Governor Ferguson delays two ferry conversions to restore domestic service this summer

Governor Ferguson announced at a press conference that Washington State will delay the hybrid-electric conversion of two large ferries so the Wenatchee can return to service this June and the state can restore domestic ferry service to pre-pandemic levels this summer.

"As you all know, 1 of our top priorities in my administration is to improve and restore our ferry service for Washingtonians," Ferguson said, and framed his decision as balancing carbon-reduction goals with the immediate need to ensure sufficient vessels are available during major events.

Ferguson said the Wenatchee — which the administration expects to “test in the water this June” — will be the state’s first hybrid-electric ferry when it returns. He added that with the Wenatchee back in service the state expects 18 vessels operating and three undergoing routine maintenance, the level he identified as necessary to restore domestic service to 2019 capacity.

To reduce near-term service disruptions during large upcoming events, the governor said the administration will pause the hybrid conversion schedule for the next two jumbo Mark II vessels and "revisit the timing for those vessels after the World Cup in 2026." He said that pausing conversions now is intended to avoid removing the fleet’s busiest vessels from service during peak demand.

Ferguson announced personnel and procurement moves alongside the operational decision. He said he is elevating Steve Nevi from assistant secretary for Washington State Ferries to deputy transportation secretary, adding that Nevi will attend cabinet meetings and report directly on ferry operations. On procurement, Ferguson said the state will solicit bids for up to five new hybrid-electric vessels with bids opening in early April, hope to sign at least one contract by June and that new vessels could begin entering service as early as 2029.

Steve Nevi, who spoke after the governor, described state-funded crew recruitment and training programs and cited measurable service improvements: "In the first 2 months of 2023, there were 147 canceled sailings due to shortage of crew. In the first 2 months of this year, there were 42 canceled sailings due to crewing," and he said on-time performance improved from "90%" to "94%." Nevi credited state programs that fund qualifications and scholarships for bringing new mariners into the pipeline.

Mayor Greg Wheeler of Bremerton, which Ferguson and other speakers repeatedly described as ferry-dependent, said restoring two-boat service on the Bremerton route will ease multi-hour gaps in the schedule and help residents get to jobs, medical appointments and the Puget Sound Naval Shipyard.

In a reporter Q&A, Ferguson and Nevi said conversions of existing vessels and procurement of new vessels are separate processes. Ferguson said the pause will not trigger penalties or extra cost with the contractor Vigor, that the Wenatchee conversion is roughly $36 million over budget and about 10 months behind schedule, and that the administration has been in close conversations with the shipyard. Ferguson also said the team will return with more detail on procurement results and lease-to-purchase options by June 1.

The administration identified staffing and collective bargaining as critical to maintaining restored service levels. Ferguson said any budget he signs must honor existing collective bargaining agreements and noted those agreements include more than $28,000,000 in compensation for ferry workers.

Next steps the administration announced include opening bids in April for up to five new hybrid vessels, a June 1 update on procurement and lease-to-purchase analysis, and revisiting conversion timing for the two jumbo Mark II vessels after the 2026 World Cup.