Federal appeals court hears Rockland, Orange challenge to congestion pricing
Attorneys representing Rockland and Orange counties appeared before a three-judge panel at the United States Court of Appeals 2nd Circuit, seeking to reverse a lower court dismissal decision from December 2024 that upheld the program.
More Stories
The legal fight over New York City’s congestion pricing program was argued Thursday before a federal appeals court in Manhattan, as two Hudson Valley counties continue their effort to halt the tolling plan.
Attorneys representing Rockland and Orange counties appeared before a three-judge panel at the United States Court of Appeals 2nd Circuit, seeking to reverse a lower court dismissal decision from December 2024 that upheld the program.
During the hearing, the judges questioned whether the appeals court should even be considering the case. Judge Guido Calabresi raised concerns.
“But I don't know if we have jurisdiction at all given that the federal courts are supposed to stay out of state taxing,” Calabresi said. “And this raised a considerable amount of revenue. So it looks like a tax to me.”
The panel ultimately focused much of its questioning on the federal legal issues raised.
Rockland County argues the congestion toll does not directly benefit the drivers who must pay it when entering Manhattan’s Central Business District and it acts as a tax.
“Those expenditures benefit the regional transportation system as a whole, not the particular streets drivers use to enter the CBD,” Parisi told the court.
Orange County’s attorney William Badura also argued the policy unfairly impacts residents who do not have transit options to get into New York City.
“They can't rely on mass transit,” Badura said. “They have to use this toll.”
Attorneys for the Metropolitan Transportation Authority, MTA, defended the program’s legality and financial structure. Brandon Trice, representing the MTA and the Triborough Bridge and Tunnel Authority, said the program generated about $550 million in its first year.
“That's a substantial sum,” Trice said. “Candidly, the sum of the TBTA and MTA is larger than that. That doesn't render it a tax.”
At one point, the hearing turned into a sharp exchange between Parisi and Judge Michael Park over whether the program will actually reduce traffic in Manhattan.
“Let's see if it does,” Parisi said. “I drove in today and it took some time.”
“It's just that the MTA says ‘oh we will reduce congestion,’ so then it passes constitutional muster?” Parisi said.
The judges did not indicate when they might issue a ruling on the appeal.
The court hearing comes amid ongoing legal battles over the congestion pricing plan. Last week, a federal judge blocked attempts by the Trump administration to halt the program.
