A federal judge in Manhattan has ruled that the Trump administration’s attempt to halt New York City’s congestion pricing toll program was unlawful. The decision, issued by U.S. District Court Judge Lewis Liman, allows the tolls—approved during the previous Biden administration—to remain in place while other legal challenges continue.
Judge Liman’s ruling comes after the Metropolitan Transit Authority (MTA) began collecting congestion pricing tolls on January 5, 2025. The program, the first of its kind in the country, is designed to reduce traffic and generate funding for mass transportation projects by charging most drivers $9 to enter Manhattan south of 60th Street during peak hours. Trucks are charged a higher rate of $21.60 per entry, with lower rates during off-peak evening hours.
In February 2025, after taking office, Transportation Secretary Sean Duffy ordered New York to stop collecting these tolls or risk losing federal funding. Judge Liman initially issued a temporary stay allowing the cameras and tolls to remain active until a final decision was reached.
The MTA reports that it collected $518 million from congestion pricing tolls in the first 11 months of 2025 and claims an 11% decrease in traffic since implementation.
New York Governor Kathy Hochul responded to the court’s decision by stating: “The judge’s decision is clear: Donald Trump’s unlawful attempts to trample on the self-governance of his home state have failed spectacularly. Congestion pricing is legal; it works, and it is here to stay. The cameras are staying on.”
Opposition remains from New Jersey and other parties. New Jersey officials argue that congestion pricing places a financial burden on commuters and businesses making deliveries into New York City. Former Governor Phil Murphy raised concerns about increased traffic and pollution near bridges and tunnels as drivers seek alternative routes around toll zones. Additionally, New Jersey contends that environmental reviews conducted under the former Biden administration did not fully consider impacts on neighboring communities.
While Judge Liman’s ruling does not end New Jersey’s ongoing lawsuit against congestion pricing, it strengthens New York’s legal position and may make success more difficult for opponents.
The New Jersey Business and Industry Association (NJBIA), which represents private-sector employers across various industries throughout New Jersey, has also voiced concern about policies affecting business operations between states. NJBIA serves as the nation’s largest statewide employer association and advances competitive excellence among its members while offering advocacy, practical information, cost-saving benefits, and fostering partnerships among businesses, government agencies, and academic institutions.
Michele Siekerka leads NJBIA as president and chief executive officer.
