May 27, 2025 New York City's groundbreaking congestion pricing program has received a crucial lifeline. A federal judge has issued a temporary restraining order, preventing the Trump administration from immediately shutting down the tolling initiative or retaliating against New York for its continuation. This ruling marks a significant victory for New York Governor Kathy Hochul and the Metropolitan Transportation Authority (MTA).

The Legal Showdown:

The decision comes after U.S. Transportation Secretary Sean Duffy, under the Trump administration, attempted to rescind federal approval for the congestion pricing program. Duffy had threatened "serious consequences," including withholding federal funding for various public works projects in New York, if Governor Hochul did not halt the tolls by a recent deadline.

However, U.S. District Judge Lewis Liman, who has a history of ruling in favor of the MTA regarding congestion pricing challenges, sided with New York in this latest legal battle. His temporary restraining order, in effect until at least June 9, safeguards the program and prohibits any federal retaliation.

Why This Matters for NYC Transit & Beyond:

New York's congestion pricing program, the first of its kind in the United States, aims to reduce traffic gridlock in Manhattan, improve air quality, and generate billions of dollars for the MTA's vital infrastructure projects. The revenue is earmarked for crucial upgrades to the city's subway and bus systems, including signal modernization and accessibility improvements.

The Trump administration's attempts to overturn the program, which was initially approved by the Biden administration, raised concerns about the stability of long-term infrastructure projects and the ability of states to implement their own transportation policies.

MTA's Strong Legal Argument:

MTA attorney Roberta Kaplan, who has successfully represented clients against President Donald Trump in other cases, argued that the federal government's attempt to rescind approval was "radical" and would create "a recipe for chaos." She contended that allowing one administration to unilaterally reverse agreements made by a previous one would destabilize critical public works.

This image from video provided by Office of the New York Governor shows New York Gov. Kathy Hochul holding a mock magazine cover during an event about congestion pricing at New York's Grand Central Terminal, Wednesday, Feb. 19, 2025. | Office of the New York Governor via AP

Kaplan strategically leveraged recent Supreme Court rulings, even those initially seen as conservative victories, to support the MTA's case. She argued that the courts have a role in preventing executive overreach and that the MTA faced imminent and irreparable harm if the federal threats were carried out.

The Road Ahead for Congestion Pricing:

While this temporary restraining order is a significant win, it's an interim step. The case will proceed to address the broader question of the Transportation Secretary's authority to terminate congestion pricing. Judge Liman has expressed a desire to rule on the full merits of the case as quickly as possible.

This ongoing legal saga highlights the complex interplay between federal and state powers, especially concerning major urban infrastructure and environmental initiatives. For now, New York City's congestion pricing program will continue, with its future resting on the full judicial review of this landmark case.

Stay tuned for further updates on this developing story as New York fights to maintain its innovative approach to urban mobility.