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U.S. Department of Transportation U.S. Department of Transportation Icon United States Department of Transportation United States Department of Transportation

Passenger Ferry Grant Program – Section 5307(h)

    What's New

    • On May 18, 2023, FTA announced approximately $220 million available for Fiscal Year 2023 funding to improve and expand ferry service in communities across the country to help people connect to jobs and opportunity. View the notice of funding opportunity. For Fiscal Year 2023, $50.1 million is available under the Passenger Ferry Grant Program, of which $5 million is set-aside specifically for low- or zero-emission ferries and related facilities/equipment.
    • On January 26, 2023, FTA announced $384.4 million in grant awards to 23 projects in 11 states and the U.S. Virgin Islands to expand and improve the nation’s ferry service, as well as accelerate the transition to zero emission transportation. The funding will benefit millions of Americans who depend on coastal waters, rivers, bays, and other bodies of water to connect to their communities. Increased funding from the President’s Bipartisan Infrastructure Law will help replace old vessels, expand fleets, and build new terminals and docks, as well as boost service in rural areas and support the transition to low and zero-emission technologies.
    • FTA awarded $34.4 million under the FY22 Passenger Ferry Grant Program to 8 projects in 6 states and U.S. Virgin Islands


    The Passenger Ferry Grant program provides competitive funding for projects that support passenger ferry systems in urbanized areas. These funds constitute a core investment in the enhancement and revitalization of public ferry systems in the nation’s urbanized areas. Funds are awarded based on factors such as the age and condition of existing ferry boats, terminals and related infrastructure; benefits to riders, such as increased reliability; project readiness; and connectivity to other modes of transportation.

    Eligible Recipients

    Funding is made available to designated recipients and eligible direct recipients of Section 5307 funds, States and federally recognized Tribes that operate a public ferry system in an urbanized area.   

    Eligible Activities

    Eligible activities are capital projects to purchase, replace, or rehabilitate passenger ferries, terminals, and related facilities and equipment.  Funds may not be used for operating expenses, planning, or preventive maintenance.    


    The federal share is not to exceed 80 percent of the net project cost for capital expenditures. However, the Federal share of the cost of leasing or purchasing a ferry that is compliant with the Clean Air Act (CAA) or the Americans with Disabilities Act (ADA) is not to exceed 85 percent of the total ferry cost. The federal share in the cost of leasing or acquiring compliant ferry-related equipment and facilities is 90 percent of the net project cost. Applicants must identify these specific activities in their application in order to receive this increased federal share.

    Statutory Reference

    49 U.S.C. 5307

    Selected Projects

    Additional Resources

    Last updated: Thursday, May 18, 2023