Dive Brief:
- The Federal Transit Administration is making $657 million available to upgrade ferry terminal infrastructure, launch new ferry routes and fund new ferry boats under three programs posted April 6.
- Separately, the U.S. Department of Transportation last week awarded $517 million in Federal Highway Administration grants to rebuild bridges in rural areas in 12 states and $54 million for rural and tribal transportation and infrastructure projects through the Build America Bureau.
- Funding for these grants comes from the 2021 Infrastructure Investment and Jobs Act and congressional appropriations.
Dive Insight:
IIJA funding is winding down as the law expires on Sept. 30. Congress has begun developing the next multiyear surface transportation legislation. It’s unclear at this stage when that will be enacted, how it will be funded and how much funding will be available. States, cities, counties and rural communities can still take advantage of the remaining funds and IIJA programs.
Many states along the coasts and Great Lakes, including California, Maine, Michigan, New York and Washington, provide ferry services for their communities. State, city, township, county and tribal governments may apply for $105 million in competitive grants for capital projects under the Passenger Ferry Program and for $98 million in competitive grants through the Electric or Low-Emitting Ferry Pilot Program.
Only state governments can apply for $454 million under the Ferry Service for Rural Communities Program to purchase, construct, replace or rehabilitate ferries, terminals and related infrastructure and equipment. These can include electric or low-emitting ferry vessels and related infrastructure.
“This investment will expand routes and fund new ferries to give American workers and families more transportation options in both rural and urban cities," Transportation Secretary Sean Duffy said in a statement.
U.S. Rep. Rick Larsen, D-Wash., said ferry service is important to states like Washington, which he said has the largest ferry system in the country. “The investment in transportation that we make in the Northwest is critical to our quality of life,” he said in a January interview. Larsen, who is the ranking member of the House Committee on Transportation and Infrastructure, said the committee aims to improve the ferry boat discretionary program.
Applications for the ferry boat grant programs are due May 11, 2026.