If the Alaska State Legislature greenlights ARRC’s bond funding initiative this session, the brand new passenger dock might be up and operating at the beginning of the 2024 summer season season. The railroad mentioned the deal just isn’t solely vital to Seward as a cruise passenger favourite, but in addition to the hundreds of companies statewide that depend on journey and tourism {dollars}.
The present passenger dock, in-built 1966, is owned and operated by ARRC.
The brand new dock is a lifetime mission for the railroad. As soon as accomplished, it is going to be a necessary transportation hyperlink, ARRC mentioned, making certain Seward’s ongoing position in connecting the Southeast Alaska cruise business to the tourism companies in inside and Southcentral Alaska.
$60m in bonds
ARRC plans to fund the mission by promoting $60m in bonds. That requires legislative approval. Laws authorizing ARRC to make use of its bonding authority has moved out of the transportation committees in Juneau, with bipartisan assist. The payments launched are Senate Invoice 218, sponsored by Senate President Peter Micciche, a Republican, and Home Invoice 366, sponsored by the Home Transportation Committee, chaired by Rep. Grier Hopkins, a Democrat.
‘The chance to finance this crucial piece of Alaska’s infrastructure with out having to make use of state {dollars} is vitally vital,’ Micciche mentioned. ‘ARRC has its personal bonding powers and not one of the $60 million to be raised for the mission shall be carried by the individuals of Alaska. This dock is crucial to a useful a part of my district, Seward, the Kenai Peninsula, and, frankly, all of Alaska’s tourism business.’
‘Whereas this dock shall be in-built Seward, hundreds of tourists who arrive and depart from there spend time in Fairbanks,’ Hopkins mentioned. ‘It is extremely vital to my constituents that we preserve each choice open for individuals to go to Alaska.’
$80m mission
Complete mission prices are estimated at almost $80m to take away the present dock and terminal facility and construct a brand new dock and facility. Income bond debt shall be repaid from dock person charges as soon as the brand new dock is operational. The remaining prices shall be paid by present dock charges and ARRC capital funds.
The mission additionally has the assist of a longtime companion of the Seward cruise ship terminal, Royal Caribbean Group. The corporate is finalizing a multi-year berthing settlement with ARRC, which options an annual income assure. The Royal Caribbean Worldwide, Movie star Cruises and Silversea manufacturers are all calling at Alaska this summer season. The primary ship is ready to reach in Seward Might 13.
20-year-plus historical past with Royal Caribbean
‘Our cruise ship manufacturers have loved working out of Seward and dealing with ARRC for greater than 20 years, as evidenced by our deep neighborhood relationships and assist of native companies. Company view Seward as an excellent vacation spot to construct Alaska trip recollections that final a lifetime,’ mentioned Josh Carroll, VP vacation spot growth, Royal Caribbean Group. ‘We applaud ARRC for taking the initiative to acquire legislative approval for securing the financing essential to rebuild the Seward dock and we have now little doubt that higher cruise amenities will result in elevated railroad guests benefiting Alaska communities.’
Gateway for greater than a century
‘Seward has been the gateway for the railroad to convey individuals to Alaska for over 100 years. This chance to exchange and improve this dock will be sure that we’re in a position to exhibit Alaska to guests for many years to return,’ ARRC President and CEO Invoice O’Leary mentioned. ‘This can be a lifetime dock for us, and it is going to be an vital connection for different communities alongside our rails in Alaska and we’re thrilled that we have now assist stretching from the neighborhood of Seward, to lawmakers in Juneau together with Governor Dunleavy.’
For the 2022 cruise season, passengers will disembark on the present dock.
O’Leary is at Seatrade Cruise World this week.