Alaska allows a contractor to mobilise at the Cascade Point ferry terminal site

KTOO reported on 3 November 2026 that the Alaska Department of Transportation and Public Facilities has not authorised construction of the Cascade Point ferry terminal, and that spokesperson Justin Shelby said the agency in mid-October told Sitka-based contractor K&E Alaska Inc. it could “mobilize equipment and store materials at the project site.”

Shelby said that followed a jurisdictional determination from the U.S. Army Corps of Engineers. The determination found that the first phase, upland work and not the terminal itself, would not affect federally regulated waters. Randal Vigil, of the Corps’ Alaska District, said: “It is conceivable that ADOT could do work at the site and not be required to get a permit from us if they don’t impact those jurisdictional waters.”

The Southeast Alaska Conservation Council sent a cease-and-desist letter after staff saw excavators at the site on Friday, and more equipment appeared to be on site by Monday afternoon, staffer Stacy Unzicker said. In a written statement, Unzicker accused the Dunleavy administration of dividing the project to “set things in motion before the next governor can put a stop to it.” State Rep. Louise Stutes said: “This clearly is a situation of trying to beat the change of administration.” She said: “The $28.5 million that they’re working on now is just a drop in the bucket of what that project would cost if it were to go forward.”

The department says a terminal further north than Auke Bay would shorten the ferry route, save on fuel and make the system more efficient. Critics say travellers would have to drive or shuttle 30 additional miles from Juneau to board. Shelby said the department is “following all applicable laws and regulations” and that there is “no attempt at the unlawful practice of improper segmentation.”

The department said in March that it was delaying work until next year, after the Corps asked for design information on both phases. Shelby said a federal permit is not required for work that does not affect jurisdictional waters, and that an environmental review checklist, a stormwater pollution prevention plan and consultations under the Alaska Historic Preservation Act are still required before construction of the first phase, which would be paid for with state funds. “There’s a possibility we could see construction this year, or we could end up pushing into next year,” he said.

State Sen. Jesse Kiehl said: “If you don’t know that the ultimate thing you’re going to build for the whole project is going to be allowed, why would you start building yet?”