Riding the ferry may become more expensive for tourists and Maine’s island residents alike.
The Casco Bay Transit District (CBITD) is considering several budget proposals for the next fiscal year, all of which would involve instituting the ferry service’s first rate increase in 14 years, according to recent reporting from the Portland Press Herald.
Although the ferry service is projected to have an estimated $6 million revenue increase in the next fiscal year — absent any budgetary changes — it is also believed that expenses will increase by roughly 5% to $10.5 million.
Despite hopes that additional federal funding will be able to make up the difference, allowing the baseline 2024 budget to be fully funded, the finance committee is nonetheless considering three alternative budgetary scenarios that would save the CBITD anywhere from $1 million to $1.5 million.
Last week, the CBITD finance committee discussed these budget proposals, all of which included raising ticket prices anywhere from 8% to 16%. Two of the three proposals included staffing reductions.
Other budgetary cuts included in the proposals were a $200,000 reduction in spending for terminal security and a 2.5% to 3% reduction in trip frequency.
Estimates showing an expected $4.4 million net loss for the CBITD this coming fiscal year prompted efforts to develop alternative budgetary proposals.
Reporting from Spectrum News revealed that members of the quasi-municipal organization were, generally speaking, uninterested in implementing any of the proposed spending cuts and would rather pursue increasing ticket prices.
“It’s been 14 years. That’s unheard of in anything else,” Hank Berg, general manager, told Spectrum News. “It’s time.”
Currently, ticket prices for the Casco Bay Ferry differ based on the passenger’s destination. The finance committee proposed altering this pricing structure so as to charge passengers a standard flat rate regardless of the island to which they are traveling.
Jean Hoffman, chair of the finance committee, told Spectrum News that in addition to bringing in extra revenue, transitioning to a flat rate ticket would likely help to encourage tourists to visit all of the islands in the area, instead of just Peaks.
Under the current pricing structure, tickets to Peaks Island are the cheapest for passengers, costing $7.70. The most expensive ferry rides, which take passengers to Cliff Island, currently cost $11.55.
The finance committee is also considering the possibility of increasing ticket prices across the board and offering frequent riders a discount. Due to restrictions surrounding the receipt of federal funding, the CBITD is prohibited from offering discounts exclusive to island residents.
Since 2021, however, Casco Bay Lines has made “residential boarding passes” available to Peaks Island residents to ensure that there is enough space aboard the ferry for both year-round and seasonal residents of the island.
The CBITD also currently gives passengers the option of purchasing a “commuter book” of tickets, which offers anywhere from a 34% to 39% discount per round-trip on peak-season tickets depending upon the destination.
The same option is available to passengers during the off-season, but the discount available to riders is slightly lower, ranging from 22% to 30%.
Hoffman told Spectrum News that “the number of day trippers to Peaks is astronomically bigger than it was in the past,” and “people are often shocked by how low the price is.”
In addition to daily ferry travel, the CBITD also offers group tours, private charters, and special event services which all help to bring in revenue for the quasi-municipal organization.
According to the Portland Press Herald, the first of the three budgets under consideration would institute a 16% rate hike which, combined with a projected increase in tours and charters, would bring in an additional $1 million.
The second budget up for discussion combines a 10% rate hike with a 12% personnel reduction and a 2.5% trip frequency reduction. It is also under this budget proposal that spending on terminal security would be cut by $200,000. The changes made under this proposal would be expected to bring in an estimated $1.4 million in savings.
The third and final budget under consideration by the finance committee would increase ticket fare by 8%, cut personnel by 16%, and reduce trip frequency by 3% — resulting in an estimated $1.5 million in savings.
| Budget Proposal #1 | Budget Proposal #2 | Budget Proposal #3 |
|---|---|---|
| 16% Ticket Price Increase | 10% Ticket Price Increase | 8% Ticket Price Increase |
| – | 12% Personnel Reduction | 16% Personnel Reduction |
| – | 2.5% Trip Freq. Reduction | 3% Trip Freq. Reduction |
| – | $200,000 Terminal Security Spending Cut | – |
| $1 Million Savings | $1.4 Million Savings | $1.5 Million Savings |
The CBITD finance committee is scheduled to meet on September 7th, 21st, and 28th. These are set to be the final three meetings for the committee this fiscal year.
Therefore, Casco Bay Ferry passengers are likely to know by the end of next month exactly what services and ticket pricing are going to look like for the foreseeable future.
