Judge rejects Trump Administration’s attempt to eliminate congestion pricing in NYC

On March 3, the U.S. District Court-Southern District of New York rejected the Trump Administration’s attempt to eliminate New York City’s congestion pricing program. According to a report from NBC New York, U.S. District Judge Lewis Liman determined the administration’s attempt to rescind the program was unlawful. 

In his written ruling, Liman notes the court found that U.S. Department of Transportation Secretary Sean Duffy’s “actions were arbitrary and capricious, an abuse of discretion and not in accordance with law.” 

The decision comes after more than a year of legal battles between the Trump Administration, New York Gov. Kathy Hochul and the Metropolitan Transportation Authority (MTA). On Feb. 19, 2025, a little over a month after congestion pricing launched during the tail end of the Biden Administration, Duffy rescinded a Nov. 21, 2024, agreement signed under the Value Pricing Pilot Program. That same day, in a Truth Social post, President Donald Trump wrote that “congestion pricing is dead. Manhattan, and all of New York, is saved.” The MTA and the Triborough Bridge and Tunnel Authority turned around and filed a lawsuit against the administration. 

In March 2025, the Riders Alliance and Sierra Club filed a lawsuit, joining the MTA as interveners against the Trump Administration. In an April press release, Duffy announced actions the Federal Highway Administration could take if the program continued. 

According to the New York Times (NYT), in May 2025, Liman granted the program temporary protection from Duffy’s threats after he had warned that the federal government would withhold approval and funding from a range of highway and transit projects in New York if congestion pricing was not canceled.  

During the course of the next nine months, while the legal fight continued to play out, the MTA and Gov. Hochul publicly touted the early success of the program. 

Reactions 

In a statement, Gov. Hochul applauded the decision made by Liman to protect the program. 

“Congestion pricing has been a once-in-a-lifetime success story,” Gov. Hochul said. “In its first year, congestion pricing has yielded huge benefits: reduced gridlock, faster trips, safer streets and cleaner air, all while unlocking critical funding for mass transit upgrades. I have been clear from day one: My administration will fight any unlawful effort by the Trump Administration to attack the sovereignty of New York State with everything we've got. Today, we won again. 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.” 

MTA Chair and CEO Janno Lieber echoed the governor’s comments, saying, “We’ve said it all along, and Judge Liman’s clear, detailed ruling leaves no doubt: congestion pricing is legal. It’s here to stay, and it works. Traffic is down, business is up and we’re making crucial investments in a transit system that moves millions of people a day. Today—once again—Secretary Duffy failed and New York is winning.” 

In a statement to Mass Transit magazine, the Riders Alliance said, “New York's congestion relief program today continues its uninterrupted winning streak on our streets and in the courts. After more than a year of success, saving commuters time and raising money to fix the subway, Judge Liman's exacting decision stops a vengeful federal government from punishing working New Yorkers for such a resounding public policy victory. We are grateful to our expert attorneys at Earthjustice and our state and city partners in the litigation for standing up for the incontrovertible facts and the rule of law at such a perilous moment for both." 

The Trump Administration is not yet ready to give up the fight. In a statement issued after the ruling, Duffy said that the administration is reviewing its legal options. According to the NYT report, the Trump Administration could still appeal Liman’s ruling to the Second Circuit Court of Appeals.