New York governor pushes for tax increase after nixing toll program in Manhattan

ALBANY, N.Y. (AP) — On Wednesday, Gov. Kathy Hochul enraged environmentalists and public transit advocates — but delighted suburban commuters — by putting the brakes on a plan to battle New York City’s traffic by imposing high tolls on Manhattan drivers.

On Thursday, she was scrambling to get support for her proposal to hike a business tax as a way of replacing the $1 billion per year the tolls had been expected to raise for New York’s ailing subway system.

The governor’s behind-the-scenes effort to get legislative approval for the tax hike came a day after she unexpectedly upended the “congestion pricing” toll, a program that was in the works for years and had been scheduled to launch June 30.

The Legislature, which is expected to wrap up its annual legislative session on Friday, would have to approve the tax increase on city businesses, known as a payroll mobility tax.

It did not appear to have much support.

“To tell New Yorkers that you care about the cost of living and then to propose a raise on their taxes, to me, is incomprehensible. It does not make sense,” said Sen. Zellnor Myrie, a Democrat.

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