US yards vie for ferry job

Three Puget Sound shipyards are competing to build four new state ferries worth in total $200 million. J.M. Martinac Shipbuilding of Tacoma, Nichols Brothers Boat Builders on Whidbey Island and Seattle’s Todd Pacific Shipyards are in the final list of shipbuilders that meet the requirements of the Washington State Ferry system officials.

All three yards now await another round of scrutiny focusing on financial viability for taking on a project expected to stretch over five years and a decision is expected in days.

The ultimate winner will build four ferries each with a carrying capacity of 130 vehicles. The survivors of the financial round will spend most part of this year assembling technical proposals for the contract, which is scheduled to be awarded to the lowest bidder in early 2006.

Todd Pacific, with its large shipyard on the Seattle waterfront, was the winning bidder the last time the ferry system ordered new vessels in the late 1990s when it built three Jumbo Mark II Class ferry boats that each hold 200 cars and 2,500 passengers. Nichols Brothers specializes in catamarans, tug boats and cruise ships. The company is in the final stages of building the $60 million experimental X-Craft for the U.S. Navy. J.M. Martinac made a mark starting in the 1960s with steel-hulled tuna seiners but has seen demand wane along with the industry. The company also builds tugs and has recently done overhaul work on Washington State Ferries vessels, as well as factory trawlers.

The ferry system plans to issue one contract to one shipyard, but that doesn’t preclude the winning bidder from entering agreements with other shipyards. Nichols Brothers is considering teaming up with another shipyard, said the company’s chief executive.

The companies have invested a year so far in competing for the project and will likely spend another year before the final contract is awarded.

Overall, the ferry system is projecting to spend $285 million on the four new vessels by tapping into bonds, revenues from fares and fees, and other sources.