FERRIES Act

Bill Number: H.R. 7774
Origin Chamber: House
Congress: 119th Congress, Session 2
Policy Area: Transportation and Public Works
Status: Introduced
Latest Action: 2026-03-04: Referred to the Subcommittee on Highways and Transit.
Last Updated: 2026-06-03T08:06:24Z

AI-Generated Summary

Purpose

The FERRIES Act aims to strengthen and expand federal support for passenger ferry services by authorizing and appropriating funds for grants focused on building and modernizing ferry infrastructure. It targets improvements in urban and rural transportation, fleet upgrades, and job creation in shipyards, ensuring reliable ferry operations for communities that depend on them.

Key Provisions

Funding Authorizations (Title I):
Increases annual funding for constructing ferry boats and terminals under 23 U.S.C. §147(h): $160 million in fiscal year (FY) 2027, rising to $168 million in FY 2031.
Establishes the Urban Passenger Ferry Grant Program under 49 U.S.C. §5307(h), authorizing $200 million per year for FY 2027–2031, with apportionments (formula-based fund distributions) raised from $30 million to $100 million annually.
Renames and expands the former "Electric or Low-Emitting Ferry Pilot Program" from the 2021 Infrastructure Investment and Jobs Act (IIJA) into the Ferry Fleet Modernization and Shipyard Job Creation Grant Program (codified as 49 U.S.C. §5313). It authorizes $140 million per year for FY 2027–2031 for grants to eligible transit recipients to modernize fleets and support shipyard jobs; prioritizes low- or zero-emission ferries where practical.
Renames and amends the IIJA's Ferry Service Grants into the Ferry Service for Rural Communities Program (codified as 49 U.S.C. §5308). It provides competitive grants to states for essential rural ferry services, with eligibility expanded to include routes connecting at least two rural areas (regardless of distance). Authorizes $300 million per year for FY 2027–2031, including $100 million annually from the Highway Trust Fund (a dedicated federal fund for transportation); requires at least 80% of funds to go to services in areas with populations under 50,000.

Appropriations (Title II):
Allocates $500 million total ($100 million per year for FY 2027–2031) from the general fund for ferry boat and terminal construction under the Federal Highway Administration (FHWA).
Provides $1.25 billion total ($250 million per year for FY 2027–2031) from the general fund for urban passenger ferry grants under the Federal Transit Administration (FTA).
Allocates $1.25 billion total ($250 million per year for FY 2027–2031) from the general fund for rural ferry services under the FTA.
Provides $500 million total ($100 million per year for FY 2027–2031) from the general fund for the ferry fleet modernization program under the FTA.
All funds remain available until spent (no expiration date), are supplemental to existing budgets, and include up to 2% (or 1.5% for FHWA) for administrative costs. These funds bypass annual spending caps on highway and transit programs.

Significant Changes to Existing Law

Codification of Temporary Programs: Moves two IIJA pilot or temporary ferry grant programs (sections 71102 and 71103) into permanent sections of title 49, U.S. Code, making them ongoing rather than expiring initiatives.
Funding Increases and Adjustments: Boosts authorization levels across all programs (e.g., rural ferry funding rises from $200 million to $300 million annually; urban apportionments quadruple). Adds specific Highway Trust Fund contributions for rural services.
Program Expansions: Shifts the electric ferry pilot to a broader modernization program without mandating emissions focus (now "to the extent practicable"). Broadens rural eligibility by removing population-based distance requirements and adding multi-area route options. Changes rural grants from a new establishment to a "maintenance" of an existing competitive program.
Administrative Tweaks: Updates definitions (e.g., "covered entity" for eligible grant recipients) and ensures funds are not subject to obligation limits (federal restrictions on spending commitments) in annual appropriations laws.

Potential Impacts

On Government Agencies: The Department of Transportation (DOT), particularly FHWA and FTA, will manage significantly higher funding volumes ($3.5 billion total appropriated), increasing administrative responsibilities but streamlining ferry support without competing with other transit or highway priorities. Up to 2% of funds can cover oversight, reducing strain on existing budgets.
On Citizens: Enhances access to reliable, modern ferry services in urban areas (e.g., cities like New York or Seattle) and rural/island communities (e.g., Alaska or coastal regions), improving daily commutes, tourism, and emergency transport. Rural areas may see better connectivity between underserved spots, benefiting low-income or isolated populations.
On International Relations: No direct impacts; the bill focuses on domestic U.S. ferry infrastructure.

Main Stakeholders Affected

State and Local Governments: Primary recipients of competitive and formula grants, especially in ferry-reliant states like Alaska, Washington, and New York, to fund operations and expansions.
Ferry Operators and Transit Agencies: Eligible under sections 5307 and 5311 of title 49 (urban and rural transit formulas), gaining resources for fleet upgrades and services.
Shipyards and Workers: Benefit from modernization grants aimed at job creation in vessel construction and repair.
Rural and Island Communities: Direct users of essential services, with prioritized funding for basic connectivity in low-population areas.
Environmental Groups: Indirectly affected by emphasis on low-emission ferries, though not mandatory.

Notable Legal, Constitutional, or Political Implications

Legal: Codification provides long-term stability for ferry programs, reducing reliance on annual appropriations and minimizing disruptions from budget shortfalls. Ensures compliance with existing transit laws (e.g., sections 5336 and 5337) by excluding certain caps.
Constitutional: Aligns with Congress's authority under the Commerce Clause (Article I, Section 8) to regulate interstate transportation and infrastructure, including ferries as vital links in national commerce. No apparent conflicts with federalism, as grants flow through states.
Political: Introduced with bipartisan support (cosponsors from both parties), it builds on the 2021 IIJA by extending infrastructure investments amid ongoing debates on transportation funding. Emphasizes job creation and rural equity, potentially appealing to coastal districts, but could face scrutiny over general fund usage versus trust fund reliance.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Randall, Emily [D-WA-6]

Cosponsors (10)

Rep. Begich, Nicholas J. [R-AK-At Large], Rep. Garamendi, John [D-CA-8], Rep. Malliotakis, Nicole [R-NY-11], Rep. Smith, Adam [D-WA-9], Rep. Simon, Lateefah [D-CA-12], Rep. Mullin, Kevin [D-CA-15], Rep. Jayapal, Pramila [D-WA-7], Rep. DelBene, Suzan K. [D-WA-1], Rep. McBride, Sarah [D-DE-At Large], Rep. Keating, William R. [D-MA-9]

Recent Actions

2026-03-04: Referred to the Subcommittee on Highways and Transit.
2026-03-03: Referred to the Committee on Appropriations, and in addition to the Committee on Transportation and Infrastructure, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
2026-03-03: Referred to the Committee on Appropriations, and in addition to the Committee on Transportation and Infrastructure, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
2026-03-03: Introduced in House
2026-03-03: Introduced in House

Bill Versions

Federal Enhancement and Revitalization of Reliable Infrastructure for Essential Seaways Act — issued 2026-03-03 — PDF (12 pages)