Supervisor Gerard F. Siller said Tuesday, August 4 the Town of Shelter Island has requested assistance from New York’s federal lawmakers in obtaining funding to prevent the interruption of ferry service or an increase in resident and commuter fares.
“Public transportation has suffered greatly due to the outbreak of COVID-19 and the Shelter Island ferries are no exception,” Siller said in a news release Tuesday. “All ridership is significantly down, and the full fares that generally subsidize the resident and commuter discounts have all but dried up.”
We are reposting this (originally ran on August 4), in light of new attention to the matter, thanks to Charity Robey’s excellent article today in the New York Time’s “This Island Has No Bridges. Can It Survive with No Ferries?” Of course, it can’t! We urge our readers to join us in writing to our representatives to seek support for our vital ferry companies — find out how at the end of this post.
“Although ferry business may appear to have rebounded, both ferry companies have been operating at a loss since April, and neither ferry company is operating at full capacity,” Siller said. “This is the time of year that the ferries must generate enough revenue to carry them through the lean winter season.”
“At current revenue levels, the ferry businesses are unsustainable,” Siller said. “If traffic volumes do not rebound quickly, the ferries will not be able to survive and may be forced to first reduce services and may ultimately be compelled to cease services.”
Need for federal aid
The key to preventing adverse outcomes, Siller said, is federal aid.
“Publicly-owned ferry companies and mass transit carriers annually receive federal aid. However, privately-owned ferry companies have not been eligible for emergency grants from the Department of Transportation.”
“The Town of Shelter Island has asked our federal representatives for help with the pending emergency aid legislation before Congress,” Siller said. “It is vital to Shelter Island that our ferry companies participate equally with public ferries. Our North and South Ferries serve a critical function. They are our only means by which residents and businesses obtain supplies and access to the mainland. The ferries are also an integral link to off-Island medical and emergency services.”
“We are asking only that the Shelter Island ferries be able to obtain the same help the government is already giving to other transportation companies,” Siller said.
The Supervisor says the Town has been in talks with state and federal representatives for months and sent a letter requesting assistance in late June to Senators Chuck Schumer and Kirsten Gillibrand and Representative Lee Zeldin, as well as to State Senator Kenneth LaValle and State Assemblyman Fred Thiele and Suffolk County Legislators Bridget Fleming and Al Krupski.
Nationally, public transportation agencies have been calling on Congress to deliver more federal aid, as revenues from fares and tolls have withered due to a dramatic drop in the number of people using transportation systems.
Specifically, the Town is seeking support from Senators Schumer and Gillibrand to include the two ferry companies in a bill now before the Senate, the Coronavirus Economic Relief for Transportation Services (CERTS) Act. It was introduced by Senator Jack Reed, D-Rhode Island, and Senator Susan Collins, R-Maine, who hail from states where ferry service is a part of everyday life.
The bipartisan legislation would provide $10 billion in emergency economic relief funding, in the form of grants and other economic assistance to U.S. flag passenger vessel operators, and other U.S. transportation service providers that are deemed essential by the Secretary of the Treasury in consultation with the Secretary of Transportation.
The Town also asks that the ferry companies be excused from paying the Metropolitan Commuter Transportation Mobility Tax, which Siller said annually amounts to $50K.
“Deferring or forgiving these funds would also be appreciated,” he wrote.
Ferry companies appreciate the Town efforts
Both ferry companies issued statements expressing appreciation for the Town’s efforts and providing additional context.
South Ferry
“Supervisor Siller’s efforts to help both ferry companies access Federal highway funds are needed and greatly appreciated,” South Ferry President Cliff Clark said.
“At times it appears ferry traffic is at normal summer levels because boats are leaving full with short periods when there are cars in line,” Clark said. “That’s only because three boats are in service when normally we would have four. “
“During much of the day boats cross partially loaded. The seasonal cash and commercial traffic that we count on to subsidize the discounted ticket books has all but dried up.”
Clark said South Ferry benefitted from the first round of the Federal Payroll Protection Plan.
“That was a huge blessing,” he said. “If we are successful in getting another round of Federal assistance we should be able to leave the current fares in place. Without that assistance, I am not sure what will sustain the ferry operations next winter.”
North Ferry
“North Ferry’s preference is to take advantage of these Federal funds as other publicly-owned transportation companies would be eligible to as opposed to negatively impacting our service schedule and/ or our rate structure in the event of a prolonged decline in traffic,” said Stella Lagudis, general manager of North Ferry and the Shelter Island Heights Property Owners Corporation.
“COVID-19 has taken a toll on many lives and businesses globally,” she said in the North Ferry statement. “The negative effects of the virus have also been felt across our country, New York State, and Suffolk County. The Town of Shelter Island is dealing with the same issues faced by many, with an additional burden — the need for continuous ferry service between the island and the twin forks to support Islanders and Island businesses.”
“Due to restrictions on travel, the shuttering of certain Shelter Island businesses, and the cancelation of many activities that draw travelers to Shelter Island (e.g., fireworks, 10K), traffic volume has been drastically diminished. The commercial traffic and “cash” fares from day-trippers that subsidize our resident and commuter discount tickets have been negatively impacted. Unfortunately, running the ferry is a high fixed cost business and our cash flow is seasonal. Our expenses cannot fall at the same pace as our revenues.”
North Ferry said the lawmakers “have been supportive and empathetic to the unique situation Shelter Island faces vis a vis dependency on ferry service.”
Write to our Senators
If you want to amplify the Supervisor’s message:
- Use this form to send an email to Senator Chuck Schumer
- Use this form to send an email to Senator Kirsten Gillibrand
If you want to reference the Supervisor’s letter, here is the original document:
