New York’s ‘Equity’ Tolls Accused Of Racial Favoritism—And Trump Allies Are Taking Notice

By Alan Hume | Monday, 16 March 2026 04:30 PM
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Image Credit : ABC7 New York / AP

New York City’s newly implemented congestion pricing scheme, sold to the public as a neutral traffic-management and environmental measure, is laced with race-conscious “mitigation” provisions that shield favored minority constituencies while leaving many non-minority residents and drivers to shoulder the full financial burden.

According to the Washington Free Beacon, the program’s architects embedded a network of carveouts and side deals that appear tailored to satisfy the Biden administration’s expansive “environmental justice” agenda, even at the risk of inviting legal challenges from a future Republican administration. Critics argue that by explicitly tying benefits and exemptions to race and ethnicity, New York officials have opened the door to claims of unlawful discrimination—precisely the kind of race-based policymaking that president Donald Trump has repeatedly targeted in court and through executive action.

"I think it would appeal to the Trump administration that the way the analysis was done was improper," Randy Mastro, a Democrat and former top deputy to mayors Eric Adams and Rudy Giuliani, told the Free Beacon. His assessment underscores a growing concern among legal observers that the city’s reliance on racial categories and “environmental justice communities” could prove to be a constitutional Achilles’ heel.

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At the heart of the controversy is New York’s congestion pricing program, which imposes a $9 toll on most cars entering Manhattan’s central business districts during peak daytime hours, with reduced rates at night and on weekends. The toll zone encompasses the entire island south of 60th Street, excluding highways, effectively taxing nearly every vehicle that ventures into the city’s economic core.

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City and transit officials insist the tolls are designed to ease gridlock and cut emissions by nudging drivers toward public transportation, a familiar progressive talking point in urban policy circles. Yet congestion pricing is also a massive revenue engine, expected to generate billions of dollars for the Metropolitan Transportation Authority (MTA) to prop up New York’s chronically mismanaged subway and bus system.

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The city spent years battling lawsuits and navigating federal bureaucracy before securing approval from the Federal Highway Administration in June 2023, with the tolls finally taking effect in January 2025. As part of that approval process, the plan was required to comply with Executive Order 12898, a 1994 directive issued by then-president Bill Clinton that hardwired “environmental justice” into federal decision-making.

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"Each Federal agency shall make achieving environmental justice part of its mission by identifying and addressing, as appropriate, disproportionately high and adverse human health or environmental effects of its programs, policies, and activities on minority populations and low-income populations in the United States and its territories and possessions, the District of Columbia, the Commonwealth of Puerto Rico, and the Commonwealth of the Mariana Islands," the order mandates. In practice, that language has been interpreted by progressive regulators as a green light for race-conscious policy design, often at the expense of equal treatment under the law.

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In its public documents, the MTA makes clear that “environmental justice communities” are, in essence, minority neighborhoods within New York City. That definition, while politically fashionable on the left, raises obvious questions about whether government benefits and burdens are being allocated based on race rather than on objective measures of need or impact.

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When the final details of the congestion pricing plan were negotiated, the MTA was explicit about its priorities. "The proposed toll structure prioritizes keeping the base toll as low as possible, avoiding unnecessary traffic diversions, supporting equity goals and environmental justice, and keeping the Program simple, easy to understand, and easy to administer," the agency said. "Our recommended toll structure is designed to minimize these diversions, and thus minimize adverse impacts of Congestion Pricing on environmental justice communities with existing pollution and/or health burdens."

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The MTA did not respond to a request for comment, leaving unanswered how it reconciles these race-conscious priorities with basic principles of equal protection and non-discrimination. For many conservatives, the silence is telling: progressive bureaucracies are eager to trumpet “equity” but far less willing to defend the legal and moral implications of explicitly race-based policymaking.

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One of the most striking examples of preferential treatment involves New York’s iconic yellow cabs, which are a well-known contributor to Manhattan traffic congestion. Even as the MTA’s own analysis acknowledges the role of taxis in clogging city streets, the agency carved out a special break for taxi drivers on the grounds that most of them come from “environmental justice communities.”

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"Nevertheless, in an effort to reduce the economic impact of the congestion toll on taxi and FHV drivers, many of whom are considered an environmental justice population, the Final EA provides that those vehicles not be subject to more than the daily toll for automobiles," the MTA said. In other words, the city is deliberately softening the blow for one class of drivers because of their demographic profile, while others—often non-minority—pay more.

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By contrast, Uber and other app-based drivers now face a higher congestion toll than traditional taxi drivers, despite performing similar services on the same streets. A much larger share of Uber drivers are white compared with yellow cab drivers, meaning the policy’s disparate impact is not merely economic but racial.

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"There have been several suits filed against New York's congestion pricing scheme, but none of them noticed this issue," Jacob Linker, an attorney who conducted research on the policy for the Rockland County District Attorney's Office, told the Free Beacon. "And it's not just that they racially gerrymandered the pricing, but they were also pretty dumb about it. The city's environmental assessment assumed that all cab drivers were non-white because they're almost all immigrants. A lot of Eastern European cab drivers would be surprised to learn that New York City considers them to be persons of color."

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Beyond the pricing structure, the city created an Environmental Justice Community Group that met quarterly with municipal and state officials to press for favorable treatment. The result was a targeted package of benefits: the MTA ultimately identified 13 predominantly minority communities to receive $100 million in mitigation projects, including new air filtration systems near highways and schools, park upgrades, and roadside vegetation.

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These place-based perks are not trivial; they represent tangible, taxpayer-funded improvements that are unavailable to many other neighborhoods facing similar or worse environmental conditions. The decision to concentrate such benefits in areas selected primarily for their racial and ethnic composition rather than for neutral environmental criteria is precisely the sort of policy that invites equal-protection scrutiny.

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On top of the $100 million in localized projects, the MTA allocated an additional $230 million for broader “regional mitigation.” Rather than being tied to specific neighborhoods, this category includes measures such as reduced overnight tolls and expansion of the city’s clean trucks program, again framed under the banner of environmental justice.

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One of these regional efforts—a toll discount for low-income drivers—was explicitly justified as an environmental justice initiative, according to the MTA. While assistance for low-income residents can be defensible on economic grounds, tying such relief to a broader race-conscious framework blurs the line between legitimate anti-poverty policy and ideological social engineering.

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The place-based mitigation measures are ostensibly designed to cushion areas that "could potentially experience increases in highway traffic as a result of the Program." Yet conspicuously absent from the list of beneficiaries is Staten Island, the city’s only reliably Republican borough and one that is majority white.

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"So many of us kept bringing up the environmental devastation on Staten Island that was reported in their own study, but since the Island is only about 10 percent black and the population is not centered near the highway, the MTA didn't give a crap and the funding went elsewhere. The exhaust fumes are apparently fumier in the Bronx," one former Staten Island lawmaker fumed to the Free Beacon. The remark captures a sentiment widely shared among conservatives: progressive “equity” rhetoric often masks a partisan and racial double standard.

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The legal stakes are heightened by the shifting federal posture on race-based environmental policy. On his first full day in office, President Donald Trump rescinded the 1994 Clinton executive order, denouncing it as "illegal discrimination" and signaling a sharp break with the environmental justice orthodoxy embraced by Democratic administrations.

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"The short answer is yes, it is discriminatory, in that they specifically include 'minority' as part of the definition of an environmental-justice community," said Nicole Gelinas, a senior fellow at the Manhattan Institute who has studied the issue. Her analysis aligns with a broader conservative critique that government should not be in the business of sorting citizens by race to determine who pays and who benefits.

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"It shows the long-term perils of government by executive order," she added. "It would be perfectly valid for a plaintiff to claim that under traditional definitions of discrimination, that this is discriminatory." With the Supreme Court increasingly skeptical of race-based policies—from college admissions to corporate diversity mandates—New York’s congestion pricing framework may soon find itself on the wrong side of constitutional doctrine.

For now, the program stands as a case study in how progressive governance can transform a seemingly neutral policy—charging drivers to reduce traffic—into a vehicle for ideological experimentation and racial favoritism. The unanswered question is not whether the scheme advances fashionable “equity goals,” but whether it can withstand the scrutiny of courts and a public increasingly wary of policies that punish some Americans while privileging others based on the color of their skin.

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