This week, the U.S. Transportation Department announced that $285 million will be awarded to Alaska for modernizing and upgrading its ferry system. This money is mainly from programs that Sen. Lisa Murkowski included to last year’s bipartisan Infrastructure Bill, but Alaska receives more than she anticipated.
“I’m so happy. She said, “I’m so happy.”
There is concern that this might be a mess because the federal money will require that the state match funds in excess of $100 million. Then, the state will support the new facilities and ferries with operating and maintenance funding.
The state Transportation Department applied to federal grants and claimed that it was committed to matching the funds. Governor In his first term, Mike Dunleavy didn’t show much affection to the ferry system. He reduced the budget of the Alaska Marine Highway System, sold two state-owned fast ferries at a fraction their cost, and vetoed $17million to retrofit Alaska Class ferries. He also sat idle and sold M/V Malaspina to save millions on repairs.
Murkowski stated that she spoke with the governor and Bert Stedman (co-chair of Senate Finance Committee), about the necessity to spend state money to receive federal grants.
She said, “It’s going take some money but it’s worth investing.”
Alaska received 75% of federal money for ferry operations this year. The infrastructure law provides four years of ferry grants. Pete Buttigieg, Transportation Secretary, stated that this reflects the need for ferry grants in Alaska’s coastal areas that aren’t connected by roads.
In an online press conference, he stated that waterways were essential for many communities, including those along the Alaska Marine Highway.
Six grants were awarded to the recipients. They would, among others:
* A hybrid diesel-electric vessel will replace the Tustumena (a 58-year old ferry that serves Kodiak and Southwest Alaska communities) with a hybrid diesel/electric vessel.
* Juneau and Cordova upgrade docks
* Replace docks in Chenega, Tatitlek, and Pelican
* Create new mainline ferries which could run on diesel and electricity
* Modernize the Columbia Kennicott Matanuska, Matanuska, and Tazlina ferry lines;
* Contribute $45 million to increase operating funds.
Shannon Mason, the governor’s deputy press secretary responded to emails about funding ferry services.
She wrote that “The Office of the Governor will work with the Legislature to evaluate all options to match this funding.” “We have resources that are already appropriated and could be used to match some funding.”
