Alaska receives $410 million for Marine Highway System

The Alaska Department of Transportation and Public Facilities has been awarded $410 million in federal funding to support the Alaska Marine Highway System (AMHS). This allocation represents the final installment of a five-year funding cycle established by the 2021 Bipartisan Infrastructure Law.

The investment includes $161.2 million for AMHS operations support to assist vessel operations, crew, fuel, and maintenance across more than 20 communities. Significant capital improvements include $153.4 million to design and construct a replacement for the 1974-built LeConte ferry, $37.6 million for the Cascade Point Ferry Terminal, and $33.4 million to modernize the Kake Ferry Terminal.

Additional funds include $20.6 million for the expansion of the Saxman Seaport and $4 million for modernizing customer service and reservation systems. The release of these funds follows delays that officials attributed to administrative issues within the federal grant process, which had previously caused concern regarding the continuity of ferry services in Southeast and coastal Alaska.