New York 2025-2026 Regular Session

New York Assembly Bill A02144

Introduced
1/15/25  
Refer
1/15/25  

Caption

Exempts residents of lower Manhattan and Staten Island from the congestion surcharge imposed under the tax law.

Summary

This bill would amend the Tax Law to exempt certain for-hire transportation trips from New York’s congestion surcharge when the passenger resides either in the congestion zone or in Staten Island. In practical terms, it creates a residency-based carveout from the surcharge for trips involving residents of lower Manhattan and Staten Island, regardless of the general applicability of the congestion pricing program to for-hire vehicles. The bill is narrowly focused on one component of the congestion surcharge framework: the tax imposed on for-hire transportation trips. It would not repeal congestion pricing generally, but would reduce the cost burden for qualifying residents by removing the surcharge from covered trips. The measure would take effect 30 days after becoming law, with immediate authorization for any needed regulatory changes.

Impact

If enacted, the bill would amend section 1299-a of the Tax Law to exclude certain residents from paying the congestion surcharge on for-hire transportation trips. This would directly affect the state’s congestion pricing revenue structure by narrowing the base of trips subject to the surcharge and would likely reduce costs for residents of lower Manhattan and Staten Island who use taxis, rideshare services, or other for-hire vehicles. It would also require implementation through updated rules or regulations by the relevant state agencies.

Sentiment

Based on the bill text and the absence of recorded committee discussion or votes, the available context suggests the measure is presented as a targeted relief proposal rather than a broad policy overhaul. The caption and language indicate a pro-exemption stance for affected residents, but there is no documented legislative debate in the provided materials to show broader support or opposition. As a result, the overall sentiment can only be characterized as a localized, consumer-relief approach to congestion pricing.

Contention

The main point of contention is likely the fairness and policy rationale of exempting residents of lower Manhattan and Staten Island from a surcharge that applies to other users of for-hire transportation in the congestion zone. Supporters would likely argue that residents should not be penalized for trips originating in or near their homes, while opponents may view the exemption as undermining congestion pricing goals, reducing revenue, and creating unequal treatment among city residents and commuters. No specific objections or endorsements are recorded in the provided committee or vote history.

Companion Bills

NY S02362

Same As Exempts residents of lower Manhattan and Staten Island from the congestion surcharge imposed under the tax law.

Previously Filed As

NY S02362

Exempts residents of lower Manhattan and Staten Island from the congestion surcharge imposed under the tax law.

NJ S3095

Prohibits residential landlord from imposing certain surcharges for rent payments.

NJ A2627

Prohibits residential landlord from imposing certain surcharges for rent payments.

NY A04587

Directs the commissioner of transportation to conduct a study on the effects of the congestion surcharge imposed in lower Manhattan, including impacts to residents and businesses in the congestion zone, and any reduction in emissions resulting from such surcharge; requires a report on the findings of such study to be submitted no later than 2 years after the effective date.

US HB344

Anti-Congestion Tax Act This bill prohibits the Department of Transportation (DOT) from awarding capital investment grants to the Metropolitan Transportation Authority (MTA) for projects in New York until DOT certifies that vehicles using certain crossings to enter into Manhattan's congestion tolling zone receive exemptions from congestion tolls. The vehicular crossings include the Holland Tunnel, the Lincoln Tunnel, the George Washington Bridge, and any other crossing immediately before entry into the congestion tolling zone.As background, the MTA's Central Business District Tolling Program for New York City charges drivers a toll to enter an area in Manhattan designated as the Congestion Relief Zone. Under the bill, congestion tolling zone generally means any roadways, bridges, tunnels, approaches, or ramps that are located within, or enter to, the Congestion Relief Zone, with some modifications.Specifically, the bill requires the MTA to credit a vehicle for the vehicular crossing toll from the amount of the congestion toll charged to the vehicle for entering the congestion tolling zone.Further, the bill allows drivers entering Manhattan using any of the vehicular crossings immediately before entry into the congestion tolling zone to receive a federal tax credit at the end of the year equal to the amount paid in congestion tolls for using the crossing. 

NY A00410

Eliminates the Manhattan resident parking tax exemption; increases the car registration fee for cars registered to residents of Manhattan.

NY A05765

Eliminates the Manhattan resident parking tax exemption; increases the car registration fee for cars registered to residents of Manhattan.

NY A10136

Amends chapter 306 of the laws of 2011 authorizing owners of residential real property in high risk brush fire areas in the borough of Staten Island to cut and remove reeds from their property; extends through December 31, 2027.

NY A10361

Relates to the department of public service; limits increases in the amount of surcharges; establishes a one year moratorium on the collection of energy surcharges; establishes a moratorium on new surcharge assessments, taxes or fees.

TX HB1864

Relating to an exemption from the use tax imposed on certain motor vehicles brought into this state by new Texas residents.

Similar Bills

No similar bills found.