The commission created to come up with a plan to ease traffic in New York City met for the first time yesterday and began its debate on whether Mayor Michael R. Bloomberg's proposal to charge motorists who drive into the busiest parts of Manhattan is the best way to proceed.

The 17 members of the group, which met at Baruch College in Lower Manhattan, include transportation officials, politicians and civic leaders. Most of them are thought to be in favor of the mayor's idea, but whatever plan they agree upon must be approved by the State Legislature and the City Council.

A commission heavy with advocates of congestion pricing was named yesterday to study Mayor Michael R. Bloomberg's contentious traffic-cutting proposal and present a recommendation to state and city lawmakers.
Gov. Eliot Spitzer nominated Marc V. Shaw, a former deputy mayor under Mr. Bloomberg, as head of the 17-member commission, which must make its recommendation by Jan. 31 on whether to impose an $8 daily charge on drivers entering Manhattan below 86th Street. The charge for trucks would be $21.
The commission includes two other members appointed by the governor, who has endorsed the mayor's proposal, three members appointed by Mayor Bloomberg and three appointed by City Council Speaker Christine C. Quinn, who has also supported the plan.
It would appear from those appointments that the mayor can count on a majority of commission members to back his plan. The commission was created by a law passed during a special legislative session in July as a compromise between supporters and opponents of the congestion pricing plan.
The federal Transportation Department said last week that it would give New York $354 million if it went ahead with the mayor's congestion plan. The money would go mostly to improve bus service for drivers who switch to mass transit.

The federal government said on Tuesday that it would provide $354 million for Mayor Michael R. Bloomberg’s broad plan to reduce traffic, but left it to the city to come up with more than $200 million needed for the most controversial part of the plan: a system to charge people who drive into Manhattan.

In addition, under the agreement outlined by the United States secretary of transportation, Mary E. Peters, the release of the funds is contingent upon the City Council’s and the State Legislature’s approving the plan, including the new fee on drivers, by next March.

The announcement was mixed news for Mr. Bloomberg, who is trying to establish the first broad-based congestion pricing program in the country, and to raise his national profile on environmental issues. While the federal support helps to advance his initiative, it is now up to the mayor to find the money — through borrowing, appropriation, or perhaps from a private corporation — for what has been seen as the centerpiece of the plan, the new charge on drivers.

In its federal application, the city estimated that it would cost $223 million to install a computerized system to monitor traffic and impose the fee on cars entering the busiest parts of Manhattan, and asked the United States to cover $179 million of that. But the Department of Transportation said it would contribute only $10 million to that initiative. Most of what the department agreed to provide on Tuesday is designated for the construction of bus depots and other mass transit improvements.

London

THE New York State Assembly ended its session on June 22 without reaching a consensus on Manhattan's congestion pricing proposal - a delay that may cost New York City some $500 million in federal transportation money. Assembly members have voiced concerns about the economic impact of the program, the effect on traffic outside Manhattan and even the effectiveness of the idea itself.

Four years ago, London was engaged in a very similar debate. We now have the luxury of hindsight. While the two cities' situations are not identical, they certainly have analogies and therefore, perhaps, the success of London's program can shed light on the current debate in New York.

At that time, London's business district was undergoing rapid growth, but it was at capacity in terms of traffic. Efforts to channel more cars into the city center simply led to ever lower traffic speeds, which in turn led to business losses and a decrease in quality of life. Simultaneously, carbon emissions were mounting because of the inefficiency of engine use.

In 2003, London put in place a £5 (about $9) a day congestion charge for all cars that entered the center city (the charge is now £8). This led to an immediate drop of 70,000 cars a day in the affected zone. Traffic congestion fell by almost 20 percent. Emissions of the greenhouse gas carbon dioxide were cut by more than 15 percent.

In promoting his sweeping traffic reduction plan, Mayor Michael R. Bloomberg and his aides have stressed one provision: drivers who enter Manhattan below 86th Street would be charged an $8 fee.

But what has not been widely mentioned is a measure that could startle some Manhattanites: those who live within the zone would have to pay $8 to drive out.

The congestion pricing program was devised to cut traffic, chiefly by persuading people from the other boroughs and beyond to leave their cars behind and take public transit into Manhattan. But planners say that those who live inside the congestion pricing zone also contribute to traffic when they drive out, and should pay their share, too.

That means a man from Greenwich Village who drives to visit his grandmother in Queens would pay the fee. So would a C.E.O. who has a reverse commute, driving from the East Side to Stamford, Conn., each morning, and an Upper Eastsider who likes to drive to the Fairway supermarket in Harlem.

It might seem that anyone taking a car out of the congestion zone ought to be rewarded instead of penalized, but officials disagreed.

"We're not trying to get people to leave the zone in their cars," said Deputy Mayor Daniel L. Doctoroff, who played a leading role in fashioning the plan. "Overall what we're trying to do is get people to use their cars less."

ALBANY, June 7 - Mayor Michael R. Bloomberg's plan to reduce traffic by charging people who drive into the busiest parts of Manhattan received significant support on Thursday as Gov. Eliot Spitzer endorsed the idea and the Bush administration indicated that New York stood to gain hundreds of millions of dollars if the plan were enacted.

If the measure is approved by the Legislature, New York will become the first city in the United States to impose a broad system of congestion pricing, which was introduced in London in 2003 and has been credited with reducing traffic there.

Governor Spitzer said he would work to ensure passage of the plan, which is a major part of the mayor's blueprint for improving air quality and traffic flow for the next several decades. The Bloomberg administration has estimated that it could put the program into effect within 18 months of legislative approval.

"This is a necessary investment for the future of New York City, which is to a great extent the economic engine of New York State," the governor said. "And so this is not really a question of whether, it's a question of how, it's a question of making sure that we do it properly."

Mr. Spitzer appeared alongside the United States transportation secretary, Mary E. Peters, who announced that New York City was one of nine finalists for a share of $1.1 billion in federal aid to fight urban traffic. Ms. Peters warned, however, that the city's potential share could be endangered if the mayor's plan did not have state approval by August.

Washington is poised to offer a helping hand, as well as significant money, to assist Mayor Michael Bloomberg in his efforts to solve New York's traffic gridlock. But there is one bump in the road - Albany, which must approve the city's proposed remedy before any money can begin to flow. And some legislators are balking.

The federal Department of Transportation plans to make available $1.2 billion in grants, loans and other financing to metropolitan areas across the country to help them test strategies to relieve traffic congestion.

Mayor Michael Bloomberg likes to talk about the big picture, even if it might not be pretty. Yesterday, he warned New Yorkers how their city could suffer by 2030 without his plans for the future. With a million new people coming into town, housing needs would soar. The sky could be as gray and toxic as London in the '50s. Every road into Manhattan would be above capacity - a gridlock nightmare that would make today's traffic jams look tame.

Saying that he would not spend his final term in office "pretending that all is fine," Mayor Michael R. Bloomberg made a series of Earth Day proposals this afternoon to improve the environment of New York City, including charging a new congestion fee to drivers who come into parts of Manhattan during peak hours during weekdays.

The $8 congestion fee was one of 127 initiatives included in a sweeping plan by the mayor to help the city of currently 8.2 million people cope with an expected surge in population that he said is sure to put a strain on its transportation, housing and energy systems.

"Let's face up to the fact that our population growth is putting our city on a collision course with the environment, which itself is growing more unstable and uncertain," the mayor said.

A key objective is to reduce greenhouse gas emissions by 30 percent by 2030, by which time the population is projected to grow by at least a million people, he said.

The proposal that is sure to attract the most attention, and possibly objections, is one to impose the $8 fee on car drivers, and $21 for truck operators, to drive in Manhattan south of 86th Street.

With New York's population expected to grow by one million in two decades, Mayor Michael R. Bloomberg will call on Sunday for a raft of ambitious and sometimes contentious proposals that are intended to ease traffic congestion, reduce air pollution, build housing, improve mass transit and develop abandoned industrial land.

The speech, which mayoral aides have described as the centerpiece of his final 32 months in office, will outline his vision for the city over the next quarter century, setting priorities for refurbishing the city's aging bridges, water mains, transit system, power plants and building codes. And in the talk on Sunday - Earth Day - the mayor will propose doing so in a way that reduces the strain on natural resources like water, clean air and land.

Toward that end, Mr. Bloomberg is expected to advocate more than 100 proposals, including charging drivers to enter the busiest sections of Manhattan, and using zoning and tax incentives to encourage the construction of 250,000 homes.

FOR the small group of economists and policy wonks interested in applying supply-and-demand theories to the thorny problems of gridlock and ever-longer commutes, the $2.9 trillion fiscal 2008 budget released by President Bush on Monday contained some excellent news: $130 million in grants to finance construction of so-called congestion pricing systems.

Congestion pricing - the concept of charging higher fees to consumers for a good or a service at times of heavy use - is well established in businesses like hotels, long-distance phone service and air travel. And while London and Stockholm have successfully enacted plans that levy fees on drivers who want to enter traffic-clogged city streets, the United States has been slow to apply the concept on the roads. When Mayor Michael R. Bloomberg proposed last year that New York look into congestion pricing as a means of unclogging the city's famously clogged roadways, he was roundly criticized.

Actually, congestion pricing was born and bred in New York City. William Vickrey, the longtime Columbia University economist and 1996 Nobel laureate, is viewed as the father of the concept. In 1959, long before E-ZPass was a twinkle in a planner's eye, Mr. Vickrey proposed that cities could reduce traffic by using electronic systems to charge drivers for the privilege of nosing their sedans into urban grids.

Congestion pricing, the idea of charging drivers for bringing vehicles into the busiest parts of Manhattan, has become a kind of holy grail for transportation advocates and urban planners in New York - a coveted prize that has remained out of reach.

A year ago, officials from a prominent civic group floated a proposal to reduce traffic by levying a $7 fee on cars and trucks driving below 60th Street, but they found themselves treated not like visionary crusaders but like bird flu patients when policy makers at City Hall said very firmly that such a change was not on the mayor's agenda for his second term.