Federal Transit Administration Awards Alaska $131 Million for Ferry Service
DanThornberg | Envato
US Senators Lisa Murkowski and Dan Sullivan announced recently that the Federal Transit Administration (FTA) is awarding $131 million more in bipartisan infrastructure investments to support the Alaska Marine Highway System’s (AMHS’s) operations and to recapitalize portions of the fleet.
A Big, Fat Deal
In January, Murkowski announced $285 million in infrastructure funding to improve reliability and service Alaska’s ferry system, an announcement she marked as a “big fat deal” for Alaska and its ferry system, which serves more than thirty communities across 3,500 miles of coastline.
“Today’s announcement by the FTA is another ‘big fat deal’ for the Alaskans who rely on our critical ferry system—this transformational funding will help address the system’s crumbling operations and ensure sustainable connections to rural communities,” says Murkowski. “I grew up using the ferry system to get around Southeast, and I know how important the Alaska Marine Highway System is to so many Alaskan families. By supporting operations across the state and replacing the M/V Tustumena serving Southwest Alaska, we are helping connect coastal communities across the state. When leading negotiations of the bipartisan infrastructure law, I was focused on ensuring our Alaska Marine Highway System would be healthy and strong, and today’s announcement will help that vision succeed. I encourage the state to smartly take advantage of these investments—the future of the Alaska Marine Highway System depends on their efforts and contribution. We cannot miss this transformational opportunity.”
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The funding was made possible by the Infrastructure Investment and Jobs Act (IIJA), in which Murkowski played a lead role writing and negotiating for Alaska. These awards are part of the IIJA’s newly established Ferry Service for Rural Communities Program, Murkowski’s new program to provide competitive funding to states which will allow for basic essential ferry service in rural areas.
In January 2023, Murkowski announced $285 million for Alaska’s ferry system. In July 2022, she announced an historic $300 million in funding being made available for ferries. This brings a total of $716 million thus far to support the Alaska Marine Highway System. To date, Alaska has received more than $6 billion and counting in infrastructure investments as a result of the IIJA.
“The major awards announced today for the Alaska Marine Highway System are excellent news for Alaska’s coastal communities and the thousands of Alaskans who rely on the ferry system,” says Sullivan. “The vast majority of Alaska’s communities have no connection to the road system, which means ports and ferries are as essential in our state as roads and bridges are in most other parts of the country. I commend Senator Murkowski for championing this ferry program in the bipartisan infrastructure law, which continues to bear fruit for Alaska. As a member of the Commerce and Environment and Public Works Committees, I will continue to press for investments in Alaska’s ports and ferries, which are vital to the economic interests and well-being of Alaskans across Southeast, the Gulf, and the Aleutians.”
“Thanks to Senators Murkowski and Sullivan for their continued support in funding the much-needed replacement for the M/V Tustumena and operational funds for the Alaska Marine Highway System,” says state Senate President Gary Stevens from Kodiak.
“It is great news to have more financial assistance from the federal government to facilitate the rejuvenation of the operations of the Alaska Marine Highway,” says state Senator Bert Stedman from Sitka. “I want to thank both Senator Murkowski and Senator Sullivan for their hard work in helping to stabilize the Marine Highway, and I look forward to working with the delegation to secure the necessary matching funding from the state.”
“These dollars are critical to rebuild our coastal infrastructure,” says state Senator Jesse Kiehl from Juneau. “Replacing ships and investing in crews builds a sustainable, more efficient ferry system for the next generation of Alaskans. This summer I reassured Senator Murkowski and [US Transportation] Secretary Buttigieg: ‘Alaska is investing this once-in-a-generation funding with an eye on the far horizon.’ We’re grateful for these targeted investments in the ferry system from our federal partners—and we’re putting them to wise use.”
“The Alaska Marine Highway System serves a critical role in Alaska’s transportation system. I thank our federal delegation for their continued bipartisan efforts to secure investments for the Alaska Marine Highway System,” says state Senator James Kaufman from Anchorage. “I also applaud the AMHS organization and the operations board for their work developing a system-wide long-range strategic plan to guide the effective deployment of these dollars. This announcement highlights a shared commitment to the ongoing success of our ferry system.”
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