The MTA collected $48.7 million in driver tolls during the first month of its congestion pricing program, a multimillion dollar shortfall from the agency’s original projections, according to financial disclosures released Monday.
State law requires the money from the tolls to finance $15 billion worth of construction bonds for mass transit repairs. The new revenue figures provide the first look into the value of the tolling program, which since Jan. 5 has imposed a base $9 daytime fee on drivers entering Manhattan below 60th Street.
The MTA figures show the agency previously projected the tolls would bring in $52.1 million during January, about 7% more than the program’s actual revenue for the month. Transit officials said the program is still on track to generate $500 million annually, which would be enough to finance its construction bonds.
The agency released the numbers less than a week after President Donald Trump moved to pull federal approval for the program. The MTA immediately sued the federal government over the order, and Gov. Kathy Hochul said the agency would continue to collect the tolls unless a federal judge orders them to stop.
Matt Fabian, a partner with the research firm Municipal Market Analytics, said whether or not a judge holds up Trump’s order, the state will still need to increase taxes in order to ensure the MTA can pay for its construction projects.
“Theoretically blocking one revenue source means the state will need to create a new one as the MTA’s capital needs can’t go away,” said Fabian. “Realistically, President Trump is likely to keep cutting sources of federal aid to the city and state throughout his term.”
MTA officials said congestion pricing has already reduced gridlock in Manhattan, one of the program’s key goals. Travel times on every crossing into the congestion zone decreased between 10% and 30% on average in the first three weeks of the program, according to the agency.
Read More: NYC congestion pricing tolls rake in $48M in first month, less than initial