Congestion Pricing in New York?

Michael Bloomberg, a mayor with a lot of ambition, is pushing forward with his radical project to transform New York City. His plans for a new Jets stadium on the West Side, the possibility of New York hosting the 2012 Olympics, and the development of the Atlantic Yards in Brooklyn elicited a mountain of controversy when they were first proposed. But his newest plan, to use a congestion charge to reduce traffic in Manhattan, may be the most contentious yet.

Following the example of London and Stockholm, Bloomberg envisions a New York that charges anyone who enters Manhattan below 86th Street $8 per day (the charge zone is represented in the image to the right). Part of his wide-ranging PlaNYC 2030, a proposal to remake the city to accept the influx of more than one million more people in the next quarter century, the plan's transportation component focuses on reducing congestion and ensuring the quality of existing transportation infrastructure.

In both London and Stockholm, which instituted the charges in the centers of their respective metropolitan areas, the policy has resulted in fewer cars entering the charged zone during weekday working hours, an increase in public transit usage, and decreased travel times. Bloomberg's proposal suggests that similar changes in the nation's largest city would result in a similar transformation of its streets. But is the proposal reasonable? And is it even feasible?

Implementation of the project would rely on a grant of more than $200 million from the federal government, which would allow for the installation of the technology that could monitor this system. Mary Peters, the Secretary of the Department of Transportation, suggested that New York's idea was a viable and fundable one, so it seems likely that if the city and state approve the idea, it could be funded with federal dollars.

Enforcement would made by taking advantage of the existing E-Z Pass system and the installation of new cameras on the streets. Drivers with E-Z Passes (70% of drivers in the region) would simply have the $8 bill added to their existing accounts. Other drivers would have their license plates photographed and a bill would be mailed to them. The Mayor suggests that the system would raise $400 million a year, which would be transferred to a new independent authority (nicknamed "SMART"), which would then contribute to local transportation improvements, such as the Second Avenue Subway or the proposed JFK-Lower Manhattan Rail Link. SMART would also benefit from what Bloomberg has proposed would be $200 million a year from both the city and the state's budgets. This would represent a massive increase in mass transit financing.

Whether or not it makes sense to create yet another governmental agency to finance transportation (we already have the Metropolitan Transportation Authority and the NYC Department of Transportation) isn't really the question, though; we need to ask whether or not a congestion charge makes sense in New York City.

Opponents of the system are already making their voices heard, pointing out that the charge would be detrimental to auto drivers from the outer boroughs. They argue that people only drive into Manhattan because they have little other choice because of limited mass transit options. They also have suggested that it's unfair to charge Manhattan drivers only $4, when outer borough drivers (and those from New Jersey) would be charged $8.

But opponents of the plan ignore the mayor's point that the plan would affect only the 5% of New York City's population that drives around Manhattan's Central Business District everyday. Not only are these individuals already, on average, more wealthy than their counterparts who take transit, but they will have access to improved mass transit options when the Bus Rapid Transit strategy that the Mayor has suggested must be implemented first, is actually put into place. And drivers coming from places that already face fees (such as those driving through the Lincoln tunnel) would have their charges reduced so that they pay only a maximum of $8 a day, no more.

Most importantly, though, the plan would result in a reduction in traffic on Manhattan's streets; the program has been proven very effective in both London and Stockholm. Simultaneously, it would result in increased revenues for transit, which would, in turn, presumably mean more transit riders.

If New York intends to plot a course towards improved mobility, at least attempting a congestion charge is likely to result in positive changes. Cities need to find a way to pay for improved public transportation, and they need to get cars off their streets. A congestion charge seems like a good place to begin.