The Metropolitan Transportation Authority board voted on Wednesday to approve a $15 fee for most motorists entering part of Manhattan, with the plan expected to go into effect in June.

The congestion pricing plan, which received minor modifications from its initial proposal, will impose a $15 toll on most commuter passenger vehicles driving into Manhattan south of 60th Street during daytime hours. Larger vehicles will face higher tolls, while late-night entries and motorcycles will have lower rates.

Advocates for the tolls argue that it will incentivize more people to use public transportation, reduce congestion to improve the efficiency of buses and emergency vehicles, lower pollution levels, and generate funds to enhance the city's subway system. The state Legislature had previously approved the tolls in 2019, with the goal of raising $1 billion annually for the city's public subway and bus systems, servicing approximately 4 million daily riders.

The congestion pricing zone will cover the busiest part of Manhattan, south of Central Park, excluding the area beyond 86th Street as originally proposed. The toll rates will vary based on the time of day and the size of the vehicle, ranging from $1.75 for motorcycles during overnight hours to $36 for sightseeing buses and trucks with trailers during the day.

To facilitate toll collection, visitors without E-ZPasses will have to pay higher fees, and license plate readers will be used to identify drivers who will be billed by mail. Taxi passengers will be charged $1.25 per trip that crosses into the zone, while app-based rides will incur a $2.50 fee.

Despite requests for exemptions from over 100 categories of drivers during a two-month public comment period, most were not granted due to the requirement to generate $1 billion in annual toll revenue. However, exemptions were made for emergency vehicles, specialized city vehicles, buses with regular public routes or city school contracts, vehicles carrying disabled individuals, and certain qualifying low-income commuters who may be eligible for discounts and tax credits.

While the approval of the congestion toll has been celebrated by supporters, it has also faced legal challenges from small business owners and the state of New Jersey. If the plan overcomes these legal hurdles, New York City will join the ranks of global cities such as London, Stockholm, Milan, and Singapore that have successfully implemented congestion pricing schemes.

It is worth noting that in 2017, tolls were implemented in Virginia to reduce congestion during rush hour on Interstate 66 near Washington, D.C. However, New York's congestion tolling plan will mark a significant milestone as the first of its kind in a major U.S. city.