The interpretation of a federal judge's ruling on NYC congestion pricing differs between the parties involved.

On Monday, a federal judge issued a partial ruling in the dispute between New York and New Jersey over New York City's contentious congestion pricing, determining that New York mostly complied with the requirements to implement a toll system for drivers entering the heart of Manhattan.

Judge Leo M. Gordon of the U.S. District Court requested that the Federal Highway Administration (FHWA) examine and provide clarification on specific elements of the congestion pricing program.

Gordon requested additional information from the FHWA but did not explicitly state whether the program should proceed on Jan. 5, 2025.

Officials from New York and New Jersey declared victory after Gordon made his decision.

New York Gov. Kathy Hochul announced that the program will proceed this weekend.

Janno Lieber, the MTA Chair and CEO, expressed gratitude for Gordon's decision.

"Judge Gordon agreed with the New York federal court and rejected New Jersey's claim that the Environmental Assessment approved 18 months ago was deficient. The decision does not interfere with the program's scheduled implementation this coming Sunday, January 5. On the two remaining issues where the Judge requested that the Federal Highway Administration (FHWA) provide additional data, we're confident that the subsequent Federal actions, including the approval of the revised, reduced toll rates, did put those issues to rest."

Although Hochul and the MTA declared a victory in implementing congestion pricing, Randy Mastro, the attorney for the State of New Jersey, interprets Gordon's decision differently, stating that congestion pricing is on hold until further clarification from federal officials.

The court has ruled against the MTA's congestion pricing proposal due to New Jersey's litigation. The judge has ordered a remand, which means the MTA cannot proceed with implementing the current proposal on January 5, 2025. The judge found that the Federal Highway Administration acted arbitrarily and capriciously in approving the MTA's plan, that the FHWA's decision provided no rational explanation of mitigation commitments, that New York changed its tolling scheme significantly after it gained federal approval, and that more consideration is needed before the current congestion pricing proposal may take effect.

"The New Jersey government is strongly against any attempt to implement a congestion pricing plan in the last weeks of the Biden Administration, which would involve imposing a $9 toll on individuals traveling into downtown Manhattan for work, school, or leisure, with the toll gradually increasing to $15 over time."

The FHWA has until January 17, 2025 to provide feedback, as per the judge's decision.

In a 12-1 vote, the MTA approved Hochul's congestion pricing plan last month.

In January, congestion pricing will be implemented, and a video-enforced toll will be imposed on newly-built gantries surrounding the city's core. Traffic below 60th Street and Central Park, as well as those entering from New Jersey, Brooklyn, or Queens except for via the RFK Triboro Bridge and George Washington Bridge, will be subject to the toll.

Hochul previously stated that she would prefer a slightly lower price of approximately $9, citing inflation, while Lieber expressed his willingness to explore whether a lower toll could achieve the same revenue objectives.

By 2031, Manhattan drivers will face a higher-priced toll as a result of the MTA's agreement to a phased-in congestion pricing plan.

If congestion pricing is already in place, President-elect Trump's plan to scrap it could be more complicated upon his return to the Oval Office on Jan. 20, 2025.