Uber hits some riders with mistake congestion pricing fee | Exclusive
Uber riders wrongly hit with congestion fees | Exclusive
FOX 5 NY got some answers after our own Natasha Verma was hit with a congestion pricing fee while taking an Uber, even though she didn’t enter the congestion pricing zone. Now Uber says they will be issuing refunds to not only Natasha, but to any other rider who might have faced the same issue. FOX 5 NY’s Linda Schmidt reports.
NEW YORK - Uber said it will issue refunds to riders mistakenly charged a congestion pricing fee despite not entering the designated zone, an exclusive FOX 5 NY investigation revealed.
The error was due to a mapping glitch by the MTA, affecting rides in a specific area of East 61st Street.
Here's what happened, and how one of FOX 5 NY's own uncovered the error.
What happened to Natasha Verma
FOX 5 NY's own Natasha Verma, who anchors the 10 O'Clock News, typically orders an Uber for her late-night rides home.
The ride, from our Upper East Side studio on 67th Street to 61st Street, should not have been impacted by the newly implemented congestion pricing toll, as Manhattan's official zone covers 60th Street and below.
When Natasha checked her receipt earlier this week, she noticed she was hit with both an "NY Congestion Fee" for $2.75 and an "MTA Congestion Surcharge (Below 60th Street)" for $1.50.
The city had just rolled out its first-in-the-country congestion pricing toll, which charges most drivers $9 to enter a specific zone and tacks on an extra fee to taxi and ride-sharing receipts.
"I started at 67th, I went down York Avenue to 61st. There's a gantry at 60th, I didn't even get there, yet Uber still hit me with this charge," Natasha explained in a TikTok video. "I tried to dispute it on the app and there wasn't even an option for it."
The MTA's faulty congestion pricing map
When Natasha finally heard back from Uber, a spokesperson sent her an "insane" map provided by the MTA.
The ride-hailing service used this map to create an algorithm that automatically applies the $1.50 "MTA Congestion Surcharge" to riders who enter the congestion pricing zone.
Yet the MTA provided map includes a sliver of 61st Street between York Avenue and 1st Avenue, which is not in the zone.
After more back-and-forth, FOX 5 NY learned that the issue arose because the driveway of a building on East 61st Street touches both 61st and 60th Streets.
The MTA has since corrected their map and Uber has "updated [their] algorithm accordingly," the company told FOX 5 NY in a statement.
"The MTA is providing taxis and for-hire vehicle companies a map update to prevent trips ending in the off-street driveway at 420 East 61st Street from being charged the congestion fee," an MTA spokesperson told FOX 5 NY.
Uber is conducting a full review of all receipts since the congestion pricing began. They have committed to refunding any trip that was incorrectly charged the $1.50 fee if it did not enter the zone south of 60th Street.
This map, however, was provided to other ride-hailing companies like Lyft, so riders should make sure to check their receipts for any discrepancies.
How much does congestion pricing cost for taxis and rideshare trips?
Taxis, green cabs and black cars face a $0.75 surcharge per trip, while app-based services like Uber and Lyft charge $1.50 per trip for rides that begin, end or pass through Manhattan's congestion zone.
According to transportation officials, in 2023, taxis made about 12 daily trips. Cut that in half for ride hail vehicles. That’s why the fees at $.75 are lower in the yellow cabs and higher if you’re in an Uber or a Lyft, but customers say it’s still too much.
Prior to this, passengers were already paying up to $2.75 in congestion fees.