State will build new ocean-going ferry to replace aging MV Tustumena

Gov. Mike Dunleavy and Transportation Commissioner Ryan Anderson announced plans to build a new ocean-class state ferry vessel to replace the aging, 57-year-old MV Tustumena.

“The ‘Tusty’ has been plying rough seas for nearly 60 years and is approaching the end of its service life. Annual repairs for the vessel now reach $2 million,” Dunleavy said.

“I’ve asked DOT to replace this key piece of infrastructure to ensure connectivity for our coastal communities for another 50 years.” The vessel is well beyond the end of its expected service life.

The replacement vessel is estimated to cost $200 million to $250 million and will be competitively bid. The governor hopes it can be built an an Alaskan shipyard. The new ship is expected to begin service in 2027.

The new ship’s vehicle and passenger capacity would increase by 40 percent over the Tustumena, from 34 to 52 vehicles and from 160 to 250 passengers.

“The new vessel will make the fleet more resilient and responsive to the needs of coastal communities—through more passenger and vehicle space, but also more fuel-efficient engines, diesel and electric propulsion systems, and an efficient design to move through the water easily,” said state transportation commissioner Ryan Anderson.

“It will be built to serve coastal communities throughout our system, allowing flexibility to move our ships around during annual lay-ups.”

The Alaska Dept. of Transportation and Public Facilities will fund the vessel over multiple years using federal funds. The agency will also make use of new type of construction management/general contractor, or CM/GC, process to manage construction. It will be a competitive process.

“The “CM/GC” project delivery allows DOT&PF to address constructability early in the design process, and address possible construction issues before welding a single piece of steel, eliminating inefficiencies, potentially saving time and money. DOT has used this process successfully to come in under budget and ahead of schedule on several large projects,” the agency said in a statement.

Dunleavy recently signed into law a new provision that allows DOT to use the CM/GC process more efficiently.

“No shipyard has been preselected. While building a vessel this size in an Alaska shipyard could be difficult, we hope our in-state shipyards look for a way to compete and bid so the work can be kept here in Alaska, adding fuel to our economy,” the agency said.

The functional design of the ship is complete and ready for the next stage, which is the detailed design with the CM/GC contractor.

The first phase of the process, a detailed design and cost review of the new vessel will be completed in a 10-to-12-month period.

The first phase should end with an agreed-to guaranteed maximum construction price with incentives for the contractor to come in under that price.

Meanwhile, other Alaska marine highway upgrades include:

$8 million in upgrades to the Tustumena to extend her service life.

The ability for passengers to plan trips around a reliable schedule. An 18-month schedule of ferry sailings became available for the first time on the Alaska Marine Highway System last summer.

Crew quarters going onto another state ferry, the M/V Hubbard, in a project estimated to cost $16 million. If the project is awarded in state, it will mean more jobs for Alaskans.

A newly established essential ferry service for rural communities with a potential for $1 billion in funding from the infrastructure act.

Backup ferry service for M/V LeConte, while the ship is in annual overhaul maintenance.

A targeted recruitment program for maritime workers, given the global shortage.