Today, CBC Vice President for Research, Ana Champeny, will deliver testimony on congestion pricing and the fiscal health of the MTA. Congestion pricing revenues will provide critical funding for one-quarter of the MTA's 2020-2024 Capital Plan—resources that are essential to ensure progress toward a state of good repair for the region's transit system.

Congestion Pricing

• Keep the program as clear and consistent as possible to ease implementation and ensure that the benefits are balanced among three goals—reducing congestion, reducing emissions, and supporting the MTA’s capital plan;
• Limit exemptions to public and some private transit providers, and those required by law;
• Do not provide credits for tolls at other crossings;
• Use data from congestion pricing to adjust tolls at regular intervals to ensure the program is meeting its goals;
• Congestion pricing revenues are expected to support $15 billion in borrowing for the MTA’s 2020-2024 Capital Plan, but the $1 billion in annual revenue may not go as far as expected;
• Project costs may have increased due to inflation; and 
• The MTA’s ability to raise those revenues may be constrained by higher interest rates.

2025-2029 Capital Plan

• Development of the MTA’s 2025-2029 Capital Plan, which begins this fall, should focus on bringing the system to a state of good repair; projects will need to be prioritized, as capital needs will exceed available resources.

Operating Budget

• The MTA's operating budget projected to be balanced through 2029, based on CBC's updated analysis of the State's stabilization plan and the MTA's updated revenue forecast;
• Despite the positive news, there are significant risks that could weaken finances, including ridership recovery, potential continuation of high rates of fare evasion, and the uncertainty of casino revenues.