The Pinellas Suncoast Transit Authority has landed a $16.5 million federal grant to buy a single new vessel for the Tampa Bay Ferry, the agency announced Friday, adding another taxpayer-funded line item to a service that still hasn’t relaunched.

PSTA says the money comes from the Federal Transit Administration’s Passenger Ferry Grant Program and is earmarked to expand ferry runs between downtown St. Petersburg and Tampa. The new boat would join the existing fleet — the Bay Breeze and Bay Clipper — both of which are currently out of commission and undergoing refurbishment at Tarpon Marine Inc. in Tarpon Springs. Officials say the third vessel would boost capacity and long-term reliability.

PSTA CEO Brad Miller thanked U.S. Transportation Secretary Sean Duffy and the FTA for what he called a “transformational investment,” framing the award as proof the agency is building a ferry system meant to last. Whether Pinellas taxpayers see it that way may depend on how long “long term” turns out to be — PSTA has not yet set a date for when the ferry will actually be back on the water.

The FTA distributed $105 million in competitive ferry grants nationwide for fiscal year 2026, meaning this single award accounts for roughly one in every six federal ferry dollars handed out this year. PSTA says it will now begin designing the vessel and selecting a U.S. shipbuilder, with the boat not expected to enter service until 2029 or 2030 — a timeline stretching nearly four years beyond Friday’s announcement. The agency says it will announce a relaunch date for the existing ferry service later this year, once refurbishment work on the Bay Breeze and Bay Clipper is further along.

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