Governor Hawkle gets the point, even if he doesn’t understand the principle behind it.
Still, her batting average is .500, making her a very good politician.
The Governor’s decision to slam the brakes on the congestion tax is a surprising about-face, and seems even more so considering he waited until just 25 days before the greedy purse strings were to begin.
Her reasoning is uncontroversial.
“Let’s be realistic, a $15 fee would squeeze the very people who make our city go,” she said in a video release.
She also warned that the tax would “pose another obstacle to our continued economic recovery from COVID-19.”
All of this is true and has been obvious from the start, as The Washington Post has repeatedly pointed out in its campaign to raise prices.
So why the delayed awakening?
Overcoming fear
The tax plan was reportedly so unpopular that Democrats, fearing they would lose their House seats in the November election, asked Rep. Hockle for a reprieve.
If this is true, it means she could reverse course again after the election and revive the plan.
While possible, it is unlikely as it would be political suicide for her.
She has now made such a strong and fundamental case against this usurpation that if she were to back down again, she would be thrown out of Albany.
What you need to know about congestion pricing
- These rates will apply during peak times from 5am to 9pm on weekdays and 9am to 9pm on weekends. Tolls at other times will be reduced to $2.75 for cars, $6 for light trucks, $9 for large trucks and $1.75 for motorcycles. All other rates will remain unchanged.
- Emergency vehicles, school buses, government vehicles and vehicles carrying disabled people are exempt.
- Drivers who use the toll tunnel into Manhattan receive a $5 discount.
Plus, the impact on workers and the fact that the tax would permeate the economy and drive up the prices of nearly every good and service in Manhattan remain facts, so it’s hard to imagine her defending the plan with a straight face again.
Same goes for Mayor Adams, who tacitly supported the tax but appears to have no involvement in lowering the rate.
It’s odd for Gotham’s mayor to be a bystander to such a major city decision.
Still, it’s worrying that Haukl is reportedly considering a new business tax to replace the $1 billion that would have been collected by the MTA each year in congestion fees.
Any sort of substitute tax would demonstrate her lack of understanding of basic economic principles.
New York City government already taxes and spends heavily, and its constant quest for more funding is a major reason why the city and state are driving population migration to family and business-friendly areas.
Unbalanced spending robs the tax base and impedes job and business creation.
“The rising cost of living”
As I wrote in an op-ed opposing congestion pricing last month, “The government is a huge contributor to Gotham’s exorbitant cost of living, yet it continues to raise fees in the ignorant belief that further redistribution schemes can make the city more affordable.”
The state’s budget is already twice as large as Florida’s, despite the state’s population being 3 million more than Florida.
That means New York spends twice as much per capita as Florida, yet no sane person would argue that New York residents enjoy a better quality of life.
Rather than imposing new taxes, a better option would be to cut the MTA’s bloated finances and end its money-sucking ways. As an example, the MTA has admitted to losing $750 million a year to fare-saver charges, but has been unwilling to find a solution.
Providing alternative funding only encourages poor management and perpetuates the problem.
On the other hand, if the city of Albany and its city officials believe transit needs bigger subsidies, they should find the money by cutting other spending, not by increasing its tax burden, which is already one of the highest in America.
Only if Hawkle moves in that direction can New Yorkers be sure she is making the right decision for the right reasons.
