METRO Magazine Logo
MenuMENU
SearchSEARCH

New report encourages cities to consider congestion pricing

This road-user charge system uses a flat or variable rate fee to charge vehicles that drive in a specified area or zone within a city.

August 9, 2019
New report encourages cities to consider congestion pricing

Image of Stockholm City Hall.

Björn Olin/ mediabank.visitstockholm.com

2 min to read


Image of Stockholm City Hall. Björn Olin/ mediabank.visitstockholm.com

The National League of Cities (NLC) released a new guide that encourages cities to consider congestion charging systems as a potentially economical solution to build thriving communities, calm traffic and improve quality of life for residents.

Congestion pricing is a type of road-user charge system in which a flat or variable rate fee is charged to vehicles that drive in a specified area or zone within a city. Congestion pricing models can help communities properly price the use of its roadways, which are a finite, in-demand good. These models are built on a basic economic concept: When a public good is in high demand, the price charged to use that good increases to reflect its value and thus, what users are willing to pay to use it. Most of these systems will be used to fund transit and infrastructure.

In the guide,“Making Space: Congestion Charging in Cities,” NLC explores how congestion charging systems can become a practical funding alternative to keep up with the nation’s transportation mobility projects. The report explains how congestion charging works, reviews the different pilot programs, and shows the potential advantages and barriers to implementing pilots in the U.S.

Ad Loading...

The ASCE has given American infrastructure a “D+”. It could cost almost $5 trillion to fully fix and upgrade American infrastructure. Congestion-charging systems could potentially raise billions of dollars per year.

Meanwhile, congestion is a major problem in cities, set to get worse as the population grows and our transit systems continue to depend on cars and ride share applications, and autonomous vehicles begin to roll out. In U.S. cities with populations of 50,000 or more, 91% of residents commute by car. In mid-sized cities it hovers between 86% and 87%, and in large cities, that number drops to 78%. Even among the 15 largest cities, only five have comprehensive transportation systems.

Congestion pricing is a new and emerging framework that doesn’t yet exist in the U.S., although New York City is about to launch a congestion charge.

The report includes case studies from:
•    London
•    Stockholm
•    Singapore
•    New York City

NLC’s top legislative priority in 2019 is rebuilding and reimagining America’s infrastructure, the organization stated. The Rebuild With Us campaign has prioritized ways Congress and the administration can work with local leaders in key areas, including transforming U.S. transportation systems, broadband and water infrastructure. NLC is calling on Congress to develop and pass a comprehensive bill that rebuilds and reimagines America’s infrastructure in partnership with local governments.


More Management

Cover of a Strada 360 guide titled "Turn Transit Data Into Action: How to solve common transit agency pain points with connected technology." The cover features a blurred transit bus, a gray grid background with orange accents, and text describing how connected technology helps transit agencies improve visibility, operational efficiency, maintenance, scheduling, and data-driven decision-making. An orange callout highlights the challenges facing today's transit landscape.
SponsoredAugust 2, 2026

Turn Transit Data Into Action

Discover how leading agencies are using connected technology to gain real-time visibility across operations, improve service reliability, and reduce disruptions.

Read More →
An aerial image of SMU/Mockingbird Station with text reading "Transit-Oriented Development. Your Questions, Explained."
Managementby Elora HaynesAugust 1, 2026

What Transit-Oriented Development Means for the Future of Public Transportation

Once viewed primarily as transit operators, agencies are now leveraging land, partnerships, and long-term planning to boost ridership, expand housing, and strengthen communities.

Read More →
A graphic with an image of railroad track in the background and text reading: "$22 Million for Transit Innovation, Updates to High-Speed Rail Rules."
Managementby Staff and News ReportsJuly 31, 2026

USDOT Announces $22 Million for Transit Innovation, Updates High-Speed Rail Rules

New federal transit funding will support safety, accessibility, and technology projects as updated rail regulations establish new noise standards for high-speed trains.

Read More →
Ad Loading...
A blue graphic with text reading "TCC Unveils Case Studies Ahead of Federal Funding Deadline."
Managementby Elora HaynesJuly 29, 2026

Transportation Construction Coalition Unveils Infrastructure Case Studies Ahead of Federal Funding Deadline

The coalition noted the next surface transportation bill should provide sustained investment in highways and public transit to strengthen freight movement, improve safety, and support economic growth.

Read More →
Fred Ferguson, President/CEO of the American Bus Association
Managementby Alex RomanJuly 29, 2026

People Movement: American Bus Association Extends Ferguson and More

METRO’s People Movement highlights the latest leadership changes, promotions, and personnel news across the public transit, motorcoach, and people mobility sectors.

Read More →
Driving Change: Award Winners Redefine Industry Standards
Technologyby Staff and News ReportsJuly 29, 2026

METRO Magazine Announces 2026 Innovative Solutions Awards Winners

Projects Recognized for Advancing Mobility Through Technology, Accessibility, Workforce Innovation, and Operational Excellence

Read More →
Ad Loading...
 An MBTA bus
Managementby StaffJuly 28, 2026

MBTA Rolls Out Pilot Programs to Cut Costs, Simplify Travel

Three new fare pilots — including unlimited two-hour transfers, reduced express bus fares, and free transit for eligible seniors — will launch this fall as Massachusetts extends popular commuter rail discounts through November.

Read More →
A public transit bus at a pedestrian crosswalk with text reading "Federal Transit Administration Makes $610 Million Available for Bus Projects."
Managementby StaffJuly 27, 2026

FTA Opens $610 Million Funding Opportunity for Bus Infrastructure Projects

The latest Notice of Funding Opportunity provides transit agencies with funding for bus facilities, fleet modernization, and low- and no-emission vehicles, with applications due September 21.

Read More →
A photo of an Amtrak train with a logo
Managementby Alex RomanJuly 24, 2026

Biz Briefs: STV teams with Amtrak, Motorcoach Operators Boost Fleet and Land Contracts, and More

From manufacturers and suppliers to transit agencies and motorcoach operators, these updates offer a snapshot of the projects, partnerships and business moves driving the industry forward.

Read More →
Ad Loading...
MBTA rail platform with people walking by.
Managementby Elora HaynesJuly 23, 2026

Massachusetts Approves $530M to Strengthen MBTA Operations, Infrastructure

The funding package targets operating stability, capital improvements, and fare affordability, offering a model for agencies navigating long-term funding challenges.

Read More →