The bill expands federal funding eligibility and local flexibility to improve ferry connectivity and enable private operators, but it does so by directing public dollars toward private ventures that can raise fares, shift public benefits to private returns, and create competitive pressure on public services.
State and local governments (and MPOs) gain broader federal grant eligibility to fund ferry boats and terminals, increasing resources for cross‑state connectivity and transportation infrastructure.
Passengers and commuters in border regions will see expanded or improved ferry service linking adjoining States, improving travel options and potentially reducing travel times.
Privately owned interstate ferries and small operators can access federal construction or purchase funds, lowering capital barriers and enabling new or upgraded services.
Taxpayers could subsidize private investors because federal funds used to support privately owned ferries would transfer public dollars to private returns.
Riders (especially low-income commuters) may face higher fares since allowing a reasonable rate of return can lead private operators to charge more than public, cost‑covering services.
Public ferry services and local transit agencies could be disadvantaged by expanded federal support for private operators, creating competitive pressure and possibly forcing service restructuring.
Based on analysis of 2 sections of legislative text.
Allows private interstate ferries and terminals to receive federal Ferry Boat Program support, permits federal construction/purchase participation, and allows fares to cover costs plus a reasonable return.
Introduced April 6, 2026 by Nicholas LaLota · Last progress April 6, 2026
Allows privately owned and majority-privately owned interstate ferries and their terminal facilities to qualify for federal Ferry Boat Program support, including federal participation in construction or purchase of ferries and terminals. Permits such private operators to set fares that cover operating costs, debt service, negotiated management fees, and a Secretary-determined reasonable rate of return, with revenues applied to those purposes and the retained reasonable return. Also makes technical edits to related highway code to include eligible terminal facilities and broadens language from “public entities” to “entities.” Eligibility for a specific related provision is delayed for privately or majority-privately owned ferries/terminals until one year after enactment.