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<< Previous   of   Next >>   ADVERTISEMENT   CONTACT THE HERALD Robert Frank, City Editor frank@heraldnet.com   Published: Friday, April 4, 2008 State rejects builder's ferry bid State officials say the only bid to build a new ferry is $9 million too high. By Scott North and Jerry Cornfield, Herald Writers SEATTLE -- Washington State Ferries on Thursday rejected the sole bid to build a new vehicle ferry and pledged to try again with what could be a less expensive project. Ferry officials turned down a $26 million bid from Todd Pacific Shipyards to build a 50- vehicle ferry using the Steilacoom II design. Todd said it needed roughly $9 million more than state engineers estimated as the cost for the new boat. That's too costly, and the state needs to work with Washington shipyards to seek new bids that will bring down the price tag, said David Moseley, assistant state transportation secretary in charge of the ferries division. The state already has determined that some changes to the vessel's design sought by ferries' engineers contributed to the higher cost, Moseley said. Todd also estimated that it would take 200,000 work hours to construct the vessel -- 42 percent more than state engineers calculated. "That translates into almost $4 million right there," Moseley said. He hopes to understand the reasons for the differences before seeking another bid on the boat. Last week, Todd Chief Executive Officer Stephen Welch sent a three-page letter to Moseley pointing out a number of reasons the firm's bid eclipsed the state's estimates. Thursday, Welch didn't express disappointment at having the bid turned down. "We have educated them as to the real costs of what the specifications they put out," he said. "We have been very open with the ferry system and offered an extensive way for the costs to be reduced." He said the firm would consider submitting a new bid on a repackaged project. The state is currently using Pierce County's Steilacoom II to provide ferry service on the Keystone-to-Port Townsend route. Although the vessel has received mixed reviews on the challenging route across Admiralty Inlet, the state still plans to try to build its next ferry modeled on that design. That's because building a Steilacoom-class ferry appears to be the swiftest option for adding a sorely needed boat that can be used on the route after the Pierce County lease expires early next year, Moseley said. "I certainly think that's the way to go at this point," said state Sen. Mary Margaret Haugen, D-Camano Island, the chairwoman of the Senate Transportation Committee. "We don't want any disruption of service on that run. That's absolutely imperative." The state also is pursuing plans to construct larger, Island Home-class vessels that can carry up to 80 vehicles. Many state officials believe those vessels would be a better fit on the route, but they will take more time to build, and the Steilacoom-style boat can be used elsewhere in the ferry system later, Moseley said. State engineers plan to meet with other local shipyards before seeking a new bid. They hope to generate more interest in the project and also identify options for reducing costs, Moseley said. The state expects to re-bid the 50-vehicle ferry contract in the next few weeks and award a contract by mid-May. Rep. Larry Seaquist, D-Gig Harbor, a former U.S. Navy captain who's taken an active role in monitoring the ferry procurement process, said quick action is important. "We need to start cutting steel. We need to begin building ferries," he said. Only Washington shipyards will be invited to bid on the project, Moseley said, as required by state legislation. "I will follow the law," he said. Reporter Scott North: 425-339-3431 or north@heraldnet.com.

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