The FERRIES Act authorizes and appropriates significant long-term federal funding to modernize passenger ferry fleets, improve terminal infrastructure, and expand essential ferry services for urban and rural communities.
Emily Randall
Representative
WA-6
The FERRIES Act authorizes and provides significant new funding from 2027 through 2031 to modernize, expand, and sustain passenger ferry services across the United States. This legislation strengthens critical infrastructure by increasing support for ferry boat construction, urban transit programs, rural connectivity, and fleet modernization. By establishing permanent grant programs and providing dedicated appropriations, the bill aims to improve the reliability and efficiency of essential maritime transportation.
FERRIES Act Pours $3.5 Billion Into Water Transit: New Rural Routes and Shipyard Jobs Starting 2027
The FERRIES Act is a massive multi-billion-dollar commitment to upgrading how we move across water, specifically targeting the years 2027 through 2031. It isn't just a small tweak to the budget; it’s a full-scale overhaul that turns temporary pilot programs into permanent fixtures of our national transit strategy. By authorizing hundreds of millions annually for boat construction and terminal upgrades, the bill aims to make ferry travel a more reliable, modern alternative to sitting in bridge traffic or driving hours around a bay.
Bridging the Rural Gap One of the most significant shifts in this bill is the "Ferry Service for Rural Communities Program" under the new Section 5308. It puts a heavy thumb on the scale for small towns, mandating that at least 80 percent of its $300 million annual budget goes to services connecting two or more rural areas. For someone living in a coastal or island community where the 'road' is actually a waterway, this means more frequent trips and better-maintained vessels. It removes the previous distance restrictions, acknowledging that a short hop across a river can be just as vital as a long-haul trek across a sound.
Modern Ships and Local Jobs The bill also rebrands and expands the old low-emission pilot program into the permanent "Ferry Fleet Modernization and Shipyard Job Creation Grant Program." With $140 million in annual authorizations and an extra $500 million in direct appropriations, the focus is on two things: cleaner technology and American labor. If you work in a shipyard or a related trade, this provision (Section 5313) is designed to keep order books full. It’s a classic 'buy clean, build local' play that attempts to upgrade aging, smoky diesel engines to modern standards while propping up domestic manufacturing.
The Funding Fast Track To make sure these projects don't get stuck in bureaucratic limbo, the bill provides over $3 billion in direct appropriations from the U.S. Treasury that are 'available until spent.' This is a big deal because it bypasses the usual annual spending caps that often stall long-term construction. Whether it's the $1.25 billion for urban ferries or the $500 million for terminal facilities, the money is locked in and ready to roll out in predictable $100 million to $250 million annual installments. While up to 2% can be used for administrative overhead, the bulk of the cash is strictly earmarked for the physical infrastructure—the docks, the ramps, and the boats themselves—that keeps commuters moving.