Trump team open to NYC congestion pricing scheme ... with exceptions

A few days after Transportation Secretary Sean Duffy sent a letter to NY Gov. Kathy Hochul, informing her the DOT's Federal Highway Administration would terminate the approval of New York City congestion pricing, a "compromise" could be the next step.

In an interview with CBS News, Duffy said he would be open to some form of Manhattan tolling program, but made it clear that the governor should focus on how much a toll should be to reduce congestion – as opposed to also funding the MTA.

"Instead of paying $9, could someone pay $5 to reduce congestion, or $3 to reduce congestion?" Duffy said. "She didn't do that. She set a pricing, and so, maybe the question is: why did you set it at $9?"

Duffy continued to say: "I think there’s a lot of great ideas around congestion pricing and how we can reduce it. But you can’t take American taxpayers who paid for roads and block them out and say you can’t access this unless you pay additional money."

Trump moves to end congestion pricing

What they're saying:

On Wednesday, Hochul responded to the Trump administration news at Grand Central Terminal, saying, "I'm here to say New York hasn't labored under a king in over 250 years," and added, "we sure as hell are not gonna start now."

"I don't care if you love congestion pricing or hate it, this is an attack on our sovereign identity, our independence, from Washington," she said.

She continued on to say: "In case you don't know New Yorkers, we do not back down, not now, not ever" – making clear that "the cameras are staying on" despite what she called Trump's "attempt" to end congestion pricing.

Hochul also stated that if congestion pricing were to be halted, "the next time you're stuck in traffic, you’ll know who to blame" as she held up a cover of TIME magazine featuring Trump.

‘Destructive to New York’

The other side:

Meanwhile, the president has repeatedly criticized congestion pricing, claiming that it's hurting businesses. He called these $9 tolls to get into the Central Business District "destructive to New York."

"Congestion pricing is not a good situation," Trump told reporters on Air Force One. "They're treating the people of New York very badly."

The MTA board has doubled down on what they say are the benefits of the tolling program, reporting that since it went into effect, traffic has been down 9%. But it's a statistic that Trump believes is problematic.

"Traffic will go down because people aren’t going to come," Trump said. "If people don't come, that means the whole place is, it's going to be a disaster. That means they’re not going to spend their money in New York."

Congestion pricing meaning

The backstory:

New York City's congestion pricing program, launched back in January, imposes a $9 toll on most drivers entering Manhattan below 60th Street.

The landmark initiative was designed to reduce traffic congestion, improve air quality and raise funds for much-needed public transit upgrades, although critics have said it is just one more unfair cost to commuters to fund the MTA.

Big picture view:

Similar toll programs for getting people into public transit by making it cost-prohibitive to drive have long existed in other global cities, including London, Stockholm, Milan and Singapore, but the system had never been tried before in the U.S.

New York intends to use the money from tolls to issue bonds that would fund billions of dollars in improvements and repairs for the city’s creaky and cash-strapped transit system, which carries some four million riders daily.

Is congestion pricing still in effect?

What's next:

Within minutes of the announcement on Wednesday, the MTA filed a lawsuit, and until a judge issues a verdict, "we're not turning off the tolls," MTA Chair Janno Lieber said. The governor echoed a similar sentiment, saying the toll program would continue while the lawsuit plays out.

The MTA argues that congestion pricing is essential for funding subway and bus improvements. A significant portion of the program’s revenue was earmarked for public transit enhancements, including station accessibility upgrades and the long-awaited extension of the Q subway line into Harlem.

New York City