Presentation on theme: "The Organization & Funding of Ferry Service in other Jurisdictions Len Roueche."— Presentation transcript:
The Organization & Funding of Ferry Service in other Jurisdictions Len Roueche
Introduction British Columbia New York City Europe
British Columbia –BC Ferries – Crown Corporation –PacifiCats –BC Ferry Services Inc.
PacifiCats Ageing Fleet Shipbuilding Industry Government Policy vs Management Priorities
PacifiCats’ Legacy $500 million debt 8 years with no new ships 40 ferries – average age 30 years One new ship per year
The “Solution” New Management New Government Sell the PacifiCats Retire the Debt Create a new Company
BC Ferry Services Inc. Problem: –Direct Gov’t involvement Solution: –Independent company –Gov’t as shareholder –Only 2 of 9 Gov’t appointees on the Board –BC Ferry Commissioner – the Regulator
Coastal Services Contract 60 year “monopoly” on 25 routes Gov’t specifies service & fares every 4 years Annual subsidy - $106 million
The Results Ordering new ships in Germany Strict rules for Gov’t involvement Private sector contracts – “competition”
New York City The main ferry operators
Staten Island Ferry
New York Water Taxi
Post 9/11 Cross-Hudson PATH line closed NY Waterway increases service with Federal assistance –16 new vessels –$20 million debt guaranteed by Federal Gov’t PATH re-opens in 2004 NY Waterway traffic plummets – bankruptcy ?
Rescue Proposals NJ Hudson County - $38 m package Other private operators NYWW suggests takeover by Port Authority
The Solution BillyBey Ferry Company (William Wachtel) acquired half of NYWW for $20m Monthly docking fees: $50,000 down to $10,000 BillyBey Ferry contracts NYWW to run the service William Watchel: redeveloping Pier A at Battery Park Other operators – no public tender
Europe Gov’t owned ferry operations – a thing of the past Emphasis on competition policy and public tendering 5-10 year contracts for subsidized services A solution for North America?
Conclusion No Silver Bullets Broadening your horizons