Whatcom County in Washington has finalised a US$25 million grant agreement with the US Maritime Administration to replace the 64-year-old vessel Whatcom Chief (pictured) and modernise the state's Lummi Island ferry system.
The federal award covers half of the project's estimated US$50 million cost and allows the county to claim reimbursement for eligible work. The funding was awarded through a US Department of Transportation (DOT) grant program in August 2022.
An additional US$5.3 million has been provided by the Washington State Government. Those funds have supported design work for the vessel and terminals, as well as environmental permitting under the National Environmental Policy Act.
“With the federal funding obligated, we can move into the next phase of work and toward rebuilding ageing terminals and construction of a replacement vessel for Whatcom Chief,” Whatcom County Public Works Director Elizabeth Kosa said in the county's grant announcement.
The replacement ferry is planned to enter service by March 2029. The terminal and vessel contracts will be procured separately.
Project documents describe the new vessel as a ferry capable of carrying approximately 20 vehicles and 150 passengers and powered by a diesel-electric battery hybrid system. Its design aims to improve safety and operations, reduce maintenance downtime and environmental effects, and allow a future conversion to fully electric propulsion.
The ferry must be able to accommodate typical peak-period, walk-on demand and legal vehicle loads under Washington State guidelines.
It will also be designed to meet or exceed US Coast Guard safety standards and comply with ADA standards to accommodate passengers with reduced mobility.
Terminal work will include replacing ageing or damaged infrastructure at Lummi Island and making minor upgrades at Gooseberry Point.
The plans also cover infrastructure for a future passenger-only ferry facility, stormwater improvements and the removal of 167 creosote piles from Lummi Bay.
The county adjusted the project scope, including reducing the proposed ferry's size, before the DOT approved the revision in August 2025. A dedicated Whatcom County Ferry District was established in July 2026 to support the county's share of capital costs and continuing operations.
Whatcom Chief has served the route between Lummi Island and Gooseberry Point for more than six decades. Her replacement is being designed around the ferry system's level-of-service requirements, which the Whatcom County Council most recently revised in November 2024.