New York granted restraining order in congestion pricing battle with Trump administration
New York won a legal victory Tuesday in the ongoing congestion pricing battle with the Trump administration.
The Metropolitan Transportation Authority had sought a preliminary injunction to stop U.S. Department of Transportation Secretary Sean Duffy from threatening to withhold federal funding for future infrastructure projects.
It took about two hours of oral arguments before U.S. District Court Judge Lewis Liman decided congestion pricing is here to stay -- for now.
Liman has already decided on previous congestion pricing cases that the plan is legal. On Tuesday, he noted the MTA "showed a likelihood of success" in its case to keep the plan going, and said the state "would suffer irreparable harm" on things like transportation projects and bond ratings if the feds acted on their threat to pull federal funding starting May 28. That's why he issued a restraining order until June 9.
"We're not out of the woods. We don't know what else they might try and pull or what might happen if the case ends up in a different court," said Danny Pearlstein, policy and communications director for the Riders Alliance.
Charles Roberts, an attorney for the Department of Justice, argued the plan is not legal because its approval didn't go through Congress. He also said the MTA should not have relied on President Biden-era approvals because President Trump campaigned on canceling the program and won.
Roberts said he had no comment on Tuesday's ruling.
"We've won, again," Gov. Kathy Hochul says
In a statement, New York Gov. Kathy Hochul said, in part, "We've won, again. Secretary Duffy can issue as many letters and social media posts as he wants, but a court has blocked the Trump administration from retaliating against New York for reducing traffic and investing in transit."
What's still to be sorted out by the judge is whether the transportation secretary has any authority to change or kill the plan.
"One of the things that a lot of people have been put off by [is] the idea that the federal government is going to step in and tell New York City how to deal with its traffic problem. That seems a little crazy and he specifically called out state sovereignty as an important factor weighing in his decision," MTA CEO Janno Lieber said.
The U.S. Department of Transportation issued the following statement:
"The judge's ruling today was not on the merits of our case against Hochul's class warfare, but rather a temporary pause to have more time to reach a decision. Enforcement actions for noncompliance were merely under consideration, and we will comply with the judge's request to hold. We look forward to making our case in court against Hochul's illegal tolls as we work to protect working-class Americans from being unfairly charged to go to work, see their families, or visit the city," a spokesperson said.
NYC congestion pricing still in effect
The hearing came after Duffy gave New York multiple deadlines to stop the program. The most recent passed on May 21.
Duffy warned funding would be withheld for projects in the city, like the Second Avenue Subway, and even in other parts of the state.
After last week's deadline came and went, the DOT said it could implement "compliance actions" as soon as May 28.
The MTA sent a letter to Duffy saying congestion pricing is legal and he doesn't have the authority to end it. The agency said, as of April, there were 12% fewer vehicles entering the Congestion Relief Zone on a typical day compared to before the program.
Ahead of Tuesday's hearing, congestion pricing advocates rallied outside the courthouse in support.
"Six of 10 New Yorkers in the congestion zone support it," New York City Comptroller and mayoral candidate Brad Lander said. "There's been a 10% surge in popularity statewide in the latest Siena poll."
"The notion of revoking federal approval for an initiative of this magnitude after it has been granted is nearly without precedent," said Rep. Jerry Nadler. "I strongly believe there's no legal basis for Trump to unilaterally hold this program."
The MTA board is scheduled to meet Wednesday and is expected to share an update on its efforts to keep congestion pricing alive.
