A federal judge appointed by President Trump wrote that the decision to end the program was “arbitrary and capricious.”
New York Governor slams President Trump over congestion charge U-turn
New York Governor Kathy Hochul on February 19, 2025, criticized the Trump administration for rescinding approval of New York City’s congestion pricing program.
NEW YORK – A federal judge has upheld congestion pricing in New York City after the Trump administration sought to eliminate the transit pricing program.
On March 3, U.S. Judge Lewis J. Lehman of the Southern District of New York sided with New York state officials who sued federal transportation officials seeking to end congestion pricing, which was first introduced in early 2025.
Congestion pricing aims to reduce traffic in Manhattan’s central business district by imposing fees to discourage driving and encourage more public transportation options, such as subways and buses. Funds from the program will help pay for the transportation system.
The ruling was a blow to President Donald Trump, a Queens native, and his conservative allies in New York City’s suburbs, who had sought to abolish congestion pricing early in his second term. Officials said congestion pricing lacks the legal authority for the Federal Highway Administration to enter into agreements with state agencies to enact the program at the federal level.
In a 149-page ruling, Lehman, a Trump appointee, said Transportation Secretary Sean Duffy’s decision to end the program was “arbitrary and capricious because the basis of the policy was an after-the-fact rationalization, which itself was arbitrary and capricious.” Discussions about the program date back to 2019 and included meetings and compromises to establish congestion pricing, Lehman wrote.
Department of Transportation spokeswoman Danna Almeida said in an email that the department is considering its legal options with the Justice Department, including appealing the decision. Congestion pricing makes federally funded roads inaccessible to commuters without free alternatives, she said.
“The Trump administration will not stop fighting to make everyday life more affordable for American families,” she said.
The White House declined to comment, referring questions to the Department of Transportation.
In February 2025, President Trump declared on Truth Social that “congestion pricing is dead” as the Department of Transportation moved to end the program through administrative funding cuts. Duffy said congestion pricing is a “slap in the face to working class Americans and small business owners” who are unfairly forced to pay for the transit system.
Data shows that lower Manhattan, where congestion pricing, which uses electronic cameras to read license plates, is in place, has less traffic and fewer pollutants. In the year since congestion tolling went into effect on Jan. 5, 2025, toll revenue has exceeded projections to fund transit system repairs and the city’s subway expansion by more than $550 million, state officials said.
New York Gov. Cathy Hochul, a Democrat who oversaw the introduction of congestion pricing, including delaying its launch, called congestion pricing a “once-in-a-lifetime success story.”
“The judge’s decision is clear: Donald Trump’s unlawful attempt to trample on the autonomy of his homeland has failed spectacularly,” Hochul said in a statement. “Congestion pricing is legal, it works, and it’s here to stay. The cameras will remain on.”
In late May, Lehman filed a preliminary injunction to prevent the administration from ending the program. Lehman said in his latest opinion that the court had reached a similar conclusion.
Liman said the ruling does not permanently prevent the government from abolishing congestion pricing. But he left open the possibility that New York authorities could seek relief if they determine the administration has violated the court’s ruling.
Eduardo Cuevas is based in New York City. Contact us via email (emcuevas1@usatoday.com) or Signal (emcuevas.01).
