Fact Remains: No Congestion Pricing = No Federal Funds

Last week, the parking garage industry-funded group Keep NYC Congestion Tax Free issued its latest salvo against congestion pricing. The report begins:

The report then details ten traffic reducing measures as alternatives to congestion pricing.

Unfortunately, "Keep NYC's" language here is misleading. Regardless of whatever potential traffic reducing benefits these alternatives might provide, the U.S. Department of Transportation has made it very clear that New York City's congestion reduction plan must include congestion pricing or New York City will not get $354.5 million in federal Urban Partnership start-up funds, of which $342 million is for new buses, bus depots and Bus Rapid Transit.

The Urban Partnership agreement between the USDOT and NYC, NY State and the MTA, which can be downloaded here, says:

(The "Mayor's Plan" is the congestion pricing plan and is what the feds considered as New York City's submission for Urban Partnership funding.)

Later in the document the USDOT explains what it would fund as an alternative to the mayor's congestion pricing plan:

In other words, if the legislatures moved the border of the pricing zone from 86^th Street to 60^th Street that would probably be OK. But both here, and in the agreement summary, the feds clearly state that the $354.5 million in Urban Partnership funding is contingent on congestion pricing. The feds use the words "area pricing system" and "congestion pricing" to make it clear they seek to support a fee for pricing street use, and that a value parking scheme and the other traffic reducing measures ­within the Keep NYC Congestion Tax Free report -- however effective -- are not what they are considering. Thus, any alternative congestion relief plan adopted by the legislatures which does not include congestion pricing will forfeit $354.5 million in federal Urban Partnership
start-up fund, including $342 million for better bus service.