with the Republican president in recent weeks about the tolls, which are intended to generate $1 billion to finance $15 billion for upgrading the region’s deteriorating mass transit infrastructure.
Trump expressed to The New York Post that the $9 tolls have been “destructive” for the city — but he indicated a willingness to continue negotiations.
“I think it’s really horrible, but I want to discuss it with her at this point,” he remarked to the conservative-friendly publication. “If I decide to do it, I will be able to kill it off in Washington through the Department of Transportation.”
Trump’s administration could rescind federal approval for the toll initiative via the Department of Transportation. Such a decision would halt the toll program and likely incite a legal challenge from New York.
The White House did not respond to a request for comment on Sunday.
In response, Hochul’s office did not refute that Trump is inclined to negotiate on the tolls, which have become a talking point for her potential opponents in the 2026 election.
“Governor Hochul has had several productive calls with President Trump and is happy to talk with anyone, anytime about how this program is benefitting New Yorkers and the entire region,” spokesperson Avi Small stated. “Congestion pricing continues to operate in New York City, reducing traffic and improving commutes, and we will continue our ongoing discussions with federal officials.”
The long-awaited toll program was implemented on January 5. Officials, including Hochul, have reported that early indicators show a decrease in traffic and an increase in mass transit ridership, suggesting that congestion pricing is achieving its intended goals.
However, Hochul is also mindful of the complex political landscape. She paused the program last June due to concerns it might adversely affect swing seat Democrats in critical House races but later opted to revive it, lowering the toll from $15 to $9 immediately after Election Day.
The unpredictable president — a native New Yorker with an ear to the state’s dynamics — could reconsider his stance and determine it may be in his interest to eliminate the tolls without a deal with Hochul.
MTA Chair and CEO Janno Lieber has made a pro-business case to the business-minded president: Enhancing mass transit aids in transporting workers to office buildings, including those owned by Trump in Manhattan, and there could be “national consequences” if federal approval is revoked.
Last week, Lieber expressed optimism to reporters in Albany, stating: “I’m confident she is making the case effectively, however, she’s doing it, that congestion pricing is a net benefit,” he noted.
A version of this story was published in New York Playbook.
Rohan Mehta for TROIB News