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New Jersey Sues Biden Admin Over New York City Congestion Pricing Scheme



The state of New Jersey filed a lawsuit in a federal court on Friday against New York’s Central Business District Tolling Program, commonly known as the “congestion pricing scheme.”

In a complaint (pdf) filed in the U.S. District Court of New Jersey, the state alleges that the U.S. Department of Transportation (USDOT) and the Federal Highway Administration’s (FHWA) approval, which bypassed a comprehensive environmental impact statement (EIS), violates federal environmental laws and ignores the scheme’s significant impact on neighboring states.

New Jersey Gov. Phil Murphy, a Democrat known for his opposition to the congestion pricing plan, has said that the Biden administration disregarded his requests for an EIS.

The plan, which received approval from the administration recently, has been a subject of contention. Mr. Murphy emphasized that, as per the National Environmental Policy Act, an EIS is required when a project is expected to cause “significant” environmental impacts.

“We believe the feds short-circuited the normal review process,” Mr. Murphy said on Friday in an interview on “Good Day New York.”

The New York City congestion pricing plan underwent a shorter, nearly 1,000-page environmental assessment, which concluded with a finding of no significant impact.

The complaint claims that the FHWA’s “Finding of No Significant Impact” is flawed, as it disregards the potential adverse effects on New Jersey’s environment, public health, and transportation system.

The congestion pricing scheme, aimed at raising $15 billion for the Metropolitan Transportation Authority (MTA) and reducing traffic in Manhattan’s Central Business District, will redirect hundreds of thousands of vehicles into New Jersey.

The New Jersey governor has previously expressed concerns over the scheme, which were cited in the lawsuit: “We can’t fix a broken MTA in New York City on the back of New Jersey commuters … It’s a huge tax on them, and frankly, it challenges our environment because of all the re-routing of traffic that will take place.”

The state of New Jersey asserts that the FHWA’s decision is not based on a thorough environmental review but seems to be a predetermined outcome, favoring New York’s interests while ignoring the impacts on New Jersey. Additionally, New Jersey officials argued that the FHWA failed to consider alternative measures to address traffic congestion in Manhattan.

Furthermore, the complaint accuses the FHWA of neglecting meaningful engagement with New Jersey, a key stakeholder affected by the congestion pricing scheme. The FHWA allegedly disregarded concerns related to environmental justice and its impact on disadvantaged communities.

The lawsuit asks for the court’s intervention to invalidate the FHWA’s approval and demands that the agency conduct a comprehensive EIS for the Manhattan CBD Tolling Program. Additionally, the state requests a transportation conformity analysis, in accordance with the Clean Air Act, to ensure the scheme aligns with air quality goals, including those in New Jersey.



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