Alaska ferry officials looking at ways to address lower ridership, aging vessels
The Alaska Department of Transportation is considering how to act on a study addressing issues within the Alaska Marine Highway System, including an aging fleet and decreased ridership, officials said.
The study conducted by research firm Northern Economics evaluated 11 options for overhauling the network of vessels that moves people, vehicles and goods, The Alaska Journal of Commerce reported Wednesday. The study is currently in draft form, with a finalized report expected to be ready in December.
The budget cuts passed earlier this year had some impact on the Bellingham run, including a smaller ferry that’s being used this winter. The MV Matanuska sails out of Bellingham three times a month in November, December March and April, and four times a month in January and February.
The Alaska ferry system has taken other steps to address budget cuts, such as introducing a dynamic pricing system where prices increase as ferry reservations fill up.
Ferry ridership has declined from about 350,000 passengers in 1998 to 251,000 passengers in 2018. The drop coincides with GPS and other technological advances that have made flying safer and more consistent, transportation department Commissioner John MacKinnon said.
Vehicle transport has remained steady at about 100,000 car, truck and van shipments per year, according to ferry service figures.
Ten of the state’s 12 ferries are 37 years old on average and six ferries are more than 40 years old.
The ferry system’s budget has been cut in half since its peak of $111.2 million in fiscal year 2012, and service levels have been cut about 25% over that time. This year’s budget calls for a $56 million state subsidy, which is a compromise between the Legislature and Republican Gov. Michael J. Dunleavy’s original proposal of $21.8 million.
David Gallagher contributed to this article.
This story was originally published November 15, 2019 at 5:00 AM.