The U.S. Department of Transportation announced April 6 that it will allocate $657 million through ferry-focused grant programs administered by the Federal Transit Administration to support vessel construction, terminal upgrades, and service expansion across the U.S.
According to Transportation Secretary Sean P. Duffy, the funding is intended to expand ferry routes and modernize fleets serving both urban and rural communities. The programs are designed to improve connectivity for passengers traveling to work, healthcare, and other services, while also supporting broader infrastructure development.
The FTA’s ferry grant programs will fund a mix of capital projects, including new vessel builds, terminal improvements, and the launch of additional routes. The agency said the funding will prioritize projects that enhance accessibility and operational efficiency while addressing growing demand for waterborne transportation.
As part of the program’s evaluation criteria, the U.S. Department of Transportation said it will assess how proposed projects improve accessibility for families and passengers with disabilities. This includes upgrades that accommodate strollers and mobility devices, as well as improvements to passenger information systems such as clearer signage and real-time service updates.
In August 2025, the U.S. Department of Transportation announced $175 million in funding through the Federal Highway Administration’s Ferry Boat Program, distributed to 35 states, Puerto Rico, the U.S. Virgin Islands, and American Samoa.
The announcement also comes as a bipartisan group of lawmakers in March had introduced legislation aimed at significantly increasing long-term federal support for ferry systems. The FERRIES Act (Federal Enhancement and Revitalization of Reliable Infrastructure for Essential Seaways Act), introduced by Reps. Nicole Malliotakis, Emily Randall, Nick Begich, and John Garamendi, would expand funding across multiple federal programs.
Under the proposal, funding for the FTA’s Passenger Ferry Grant Program would increase to as much as $550 million annually, supported through a combination of Highway Trust Fund allocations, authorized funding, and advanced appropriations. The bill also called for increased funding for the Federal Highway Administration’s Ferry Boat Program to $160 million annually, with incremental annual increases, along with additional advanced appropriations.
Applications for the funding opportunity aredue May 11. The FTA said selected projects will be aimed at strengthening ferry systems as part of the broader public transportation network while supporting economic activity in waterfront communities.
