State & Local News
Alaska Advances Tustumena Ferry Replacement
March 11, 2026
The Alaska Marine Highway System is progressing with the replacement of the M/V Tustumena ferry vessel, targeting delivery by January 31, 2029. Despite a current $77 million shortfall in federal funding linked to delays in Infrastructure Investment and Jobs Act allocations, state officials including Representative Louise Stutes and AMHS Executive Director Craig Tornga are actively engaging federal agencies to accelerate funding. Contingency plans are in place to maintain ferry service during the funding gap, underscoring the project's critical role in Alaska's transportation infrastructure.
- Why this matters: Procurement professionals should note the ongoing federal-state coordination to resolve funding shortfalls impacting a major maritime infrastructure project.
- The replacement contract represents a significant long-term procurement opportunity with a defined delivery timeline in 2029.
- Vendors and contractors specializing in shipbuilding and marine infrastructure should monitor developments for potential subcontracting or bidding opportunities.
- Agencies and stakeholders should consider the implications of federal funding delays on project schedules and service continuity planning.
I have a lot of confidence in Craig Tornga, American Marine Highway Systemβs executive director, and I think that project is moving in the right direction.
— Rep. Louise Stutes
Agencies
Alaska Marine Highway System, Federal Transit Administration, Alaska Department of Transportation
Contracts
Locations
Sources
- Stutes: Tustumena replacement is moving forward | The Cordova Times · The Cordova Times · Mar 11