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Feasibility study finds inter‑island ferry to Lanai and Molokai technically feasible but costly; startup depends on funding and Lahaina harbor reopening

2366566 · February 20, 2025
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Summary

Consultants and county staff presented the Maui County Ferry Feasibility Study. Short‑term recommendations would keep existing Lanai service operating and phase in Molokai service aligned with Lahaina harbor reopening. Consultants estimated a 10‑year capital plan near $44 million and annual operating subsidies around $1.8–$2.0 million.

A consultant team told the ADEPT committee on Feb. 20 that a Maui County‑operated passenger ferry system serving Lanai and Molokai is technically feasible but will require substantial capital and annual operating subsidy, and its timing depends on funding and the reopening of Lahaina harbor.

Consultants led by KPFF and DanTech presented options ranging from preserving the existing privately operated Lanai runs (short term) to a long‑term five‑vessel county fleet with bespoke, larger vessels for Molokai crossings. The study recommends continuing the current Maʻalaea–Manele service in the near term; restarting reliable Molokai–Lahaina service would require a sturdier, larger vessel because open‑ocean conditions across the Pailolo Channel are more demanding.

The study modeled a systemwide 10‑year pro forma and found capital needs of roughly $44 million and an estimated annual operating subsidy in the long term near $1.8–$2.0 million. The consultants said fares and ridership are sensitive to tourism and to competing air service; they modeled ridership scenarios that were lower than pre‑2019 service because of pricing and market changes. They also noted regulatory and environmental work needed: federal environmental review (EA level expected), Coast Guard and endangered species considerations, and coordination with state harbor authorities for any terminal improvements at Lahaina, Maʻalaea and Kaunakakai.

Consultants recommended the county acquire suitable vessels from current operators where practical, then contract vessel construction for long‑term use. They advised separate roles: a county program manager to oversee grants and procurement; an operator contracted to run day‑to‑day operations and maintenance; and grant and capital staff to secure federal funding. The report calls for early engagement on whale and protected‑species mitigation and to design vessels to meet emissions and safety standards.

Expeditions Ferries’ president Bill Caldwell, who testified, said his company is willing to support a transition to county operation and that dating and vessel availability will shape any agreements. The committee received the study for discussion; no formal action was taken.