The discounted Islander rate for vehicle reservations offered by the Steamship Authority will be seeing an uptick next year, as will other fares sold by the ferry line.
On Thursday, the Steamship Authority board unanimously approved a roughly 5 percent rate increase across its fares, including for the excursion rate that gives vehicle reservation discounts to Islanders. The fare increases are meant to offset costs in a $162.081 million operational budget for 2026, an over 7 percent increase from the current $150.7 million budget. The board also unanimously approved the budget during the same meeting.
It’s the first time since 2021 the excursion fare has increased, the Steamship faced considerable pushback from Vineyard residents and officials who felt improvements to other parts of the Steamship Authority should be prioritized before the rates were increased.
Ferry line staff introduced the proposed rate hikes last month, and the proposal was supported by the Port Council last week.
On Thursday, Falmouth board representative Peter Jeffrey, while voting in favor of the rates, underscored a need to look at the overall budgetary structure of the Steamship Authority.
“I’m aware no one likes to pay more,” Jeffrey said. He highlighted that excursion rates have still been increased less than other fares. Had they kept pace with other fares, the Islanders-only rate would have increased $7. The current increase, Jeffrey said, was less than a “12-oz cup of coffee” sold in Vineyard Haven. And if there’s a shortfall, that would impact all of the port communities.
Jeffrey was also concerned revenue generators, like the fare box and bonds, wouldn’t be enough to cover expensive capital projects moving forward. He said it could be a “hard sell” to request more money from state legislators if they didn’t tighten up the budget.
Mark Rozum, Steamship treasurer and comptroller, highlighted that there weren’t many ways for the Steamship Authority to cut down on the budget other than eliminating some trips during the winter months, when they operate at a loss — something the ferry line wants to avoid as it would be detrimental to Islanders.
But the ferry line is looking to focus its advertising to attract more walk-on passengers, largely focused on day-trippers. The advertisement campaigns would focus largely on people living in Boston and on Cape Cod as a way to boost revenue.
“Passengers are the gravy that makes the Steamship Authority profitable,” said Jim Malkin, Martha’s Vineyard board representative. Vehicle reservations are generally solidly booked for the summer, so any additional walk-on passengers is added revenue for the Steamship. Malkin highlighted that advertisements would help the Island compete with other tourist destinations in southern New England like the Cape and Block Island. But he also underscored a need to review current advertising and public relations models, considering the different ways the public gets information, like social media.
Malkin also said it will be important to look at the new reservation system, which is expected to show the real-time situation of Steamship docks like space available on boats and possibly offer discounts for tickets. Malkin said utilizing this technology will bolster the ferry line’s role as the Vineyard’s lifeline.
I do not have a problem with an excursion fare increase. I would even pay more. But the SSA service is terrible and very islander unfriendly. Cancelled boats, lack of staffing, supposedly full boats left partially empty during peak travel, an exasperating reservation system and a ticketing and communications system from the previous century. The list goes on. While walk on passengers may be desired and valuable, are there really a lot of untapped customers in Boston and the Cape that are not aware of the SSA? Maybe its more the service or convenience of parking and buses? Also, curious that we are raising prices on excursion fares (winter) but considering cancelling service because they are not full – that puts a new spin on Economics 101. Also, the summer boats are fully booked with vehicles – maybe raise those prices since the demand is so high and inelastic? Looking forward to the completion of the new building and using the new reservation system
I also wouldn’t mind the increase if I didn’t know the reason they need more money. Rank incompetence of Bob Davis and his underlings. It’s an absolute disgrace!
Time for the State to take over the SSA which spends money like a drunken sailor. It is a complete joke.
By comparison a very similar ferry operation to Ocracoke Island in N.C. is completely FREE to passengers and those with autos with no reservations required!
I’m not surprised, rewarding poor performance and mismanagement is the Massachusetts way.