The Skagway ferry dock. (Emily Files)

The Skagway ferry dock. Photo by Emily Files.

Skagway officials are in talks to take over the Broadway peninsula that includes the community’s state-run ferry terminal. That could be a key step toward the future development of Skagway’s waterfront.

Skagway’s Mayor Andrew Cremata says the tentative agreement with the state is part of Skagway’s plan to regain control of its port and it will allow Skagway more options in moving forward with its master plan for port redevelopment.

“We’re going to get back on track with cruise visitation next year, we’re going to see a lot of money coming in from our port when we take over our assets in 2023. So we’re gonna be okay. And not only that, but we’re gonna have some incredible options for development out there in the future,” said Cremata.

Last week Skagway officials announced they had signed a formal agreement with state officials to begin talks on taking over the Broadway peninsula.

That’s a key piece of Skagway’s waterfront. There are also three cruise ship docks, the Railroad dock, the Broadway dock, and the Ore dock. Two of which are leased by the White Pass and Yukon Route Railroad. That lease expires in 2023 with the municipality poised to assume control over this prime real estate.

In the middle of all that lies the Broadway peninsula. The state owns a controlling share of that area including the dock for the Alaska Marine Highway. Cremata says this MOU is the result of two and a half years of talks initiated by the Dunleavy administration.

“The governor sent out a letter saying that he was hoping municipalities would be willing to take some of the financial burdens off of the state by taking over properties. And so we identified that as a possibility right away,” said Cremata.

The State Department of Transportation came to an agreement to make improvements to the ferry terminal and build the floating dock more than 40 years ago [web: 1978].

But in April of 2014, it sank to the bottom of the Skagway harbor. It took over a month for crews to re-float it. 

“That was not only an embarrassment it was a disaster. It’s the same dock, the same float,” said Skagway Assemblyperson and chair of its Planning and Zoning committee Orion Hanson. He also said the dock still hasn’t been completely fixed.

“It’s in really, really rough shape. The concrete’s eroded, it should have been replaced. I think its life expectancy was probably 10 years ago, of the ferry float itself,” said Hanson.

He also said that’s not the only improvement that needs to be made at the terminal. According to Hanson, the state has declined to use federal highway dollars to extend the sewer line. 

“So currently, they’ve got, you know, a leach field that now somehow is supposed to not go in the ocean, but probably does,” said Hanson.

Skagway’s assembly’s thinking is as follows: if local officials regain full control of the Broadway peninsula, they would then be able to repair or replace the floating dock. That control could also allow sewer access, extensions for a new cruise ship berth, and they could make the area more accessible for freight.

With ownership would also come responsibility. If the municipality takes over the state ferry terminal estimates say it would cost about $50,000 a year in upkeep. The municipality would also be required to ensure a place for the Alaska Marine Highway ferries to dock and unload. 

For now, the MOU is an agreement to begin negotiations, it remains non-binding and will not affect ferry service for Skagway in the short term.