Todd shipyards wins bid for a single Port Townsend-Keystone ferry

The state Department of Transportation today awarded a bid to Todd Pacific Shipyards for construction of one 64-car ferry to serve the Port Townsend-Keystone route.

The state decided not to award two ferry contracts after the bid last month came in far above the state's estimate.

In the bid, the state said it wants the ferry completed in 18 months, which some experts say is impossible.

"We need this boat as soon as possible," said David Moseley, head of Washington State Ferries. "We can't continue to count on the kindness of our friends." Pierce County has loaned the state a ferry for the route, but that lease will expire in August.

The route was left without a ferry in November 2007 when state Transportation Secretary Paula Hammond pulled from service the damaged Steel Electric ferries that were then used on the route.

Todd was the only bidder on the so-called Island Home contract, but the shipyard's bid of more than $65 million was about $16 million over the state's estimate for building one boat — the shipyard had the option of bidding on building one boat or two.

The shipyard's bid of more $124 million for two boats was more than $28 million over the state's estimate.

Moseley said he wasn't surprised the bids came out high given that Todd submitted the only bid.

The Legislature last year appropriated $84.5 million to build new boats to replace the 80-year-old Steel Electric vessels.

Steve Welch, CEO of Todd shipyards, said his company will start building the boat immediately. He also said the 18-month bid cycle increased the bid costs.

For every day Todd is late, it will have to pay a $6,000 penalty. Moseley is certain that cost was built into Todd's bid. For every day the boat comes in early, the shipyard will earn $10,000, he said.

While Moseley said the state had hoped to build two Island Home boats, the money wasn't there. He said the route only has one ferry now, and it will be up to the Legislature next year whether or not more money will be allocated for another boat.

"We need to have those conversations with the Legislature, the Transportation Commission and the communities," Moseley said, "and then move forward with new vessel acquisition. Let's award the bid for one boat and move forward after the [2009 legislative] session."

By law, the boats must be built in a Washington shipyard.

Susan Gilmore: 206-464-2054 or sgilmore@seattletimes.com