Each ferry built in-state would support 1,200 jobs, $131 million in wages, $338 milliion to Washington businesses, and $32 million in local taxes.

The following press release from the Port of Everett was sent to 48° North this week. A bid decision about where and by whom the new ferries will be built is expected very soon. 

A new independent study by Pennsylvania-based Martin Associates confirms the economic value of building the new Washington State Ferries hybrid fleet in-state, showing that each ferry constructed in the state would generate 1,298 jobs and $31.9 million in state and local taxes.

Washington State Ferries, which operates the largest ferry system in the nation, solicited bids this spring to build five new hybrid ferries over a six- to eight-year period with a budget of $1.3 billion. The new hybrid electric ferries have 160-car capacity to support growing rider demand and reduce greenhouse gas emissions in Puget Sound.

The state received two bids—one from Washington-based Nichols Brothers Boat Builders (NBBB) and the second from a Florida shipyard. As expected, NBBB is more expensive, in part due to Washington State requirements, but the value to the local economy more than makes up for the shortfall many times over, Port of Everett CEO Lisa Lefeber said.

The report underscores the critical role shipbuilding plays in the Washington state economy and the importance of keeping construction of the new ferries local. According to the study, for each of the five new ferry boats constructed in Washington state:

  • 1,298 local jobs would be created, directly and indirectly
  • $131.1 million in wages and salaries would be paid to Washington families
  • $338 million in revenue would be generated for Washington businesses
  • $50 million of purchases of materials and services supplied by Washington businesses
  • $31.9 million in state and local taxes would stay in Washington

Each ferry will cost more than $325 million to build and take approximately three years to construct. Of the 1,298 jobs, 577 jobs will directly be created by keeping ferry construction in-state and the prevailing wage workers will average $104,000 in annual wages and salaries. This is higher than the statewide average salary of $81,550, according to the U.S. Bureau of Labor Statistics.

If awarded to NBBB, the ferries would be built partially on Whidbey Island, but predominantly at the Port of Everett.

LOCAL LEADERS SUPPORT KEEPING FERRY CONSTRUCTION IN-STATE

“Building the new fleet of hybrid Washington State Ferries in-state means investing in the next generation of Washington state shipyard workers, their families, and local businesses. Shipbuilding is an important industry to the state economy, and at the end of the day, these ferries will need to be maintained in the Puget Sound, so it makes sense to invest in a skilled workforce now. Further, building, at least some, of the ferries in the state creates resiliency in the on-time delivery of the new ferries.”
Port of Everett CEO Lisa Lefeber

“Building ferries in Washington is a smart investment in our state’s future. Each ferry constructed generates nearly 1,300 good-paying jobs, delivers $338 million in revenue to Washington businesses, and returns over $30 million in state and local tax revenue. This work supports our skilled workforce, strengthens our maritime and manufacturing industries, and puts our infrastructure to work — especially in cities like Everett, Bremerton, and Seattle. With ready talent and capable ports like the Port of Everett, we’re prepared to lead. This isn’t just good for one city — it’s a win for communities across Washington.”
Everett Mayor Cassie Franklin

“The budget is important, and we have demonstrated that the money spent in Washington comes right back to Washington, many times over. However, the real watershed moment with this decision is the opportunity to re-seed the shipbuilders of Washington state with a new generation of trained journeyman shipbuilders that can carry their skills into the state’s future.”
Gavin Higgins, CEO of Nichols Brothers Boat Builders

Header background photo courtesy of Jim Culp.