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MTA says it will focus on 'most basic and urgent needs' after Hochul's congestion pricing flip-flop
By
Michelle Bocanegra
Published Jun 8, 2024
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Susan Watts/Office of Governor Kathy Hochul
By
Michelle Bocanegra
Published Jun 8, 2024
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Electric buses, accessible stations and signal upgrades are just a few items on the chopping block after Gov. Kathy Hochul nixed congestion pricing earlier this week — forcing the MTA into a multi-billion dollar financial hole with no solutions in sight.
In the agency’s first public comments since Hochul’s Wednesday announcement, MTA officials said the board would have to reassess where its funding should best be allocated.
“Modernization and improvement projects like electric buses, accessible (ADA) stations and new signals will likely need to be deprioritized to protect and preserve the basic operation and functionality of this 100+ year old system,” MTA Chief Financial Officer Kevin Willens and General Counsel Paige Graves said in a joint statement.
MTA CEO Janno Lieber has yet to speak publicly since Hochul reversed course on a project she, only weeks ago, touted as a means of reducing traffic, cutting pollution and providing much-needed funding for the regional transit authority.
Albany lawmakers left the Capitol early Saturday morning without identifying an immediate funding source to make up for the shortfall Hochul’s decision creates. The $15 toll meant to be levied on drivers in Manhattan’s central business district would have allowed the MTA to issue an expected $15 billion in bonds against the revenue stream. Agency officials said without that funding source it would have to devote scarce funds to the “most basic and urgent needs.”
There were some questions around whether Hochul could unilaterally halt the program after her initial announcement.
“I will be very clear: The MTA will be taking necessary action to reflect a pause in this program,” Hochul told reporters Friday night, speaking for the first time since making her pre-recorded announcement this week.
In the MTA statement, issued shortly after her press conference, the authority cleared up that legal question.
“Under applicable federal law and regulation, the MTA cannot act until the Central Business District Tolling Program is approved by New York State, New York City and the federal government — and with the announcement of the pause, we no longer have the State’s consent,” the officials said.
The move to scrap congestion pricing at the eleventh hour has been criticized as a political play for the suburbs in November, where there are a slate of competitive battleground congressional races in districts where congestion pricing is unpopular.
The Democratic governor said she believes her reversal on congestion pricing will be favored by those who were fearing the squeeze of a new toll.
"I encourage you to go to the next diner with me and ... sit with me and watch the people come over and thank me," Hochul said. "That's all I need to know. That is all I need to know.”
Lawmakers are not scheduled to reconvene until January, though a special session could be recalled for outstanding business.
Jon Campbell contributed reporting.
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new york city
subways
Kathy Hochul
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Michelle Bocanegra
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