With fuel, maintenance and personnel costs on the rise, Steamship Authority proposes increase fares and parking fees.
Timothy Johnson

Steamship Authority Plans Fare Hikes

<p>Increases in passenger fares and excursion rates for Island residents are among a set of proposed rate changes. But the boat line will now reconsider increasing the popular excursion fares, general manager Wayne Lamson said.

Increases in passenger fares and popular excursion rates for Island residents are among a set of proposed rate changes for the Steamship Authority, which is faced with a budget shortfall for the coming year.

But the boat line will reconsider the fare changes after some questioned raising the excursion rate, general manager Wayne Lamson told the Gazette Thursday.

At the Steamship Authority board of governors meeting Tuesday on Nantucket, management recommended fare increases to make up for an estimated $1.9 million budget gap in the coming year.

The governors will vote on the budget and fare changes at their next meeting, scheduled to take place on Oct. 21 on the Vineyard. The budget year begins Jan. 1.

If proposed changes are approved, round-trip automobile excursion fares will go up by $2, Mr. Lamson said. Reduced excursion fares and preferred spaces on ferries are available to Island residents who meet certain residency requirements. Excursion rates for year-round residents are currently $61 from Sept. 15 through May 15 and $92 in the summer. The round-trip fare includes two adults and two children.

Under the proposed new fare schedule, adult passenger fares would increase by fifty cents for a one-way trip, from $8 to $8.50, including embarkation fees. Other passenger fares would go up by a prorated amount.

Mr. Lamson said that when the passenger fares are increased, excursion fares are also revisited. “Whenever you increase the passenger fares or the regular auto fares then it also involves how much do the excursion fares have to increase,” he said. “Because if not then it gets to a lower and lower percentage of what the regular fares are and what it costs to provide the service.”

He continued: “We look at the excursion rate as a percentage of what it would cost at the regular rate — what does a car cost round trip with two adults and two children, how does the excursion rate compare to that other rate. It’s a low percentage of the regular fare.”

But he said questions were raised at the last port council meeting. “We did get some push back on the excursion rates,” Mr. Lamson said. He said some members of the port council suggested increasing the regular automobile rate paid by nonresidents instead. “So we’re going to look into that,” Mr. Lamson said. The port council meets again on Wednesday, Oct. 1, in Hyannis.

Mr. Lamson said management will look at whether the $2 excursion fare increase is necessary or whether the amount can be reduced or pulled from somewhere else. Steamship Authority staff will make a recommendation, he said, and it will be up to the governors to vote on the final proposal at the October meeting.

Other rate increases are on the table. The cost of parking at one of the boat line’s offsite Falmouth parking lots would also go up to $15 per day in the summer and $13 per day in the off-season.

The Nantucket route would also see higher rates under the plan, with Nantucket car excursion rates going up $5 and passenger fares increasing by $1.

The fare changes are tied to a projected budget shortfall. According to a preliminary draft of the 2015 budget outlined in a meeting summary, the boat line’s operating expenses next year are expected to surpass $89 million, treasurer/comptroller Bob Davis said, about a four per cent increase over estimated 2014 expenses. Mr. Davis said the increases can be attributed to rising fuel, health care and pension costs and planned maintenance for four ferries.

According to the meeting summary, a 27 per cent increase in pension expenses, a 5.2 per cent increase in health care costs and a 2.5 per cent rise in vessel fuel costs are anticipated.

Maintenance expenses are expected to go up by more than 10 per cent next year. The ferries Nantucket, Katama, Gay Head and Island Home are all scheduled for drydock maintenance and repairs, which are required twice every five years.

Without fare increases, operating revenues are projected to rise by about .3 per cent, leading to the shortfall of about $1.9 million. Rate increases for the Vineyard route will make up $1.4 million of that amount, and the additional $500,000 will come from increases for the Nantucket route.

Automobile rates for the Vineyard were increased in 2013, going up by $1 each way, and round-trip excursion rates were increased by $2. The passenger rate was last increased in January 2011. Last year, rates went up for parking spots and some trucks.

In other business Tuesday on Nantucket, the board discussed relocating the general offices, which will be the first step in the reconstruction of the Woods Hole terminal, Mr. Lamson said. The boat line has also issued invitations for bids to construct the new passenger/freight ferry Woods Hole. Bids are due back by mid November and governors hope to award the contract in December.

The SSA is also beginning construction of a new parking facility on Thomas B. Landers Road in Falmouth; Mr. Lamson said they hoped to complete construction and have the parking lot open by summer 2015.

An earlier version of this story reported that excursion fares would increase by $4, which was the amount reported by the Steamship Authority in a summary of Tuesday's board of governors meeting. The amount was later corrected to $2 by the Steamship Authority general manager.

Comments

Submitted by Anonymous (not verified) on Wed, 09/24/2014 - 14:15

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Cathy O'connor Melrose MA

I for one have no problem with the rate increase. The Steamship is clean, well run and the staff do an extremely good job. If this fee increase means continued top notch maintance of the line, safety and excellent customer service then it's warranted.

Ken edgartown

I take it you dont live here. These increases create a hardship on people that have medical appointments. Its too large. We are entering empty boat season, what changes have been made that all boats run at capacity?

Jim OB

Cathy, clearly you don't have to ride the boat very often. I commute 3 or 4 days per week and I think the staff is very professional but let's be serious calling the boats clean is more than generous. The bathrooms remind of the rest areas on the New Jersey Turnpike in the 60s, poorly lighted, (at least it hides the filth) and a little scary. The rates need to go up and who else is going to cover the cost besides the people who use them the most?

Jack West Tisbury

Let's face it. I agree, the bathrooms are still disgusting. They used to be much worse 10 years ago. It seems to me that like many high volume rest areas on busy roads, every bathroom should be cleaned once per hour with a signature/name certifying the cleanliness. They could easily ask every employee to clean the bathrooms once per shift with no extra cost required. Whoops, that is not the steamship authority way. Let's hire another employee! What's an extra mouth to feed? (BTW, I'm kidding!)

Submitted by Anonymous (not verified) on Wed, 09/24/2014 - 14:19

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Aaron

Maybe they shouldn't persist in their plan to build a new terminal in WH if they are so broke they have to keep shafting the people who keep them afloat?

tomasina Hyannis

It's a shame people who needs the boat for work or like the gentlemen said doctors appointments the increase is unnecessary and not fair for people that are just barely affording it now.

tom hodgson wt

As much as some people might think a bridge or tunnel might be better, stop a moment and think what 24/7/365 unimpeded access would do to Martha's Vineyard. Vineyard Sound (and the SSA) protect the Island, even though they are at times "inconvenient". The five or ten billion dollar cost of a bridge or tunnel is prohibitive. Compare those billions to the mere millions that the SSA squanders.

Bert Owens Mashpee

Tom, I do agree with you about a tunnel. But for a few years, I have felt that the Steamsship Authority has been working towards the same goal. They will not be content until the island sinks under the weight.I remember when their goal was to serve the people of the islands, not the whole world.

Submitted by Anonymous (not verified) on Wed, 09/24/2014 - 15:28

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Jack West Tisbury

Unbelievable. They are building a new parking lot in Falmouth, a new boat for over 30 million, a new terminal in WH for who knows? Now we learn they are running a 2 million dollars deficit for the next year. Management is crazy!

How about lowering the amount of labor! We all know the boats and docks are staffed way too high all year round.

If we really need to replace the Governor, how about buying another used boat to save money. Why can't management live within the money they make? Instead they keep buying new everything. Nuts. How do we change the culture?

tom hodgson wt

Yep. Millions for the new parking lot. New ferry estimate (per SSA itself) is 43 million with 4 million "contingency". The New Terminal in Woods hole has a 40-50 million dollar estimate attached. Not included in that estimate are the costs of a new administration building, which the SSA is quietly advertising for. Let's be optimistic and say that that will only cost two or three million. As an aside, wouldn't it be better for administration to stay in Woods Hole where they can actually see what they're administering? Also not included in the cost of the WH terminal is the cost of moving and making new maintenance HQ, which again, would be better off located in Woods Hole, so when things break, they can be fixed promptly, instead of having to shuttle back and forth from who knows where?

Jack West Tisbury

Weak management, poor board oversight, over spending on new boats/projects, and over staffing of every part of the steamship authority yields our ridiculously high fares. What can we do about it?

tom hodgson wt

What's the difference? Washington State ferries have a much higher volume of traffic, so costs can be spread out further. More importantly, the ferry system is state-run, and state subsidized. The Washington ferry system is not necessarily better run than the SSA. Washington requires that WA ferries be built in WA shipyards, and only by yards that have WA-approved apprenticeship programs. (Guess how many yards meet those standards!) Consequently, their costs to build boats can be almost double what the SSA pays.

Submitted by Anonymous (not verified) on Wed, 09/24/2014 - 23:54

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Shortfall VH

Conversely, since revenue is expected to increase by .3% if revenue decreases by .3%, or a full 3%, then what will the shortfall be then? And by extension, if the United States economy experiences high inflation then what will the rates be? For example, factor in a hyperinflation rate of 10% brought on by the US dollar no longer being the reserve currency, with a higher unemployment rate accompanying it and with the new vessel and new terminal expenses what would the rates have to be?
In other words, are we not allowing the Steamship Authority to create the potential for a perfect storm making the island un-affordable for most tourists, if not for islanders themselves? In other words, would we not feel the pinch of a down economy exponentially higher as a result of poor planning and poor vessel choices (the broken home for example) by the SSA?

And 27% pension increases? With a vastly overstaffed operation. WOW.

Submitted by Anonymous (not verified) on Thu, 09/25/2014 - 06:52

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Joe Edgartown

I am no efficiency expert --the Board should hire one
and have them see the inefficiencies associated with
how vehicle traffic is handled -- and ask
"Why do you need so many people"

Joe

Submitted by Anonymous (not verified) on Thu, 09/25/2014 - 08:27

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BG Edg

The steamship authority was created by an act of the state legislature as an 'extension of the state highway'. The 'toll' paid is the highest per mile on the planet. Why do the residents of MV put up with this nonsense? The cost of the boat should be subsidized by the State (we know they get PLENTY of tax revenue from MV in the form of sales taxes, income taxes etc). The state relies upon the revenue from MV but we get VERY LITTLE in return for the money sent to Boston. Perhaps its time to 'secede' from Massachusetts. I'm sure Rhode Island or New Hampshire would be thrilled to have the revenue and fair treatment for the residents could be part of the move.

Submitted by Anonymous (not verified) on Thu, 09/25/2014 - 11:23

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tom hodgson wt

Were we to be part or RI or NH, where would our ferry terminal go? MA might not want a terminal anymore, should we secede. Many Woods Hole folks would be happy to see the SSA gone, and to get their village back.

The SSA is no longer a "lifeline" for Vineyarders, as their organizing charter requires. It has become a massive conduit for the benefit of tourists, operated to shuttle hundreds of thousands of them back and forth, back and forth with their attendant tens of thousands of vehicles, and their tens of thousands of trucks required to service the tourists. Service to "local" residents is a fraction of what the service to tourists is. Many people here are fond of, if not addicted to, the dollars that flow from the tourists and summer people.

George Stein Edgartown

The Island was originally part of New York. Practical solutions merit consideration just venting is not creating a solution. I do agree putting the HQ office at the new terminal would make seem more cost effective. Perhaps a medical category could be established for those who must use the service so often exclusively for that necessity. Hypothetically a charitable solution might take forward financing that group.

Submitted by Anonymous (not verified) on Thu, 09/25/2014 - 11:40

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me Pennsylvania

We took a ferry ride with our car from Delaware to New Jersey a few weeks ago. It was awful!! We pulled up, parked in the assigned line (we had to be there at least 45 minutes before sailing time), and waited, and waited, and waited. There were announcements about "boarding now" and then "last call for boarding." The whole time, everyone just waited, and waited. We finally were allowed to put the car on the ferry about 30 after sailing time. The ferry left at least 45 minutes late!! We were used to the ferry to MV, which runs on time, and everything runs smoothly. I believe the Steamship Authority does a great job of getting people, cars, etc. on and off the Vineyard on time and without any problems!!

Submitted by Anonymous (not verified) on Thu, 09/25/2014 - 20:57

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traderjose St. Louis

A 27 percent increase in pension costs? What are the pensions? Followup story, please.

Submitted by Anonymous (not verified) on Fri, 09/26/2014 - 11:18

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Jay W. Edgartown

No more fare increases for islanders for at least another year.....Just MHO.

Submitted by Anonymous (not verified) on Fri, 09/26/2014 - 11:25

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Shea New York/Katama

I have been an islander for over 20 years. I have Owned my house for that entire time, and use it for my annual 2 week vaca. The island is a wonderful place, full of great and accomidating people.I have always seen the Steamship as a gateway to paradise, with wonderful people, clean accomidations, and affordable healthy well priced food. I WOULD happily pay the increase, it is worth it because as it stands we get a lot for the small price of a boat tickett.

Carla Edg

If you only come here for 2 weeks a year, how are you an islander?? People who live here year round and have to rely on the steamship to get to dr appts, take kids to college, visit family, or just go shopping use the ferry 2-3 times a month. That increase is a real hardship for folks not just coming here for a vacation once a year.

Submitted by Anonymous (not verified) on Fri, 09/26/2014 - 12:48

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Carol Lashnits VH

Interesting that the subject of secession has come up again. Where are our State reps. when we need them? Once again we're looking at taxation without representation. Why not state subsidies? New management might be a good start. Throw the bums out.They can't have any idea how restricted the incomes are of our yr. rnd population if they're looking at increasing excursion rates and spending millions on a new WH terminal. Who does that benefit? I still think someone should get creative and get us a freight boat just for Islanders. Separate us entirely from the tourist population....joining RI sounds like a good plan, too.

Submitted by Anonymous (not verified) on Fri, 09/26/2014 - 20:44

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VH VH

Good food? Fairly priced? I bet you have never even been on a SSA vessel. Either that or you are a rich tourist. Either way, every single other minute it seems to be a headline over and over SSA TO RAISE RATES TO CLOSE BUDGET GAP......when the heck did they EVER do cutbacks or layoffs or try to live within their bloated budget?? Don't even start with me about, Oh, the Coast Guard dictates how many crew members there are. Yes they do and you are easily 65+% over that for sure! 25 purple nose guys hanging around a ramp every boat, 6-8 incompetents trying to tell you how to park on ferry and when they direct you into a wall they say oh it is not our fault, don't pay attention to us....Why the heck are you even there then????? We DROVE on roads to the stupid boat, we sure as heck can park on it and don't need an army of folks unemployable anywhere else to show us how. This is the most bloated and wasteful agency I know of. The Vineyard Rep Hanover is clearly out of touch with reality and is now one of the good ol boys on the board...go along to get along. DO CUTBACKS!!!! ENOUGH IS ENOUGH!!!! Fire everyone who really does nothing and start over. I could go on all day with the stuff I see on the boats. How many guys I see walk by with a mop pretending they are going to mop something, so over weight they can barely walk, and after pushing a dry mop 2 inches, sit with the purser and BS with him the whole trip. The SSA is a BAD joke and it needs to be cleaned out NOW!!!!

Submitted by Anonymous (not verified) on Sat, 09/27/2014 - 09:49

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John VH

There is never any discussion about reducing expenses just raise rates to meet expenses. The runaway costs are in labor as seen in the huge pension increase. More day to day observation as a regular user makes one ask why are there 4 people in the summer in WH to assign your car to a lane and give you a ticket, involving two booths, when one booth and one person does it most of the year.
The summer traffic does not require more people. VHS is one booth and usually one person but sometimes two. One to tell the other one my name . Then you can get the big dollars with crew staffing on each boat. Management does not tackle these issues. Lets see some spotlight reporting by the press corps.

Submitted by Anonymous (not verified) on Sun, 09/28/2014 - 16:15

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Truthteller CA

Take a lesson from the Canadian ferries.....easy to board, amazingly clean, decent food, no hoards of employees milling about with attitude....the ferry authority was set up for the convenience of the island residents; it was not set up for enticing more and more people here to pump up the burgeoning businesses....

Submitted by Anonymous (not verified) on Mon, 09/29/2014 - 08:24

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obi96 VT

Since MA is so welcoming to refugees, full time Islanders need to declare themselves as such. Then the benefits will flow like water.
Really though, if you could prevent it from being abused, I bet you could give FT residents a free ferry pass and it would not even make a dent in revenue compared to commercial and tourist traffic revenue.
I'm doing my part, I'm coming down for the derby next week for 10 days.

Submitted by Anonymous (not verified) on Mon, 09/29/2014 - 10:42

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Brendan OB

So the commuter book is $138 for 45 trips and must be used within that month (which is ludicrous to begin with seeing as I have a shelf full of 3/4 used ferry books). So with the passenger price hike how much is my commuter book going to be? It is already way too much.

Submitted by Anonymous (not verified) on Mon, 09/29/2014 - 12:39

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AJS Montauk, NY

Everyone crying about the increase in fares. You want to live or work on the Island now deal with it. Perhaps Barack Hussein Obama can come to the rescue and bail out the SSA.

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