BCF to manage Town of Sidney Ferry Terminal

[Scott]

A question about the downtown Vancouver - Sidney passenger route rumor... why would they run from downtown Vancouver to a suburb of Victoria?

[Neil]

Exactly. What do several hundred foot passengers do when they get off a ferry in Sidney? Get on the no. 70 bus? Hail taxis? Or maybe Sidney paves several dozen acres of it's waterfront for a park-n-ride? Umm... not likely.

Is there anywhere in the world where a passenger ferry docks several miles from a downtown, without any major/rapid transit connection?

They haven't really been 'secretive' about Sidney. They want to keep WSF as the major tenant, develop cruise and tour traffic, and possibly (they've stated) use Sidney to service the Gulf Islands somehow. A passenger service to Vancouver just doesn't seem logical.

[Barnacle]

extreamme said:

If Washington State Ferries don't run to Sidney in the winter then where does the Caho go?

The Coho is not operated by WSF; it's run by Black Ball. And they dock in downtown Victoria (for the moment).

[kylefossett]

extreamme said:

If Washington State Ferries don't run to Sidney in the winter then where does the Caho go?

where does the caho run? i have heard of the coho but not the caho. is that a sister ship?

[Koastal Karl]

I think he means Coho!

[Neil]

WSF weighs options

By Judy Reimche
Peninsula News Review
Feb 09 2007


BC Ferries and the Town of Sidney have entered into a 40-year lease for the ferry terminal on Ocean Avenue.
Washington State Ferry Corporation [WSF] isn’t too pleased about the deal. The terminal has been leased by WSF for the past 50 years, under contract to the federal government of Canada, and most recently to the Town of Sidney.
“We were very sad and disappointed to hear of the agreement,” said Susan Harris, customer information manager for WSF.
“We’ll be reviewing all our options, up to and including the termination of this run.”
The first ferry of the season was set to begin its spring run in April, and Harris said they had been planning an April Fool’s Day event to kick off their season. They’re having second thoughts about that, too.
Sidney Mayor Don Amos said he hopes they don’t pull the run, calling it an asset to the whole region. “When there was a threat in 1997 that WSF might discontinue this route, we fought to keep it. It’s important to have this relationship, to the people of Sidney and to the people of Anacortes.”
Harris agreed. She said WSF has been working with the tourist industry in Anacortes and in Greater Victoria to promote the route, and to promote tourism in Sidney. They had just begun their promotion of RV traffic on the ferry. “We felt we were just gaining momentun on building our marketing planning,” Harris said.
In 2002, the federal government transferred the terminal, lease options and all, to the Town of Sidney. The Town then put $4 million into the rebuilding of the dock. Amos said the current value of the terminal is now about $10 million.
“That’s a big asset for the Town, and as a council, we’re obligated to get the best out of that for the taxpayer,” Amos said.
He said that was why the Town issued a call for expressions of interest in the lease of the terminal in 2005. Since 2003, WSF had been on a month-to-month lease with the Town. Amos said they had been offered a long term lease, but chose to be on a monthly basis. He said the run to Anacortes was also reduced during that time from a daily service to a nine-month service with twice a day runs during summer peak periods only.
Amos said a number of proposals were received, but WSF did not respond to the call for expressions of interest. WSF officials later said they had not been aware of the situation, and were upset that the town had already entered into a Memorandum of Understanding with BC Ferries [BCF].
“With this deal, we’re probably looking at around $245,000 a year [lease payment] right off the bat. That money goes into a reserve fund, as it always has. It’s used for maintaining and improving the terminal,” Amos said. He expects that fund to grow as additional users are found. “Eighty per cent of all profits go into that fund. Sidney’s in a much better position now. It offers more opportunities for Sidney.
“We wanted to see more use of the terminal. We have a lot of money invested in it,” Amos said. “There were small cruise ships starting to use the dock, but there was virtually no benefit to Sidney businesses.”
Now, it will be up to BCF to find additional users to boost revenue for the facility, with the expectation of luring more tourists into Sidney’s downtown area.
Under the lease agreement with BCF, Washington State Ferries is recognized as a priority user of the dock, Amos said, adding that WSF will be offered a docking agreement based on its 2006 schedule and with accommodation for long term future use.
“We’ve tried to protect their interests,” Amos said. “Schedules — nothing changes for them. In fact, it’s a load off their minds. They don’t have to find other users for the dock. And they’ve said for a long time that they weren’t interested in managing a terminal outside their country — it’s a complication for them.”
WSF officials don’t agree.
“There are three main issues that concern us,” Harris said. “Washington State Ferries has an extensive safety management system, and we have an extremely good safety record. BC Ferries’ record is … questionable, at best.
“We have trained terminal and vessel staff, and we have concerns about turning the operations [which include the loading of the boats] over to anyone else.
“Thirdly, we have 50 years experience dealing with Customs. We’ve been developing some revolutionary ideas [around dealing with Customs issues], but now we’re going to have to step back.”
BCF, in conjunction with the Town, will be setting up a master plan for future development. BCF will also be responsible for all liability and property insurance.
A community liaison committee will be set up to monitor the terminal operations. Amos said he hopes WSF officials will be part of that committee, along with BCF and the Town.
David Hahn, BC Ferries’ president and CEO, said, “We certainly have experience and expertise in operating ferry terminals and are looking forward to this exciting opportunity. [We’re] prepared to use our expertise in all facets of the marine transportation industry to develop innovative new business opportunities for ourselves and for the communities we serve.”
“You’re not going to see any of BC Ferries’ larger boats coming in here,” Amos said. “Any additional use will likely be a gradual increase.” He said local residents will likely see some improvements in the appearance of the terminal, as well.
“We see this as very bad business practices,” Harris said. “BC Ferries are our competitors. This is like asking Southwest Airlines to load the planes for Alaska Airlines.
“We’re not going to make a hasty decision here. We’ll do what we feel is best for everybody. We thought we had a good relationship with Sidney.”
--------------------------------------------------------------------------------
© Copyright 2007 Peninsula News Review

My comments:
As this story develops, it becomes more clear that this has nothing to do with some diabolical plot by BC Ferries to turf their 'competitor' out of the Sidney terminal. This is a case of the town of Sidney not being happy with WSF's proprietorship of the property.
WSF is not in the business of terminal management, per se, except for the purpose of loading and unloading vessels. Also, being an American, public operation, they cannot be expected to invest in a terminal on foreign soil for the betterment of the community around it, although they've said they have done work in that area. That's not a criticism, it's just reality. It's not the job of an American utility to develop land usage on Vancouver Island.
Sidney felt that WSF was never going to take an entrepreneurial attitude toward the terminal, and that under WSF management, a very valuable piece of waterfront was likely to remain little more than a dock for two American ferries a day- less in winter- with absolutely no activity in most of February and March. WSF was not willing to commit to long term stewardship; BC Ferries was- case closed. BC Ferries has made it clear that they are looking to turn as many of their terminals into revenue generating properties in themselves as they can; that's what Sidney wants, with spin off benefits for the surrounding community.
Of course, this will backfire for both Sidney and BC Ferries if WSF walks off in a snit. Hopefully the parties can work out an agreement that will keep two boatloads of American tourists a day coming onto the Saanich peninsula.

[EGfleet]

hornbyguy said:

My comments:
As this story develops, it becomes more clear that this has nothing to do with some diabolical plot by BC Ferries to turf their 'competitor' out of the Sidney terminal. This is a case of the town of Sidney not being happy with WSF's proprietorship of the property.
WSF is not in the business of terminal management, per se, except for the purpose of loading and unloading vessels. Also, being an American, public operation, they cannot be expected to invest in a terminal on foreign soil for the betterment of the community around it, although they've said they have done work in that area. That's not a criticism, it's just reality. It's not the job of an American utility to develop land usage on Vancouver Island.
Sidney felt that WSF was never going to take an entrepreneurial attitude toward the terminal, and that under WSF management, a very valuable piece of waterfront was likely to remain little more than a dock for two American ferries a day- less in winter- with absolutely no activity in most of February and March. WSF was not willing to commit to long term stewardship; BC Ferries was- case closed. BC Ferries has made it clear that they are looking to turn as many of their terminals into revenue generating properties in themselves as they can; that's what Sidney wants, with spin off benefits for the surrounding community.
Of course, this will backfire for both Sidney and BC Ferries if WSF walks off in a snit. Hopefully the parties can work out an agreement that will keep two boatloads of American tourists a day coming onto the Saanich peninsula.

Nicely put! I think you've hit the nail on the head.

Oh, and see my post in the WSF vs BCF safety issue thread for the primary thing I feel WSF is put off about.

[Low Light Mike]

It will be interesting to see what BCFS does with these "opportunities" that it will have, with this terminal, and with future surplus vessels.

[Kam]

I agree with all your points Hornbyguy. But I dont get this part:

hornbyguy said:

“BC Ferries are our competitors. This is like asking Southwest Airlines to load the planes for Alaska Airlines.
“We’re not going to make a hasty decision here. We’ll do what we feel is best for everybody. We thought we had a good relationship with Sidney.”

I just don’t see BCF and WSF being competitors... Can someone clue me in if I’m missing something..

[EGfleet]

kam said:

I agree with all your points Hornbyguy. But I dont get this part:

hornbyguy said:

“BC Ferries are our competitors. This is like asking Southwest Airlines to load the planes for Alaska Airlines.
“We’re not going to make a hasty decision here. We’ll do what we feel is best for everybody. We thought we had a good relationship with Sidney.”

I just don’t see BCF and WSF being competitors... Can someone clue me in if I’m missing something..

You're not the only one who can't see that either. Every time this is brought up with WSF I can't fathom it either. There is no duplication of routes at all--BCF doesn't even have service to Sidney or from Sidney or to the US at any port. And it isn't as if WSF was going to provide service from Sidney to anywhere else so I haven't a clue as to what she's talking about.

[Barnacle]

cascade said:

I think that WSF are now preparing the ground for dropping this end leg of the route. It has been looked at in the past under the former CEO of WSF.

Cascade, I must request that you quit bringing the actions of "former CEO" Mike Thorne into the conversation. There's a reason he is the former CEO. He is an idiot, politically speaking, and his actions bore about as much relation to WSF's mission as President Bush's do to any known reality. After all, Thorne was the genius behind the galley shutdown for nearly 18 months, the multi-million dollar "renovation" of a terminal that was slated to be replaced entirely (and is less than successful in its new format; it seems that the office-to-customer disconnect is so vast, nobody realized that the ultimate commuter's experience at Colman Dock is to arrive at 4:47 PM, fling a ticket through the window at 4:48, and board the vessel at 4:49).

So, kindly leave the "plans" of Mike Thorne out of this. He's out of the picture, and WSF has publicly stated that there are NO intentions to drop the Sidney run. The loss of potential to move the Customs office to Sidney is screwing up the plans to renovate the Anacortes terminal, that's all. (The last drawings of the site plan that I saw had no Customs compound in it.)

[kylefossett]

kam said:

I agree with all your points Hornbyguy. But I dont get this part:

hornbyguy said:

“BC Ferries are our competitors. This is like asking Southwest Airlines to load the planes for Alaska Airlines.
“We’re not going to make a hasty decision here. We’ll do what we feel is best for everybody. We thought we had a good relationship with Sidney.”

I just don’t see BCF and WSF being competitors... Can someone clue me in if I’m missing something..

if they are competitors then you can say any airline that flys from windsor ont. to vancouver competes with any airline that flys from detroit to seattle and connects to bellingham. goes from they same general region to the same general region

[Retrovision]

“We’re not going to make a hasty decision here. We’ll do what we feel is best for everybody.”

Yes, they will certainly do as they see fit.

-

"...But we have no intention of moving the [Mill Bay] terminal. For one thing, the provincial government owns the terminals.”

You can intend to change something you don't own all you want, it's still not your decision - so why even word it that way?

-

"We’re assured there won’t be any large ferries coming in there"

And how often are so-called "assurances" ever actually adhered to, by polititians and corporations alike, when it's not on paper?

[Barnacle]

Cascade--remember, WSF is still a government operation, and not at arm's length like the sham corporation of BCFC. WSF attempted to kill hte run in 1997 due to mismanagement, and the legislature forbade them to do so. The legislature is, at this juncture, still saying that they will still not allow WSF to abandon the run. Susan Harris-Huether's quotations in the past haven't borne much resemblance to what has happened, either politically or in terms of vessel operations, so I do hope you'll pardon my skepticism.

Just leave Mike Thorne out of this, that's all I ask. He's a non-player. ;D

[EGfleet]

cascade said:

Barnacle,

Sorry about this again - but with Susan Harris making these types of comments - she is a employee of WSF - therefore a valued employee and most likely has authority to speak on it's behalf. Someone - some where within WSF must been allowing her to keep making these "mischief" comments.

As for the former CEO - he surely didn't write the report all by himself - I think maybe around 50 to 100 people from across the board - range of department had a say in the report. Yes he may be gone from WSF - BUT what about all the people / Staff who contributed to the report - what are there views - why hasn't there be a counter report produced - rubbishing the first one ect....

Politics are been played with this small terminal between the Township of Sidney - BCFS and WSF. Each having a go at each other - and that leaves the poor residents of Sidney wonder what the He*L is going on. It looks like the employees of WSF also don't known what is happening.

Passenger only service to the smaller island (Gulf Island) Nice idea that BCFS has floated out there and see what bites or not.... This is the first time that I have heard of a pax only service around the Gulf Island. Has anyone else heard of these type of stories / service before?

And if {A very big IF here} what sort of vessel would BCFS use to service the islands? Would they build a new one ?

Please note the bold highlights Cascade...and as for "WSF employees not knowing what is going on" I'm sure you're much more well connected some 12K miles from the run by your own reckoning, right?

New terminal lease could torpedo Sidney run
BY KIMBERLY JACOBSON, Anacortes American staff writer

kimberly jacobson
One Washington State Ferries vessel leaves the Anacortes terminal last week as another circles to drop off passengers. The future of the run from Anacortes to Sidney, British Columbia, is uncertain after the Town of Sidney entered into a long-term lease with WSF’s competition, BC Ferries. Now the two ferry operators are charged with making an agreement to work together in order to sustain the run.
State evaluating options now that BC Ferries controls Canadian terminal operations

State ferry officials say the future of the Sidney, British Columbia, ferry route is uncertain after the Town of Sidney entered into a long-term lease with one of Washington State Ferries’ competitors. But local officials and state legislators say the run will not be canceled.

“We have to have some discussion here and with the town and with BC Ferries and look at what our options are,” said Jayne Davis, WSF regional operations manager. “We have to evaluate whether or not we can continue to operate the route.”

The run is scheduled to begin in April and BC Ferries is set to take over the lease of the Sidney terminal facility in September. For the run to continue, WSF and BC Ferries will have to come to an agreement on how to work together.

“I’m very grateful that the Town of Sidney has given everybody that much time to come up with an agreement that will work for everyone,” said Anacortes Mayor Dean Maxwell. “My message is ‘buck up and get this thing to work’ because the other alternative is not acceptable.”

Sen. Harriet Spanel, who represents Fidalgo Island, said the Legislature is just beginning to work on the details of the transportation budget, which includes WSF. She said WSF can recommend retaining the run or removing it, but the Legislature will make the final decision.

“I do know that the legislators down here do feel strongly that the run will continue,” she said. “I think it’s to the advantage of Sidney that they do work with the Washington State Ferries system.”
*
Davis said WSF is disappointed with the town’s decision to enter into a lease with BC Ferries.

“We’re saddened by this development. We, here at WSF, really value this route,” she said.

Under a 40-year lease between the Town of Sidney and BC Ferries announced last week, there are several provisions for WSF, including a docking agreement based on the 2006 schedule with accommodation for long-term future use.

“(We saw it as an) opportunity to potentially develop some business there, but Washington State Ferries would remain the primary user of the facility,” said Deborah Marshall, BC Ferries media spokesperson. “They’ve been providing a great service for years.”

BC Ferries does not have any immediate plans to operate any of its 36 ships out of the Sidney terminal, but may do so in the future.
Rep. Jeff Morris said he is disappointed with the state ferry system.

In 1997, mismanagement by the state’s ferry system nearly shut down the Anacortes-to-Sidney run, he said.

“After what we went through 10 years ago I can’t say I’m surprised that the ferries are in a similar situation today,” Morris said. “It is a shame that in an era when you can cross borders in Europe on a whim, they are making it as hard to get into Canada as it was to cross the Berlin Wall.”

The possible shutdown of the Sidney run brought the Anacortes community together during the beginning of 1997. Bus-loads of citizens traveled to Olympia to convince legislatures to keep the run.

Anacortes Chamber of Commerce Executive Director Mitch Everton said they’re prepared to do it again if it comes to that.

“If we need to put bus loads of people together to meet with the Legislature, I’m more than willing to do that,” he said Thursday at an Anacortes Chamber of Commerce luncheon meeting.

The Town of Sidney has made it clear WSF will remain a priority user of the terminal. But there are outstanding union and operating issues that could jeopardize the run.

“It is absolutely paramount for the town, and this has been explicitly indicated to WSF and BC Ferries, that WSF be retained as priority user of the terminal facility. From the town’s perspective, the Sidney/Anacortes run provides an essential transportation link between Vancouver Island and Washington state and is an international gateway between the two communities,” said Sidney Mayor Don Amos.

Davis said one of the issues WSF has with the new lease is managing their own business.

Davis said the lease is putting the basic business practices of WSF operations in the hands of a competitor. BC Ferries regularly runs boats between the mainland and Vancouver Island and has a large terminal just a few minutes north of the Sidney terminal.

During a presentation to the Sidney Town Council in December 2006, WSF representatives outlined six obstacles in reaching an agreement with BC Ferries: marshaling of traffic; security; customs and immigration issues; asset maintenance; ramp operations; and emergency preparedness.

“We need to maintain our agent operator on site to land boats and manage traffic,” she said. “They fail to understand the limitations with things like security.”

Another issue WSF has with operating under BC Ferries is the possibility of a BC Ferries union strike shutting down the terminal, making WSF unable to land their ferries.

BC Ferries has not been using the terminal and said the agreement with Sidney would not affect the larger BC Ferries terminal nearby. Under the agreement with the town, Marshall said BC Ferries would be in charge of upgrading the facility but there are no plans for that now.

Amos said the town doesn’t anticipate any immediate updates or alterations to the terminal.

“Recently, extensive upgrades were completed to the docking components of the terminal, as well as the recent addition of a float dock which accommodates pocket cruise ships,” he said.

Amos said the town will facilitate a community liaison committee that would be responsible for the long-term master planning of the facility.

The town will “work together with BC Ferries, Washington State Ferries and the community to ensure that this facility is being managed and operated as efficiently and effectively as possible to ensure its long-term success,” Amos said.

An international ferry terminal has operated out of Sidney for about 50 years under Washington State Ferries. Most recently they’ve been on a month-to-month lease at the terminal.

In 2002, the Canadian federal government transferred the terminal facility and the lease to the Town of Sidney.

When the town first attained ownership of the terminal, the town acknowledged that it is not in the business of managing and operating a ferry terminal, Amos said.

The town put out a call for expressions of interest for long-term management and operation of the terminal in May 2005. WSF did not submit a proposal, not realizing that failure to do so might compromise its lease.

After months of talks with the Town of Sidney and BC Ferries, WSF proposed a long-term lease to Sidney in October 2006, after the town initiated a memorandum of understanding with BC Ferries. The proposal was added after representatives of WSF and BC Ferries met several times to discuss working together.

“From the town’s perspective, the terminal has been running adequately under the current arrangement with WSF. However, it is difficult to market other users of the facility when your operations are based outside the country,” Amos said. “This new arrangement is designed to encourage a greater economic benefit to the town and our business community by bringing in additional passengers and tourists through our international ferry terminal.”

Anacortes leaders agree that the run is a necessary link between the two communities.

“The last thing in the world this town needs is to loose this international ferry run,” Everton said. “The reality is that we need to make this work.”

He said the chamber will be out front, doing whatever it can to make sure the route stays.

Sidney and Anacortes are tied together in cultural and commercial ways as sister cities, he said. Plus, with the 2010 Olympics not far off, he said severing this transportation tie to Canada makes little sense.

Maxwell said the city is spending $90,000 to market the run, which is a huge commitment. The run generates about $50 million for Anacortes and Sidney and benefits the whole region, Maxwell said.

Over the past two years RV traffic on the Sidney route has nearly doubled thanks to marketing, Everton said.

“Every vehicle we can put on that run is a profitable vehicle,” he said. “We are ready, willing and able to do that but you’ve got to have a run to promote.”

Maxwell is optimistic that WSF can work out an agreement with BC Ferries and continue to offer the Sidney run.

“I believe in my heart of hearts there’s time to understand everybody’s needs here,” he said. “This may work out to be better in the long run.”

[Fenklebaum]

After some consideration, it makes sense that WSF thinks of BC Ferries as its' competition. Consider the following:

A commuter is returning home to Seattle after having spent time in Victoria during a summer long weekend. They're tired, and want to get home. Three options for RoRo ferry service to get back present themselves. They are:

Black Ball: No getting lost trying to find the terminal, to be sure. The Coho's fairly infrequent departures, however, mean that missing a sailing will result in a rather lengthy wait. Also, once across, there's still another ferry to be taken (the WSF Edmonds crossing) in order to get back to Seattle without having to drive all the way around the Olympic Peninsula. I'm not very familiar with Washington's highway system, however looking at maps has lead me to conlude that when all's said and done, the travel time would work out to around 3.5 to 4 hours, 90 minutes of which would be spent aboard the Coho. The two ferry trips, however, make this the priciest of all the options.

Washington State Ferries: The terminal may well be a tad difficult to find, at least for a visitor with little knowledge of the region. Most travellers will simply be looking for the 'ferry terminal', and it is little help that the main route to the Sidney terminal is by way of the highway which advertises itself as leading to BC Ferries' "Swartz Bay Terminal". Assuming that the process of finding the terminal hasn't ended in tears, the prospect of waiting for the ferry might just very well might prompt weeping. As the service consists of only *two* sailings daily, missing the PM sailing means being stuck in Canada for another day. Assuming everything goes to plan, the sailing still takes 3 hours (a lovely cruise, though; I for one would certainly not be complaining!); tack on 45 minutes getting to the terminal on the Canadian side and another hour on the American side (customs, travel from Bellingham) and one is looking at a travel time of over five hours. ... huh.

BC Ferries: A clearly marked highway takes one right to the terminal, where ferries leave every hour to two hours. Tsawassen terminal is located only 20 minutes away from the American border, and travellers immediately find themselves on the highway once across. The ferry runs later and more frequently than either American operation, and operates *year round*. Factoring in highway times to Swartz Bay and from Tsawassen to the border, the whole trip on the Canadian side takes about 2.5 hours. 2 hours or so down to Seattle from the border, and the whole trip's finished in around four and a half hours.

I think it's fair to say that BC Ferries and WSF *are* in competition. If you were a traveller from the states, which option would you choose?

This situation reminds me of the situation facing False Creek Ferries and Aquabus on their short hops from Granville Island to the Aquatic Centre (FCF) and Hornby St. (Aquabus); both companies serve Downtown Vancouver from Granville Island, yet each company's docks differ in location. While one might argue that the companies are serving different clientele, it could also be argued that they are in direct competition with each other, trying to promote their own routes to Granville Island. It makes perfect sense that False Creek Ferries would be not all that pleased if Aquabus managed their dock, nor would Aquabus be pleased if False Creek Ferries managed their dock. The situation is the same in both the cases of the Granville Island Ferries and of WSF/BCFS, the former only being in miniature.

*note: In the interest of clarity, the docks at Yaletown, Stamps, Spyglass, Plaza of Nations and Science World are city owned, and *are* shared.

Fenk, blue

[Scott]

I think the fact that the Anacortes - Sidney route is shut down in the winter is proof enough that it's primarily a tourist run. Probably all commercial traffic uses BC Ferries, and like Fenklebaum said most business travellers would use BC Ferries as well (or fly). So technically, they may be competition. However I don't think BC Ferries is interested in destroying that route (unless they could take it over somehow... which sounds impossible according to some of the previous commentary). They would gain very little business from the Anacortes - Sidney route being shut down.

[Barnacle]

Downside to Americans heading for Swartz Bay-Tsawwassen, homeward bound: if they're tourists (and they usually are), they only know about the border crossing at Blaine. Tack on another hour to get through that.

That having been said, the Sidney-Anacortes run is tourist-oriented, no doubt about that. And as a bonus, it has a Duty-Free shop aboard! ;D

[In Washington]

My opinion?

WSF has wanted to drop this service for a few years now. Mike Thorne, although hated by many, came in and made the calls he was hired to make. Discontinuing the International service was one of them.

BCFerries has done WSF a favor and if they can, they will take advantage of it by getting out of the expensive Anacortes/Sidney route.

Anacortes Chamber of Commerce will complain. Rosario Resort won't be thrilled. WSF and BCFerries will be smiling all the way to the bank. BCFerries will pick up the few cars WSF transports daily and WSF will be able to save all the costs associated with SOLAS as well as the other operational costs.

The labor issue is a small one as the crews will quickly be absorbed back into the system through attrition and possibly added service to the San Juans.

My editorial for the day...

[Neil]

So, they aren't going to drop the Anacortes to Sidney run. Not right now anyway. Different WSF spokesperson, different attitude. The panic and bluster has been displaced by a more conciliatory stance.

from the Anacortes American:
Sidney run stays on schedule; more talks planned
BY KIMBERLY JACOBSON, American staff writer


Washington State Ferries plans to start the Sidney, British Columbia, ferry run as scheduled in April. Ferry officials had been uncertain of the run’s future after the Town of Sidney entered into a long-term lease with one of WSF’s competitors last month.
“WSF is fully committed to operating the Sidney run as we have been in years past as long as we are legislatively mandated to do so,” said Traci Brewer-Rogstad, WSF director of operations. “WSF has been very focused on maintaining the legislative intent, both on keeping costs in line, continuing to market the run and maintaining an attractive tourist transportation route both to and from Anacortes.”
The run is scheduled to begin April 1 and BC Ferries is set to take over the lease of the Sidney terminal facility in September. Representatives of WSF and BC Ferries have scheduled four meetings over the next two months to discuss the management of the Sidney terminal.
“WSF expects to actively engage in discussions with BC Ferries and sincerely hopes to come to some reasonable agreement that will not only protect service to Sidney and schedule reliability but also to minimize costs at the Sidney terminal,” Brewer-Rogstad said.
Meetings between the two ferry operators start Friday. Others are scheduled for March 21, April 4 and April 18.
An international ferry terminal has operated out of Sidney for about 50 years under Washington State Ferries. Most recently they’ve been on a month-to-month lease at the terminal.
“This run’s always going to take work, it goes across an international border, but I think it’s an extremely important connection that we all need to work on,” said Anacortes Mayor Dean Maxwell.
He said the situation has been difficult for everyone. Lots of things threaten the run, from gas prices to passport requirements starting next year, but there’s a need to keep the run viable, he said.
Maxwell said he believes WSF and BC Ferries can work things out.
“I want to make sure WSF gets a deal that works from them,” he said.
Anacortes Chamber of Commerce Executive Director Mitch Everton and a contingent of chamber members met with legislators Feb. 27 in Olympia to discuss the Sidney run.
“Our desire is that the Legislature will help in whatever way they can to smooth this discussion between Washington State Ferries and BC Ferries and hopefully reach some timely resolution,” Everton said. “All of the legislators were very supportive in terms of making that happen.”
Anacortes representatives met with Sen. Mary Margaret Haugen, Sen. Harriet Spanel, Rep. Dave Quall and Rep. Jeff Morris, whose districts all include Anacortes.
Everton said the focus of the meetings were to ensure the need for the Sidney run, which is a key element to the city’s identity, is front and center.
“I’m really appreciative of Washington State Ferries and the great job they do for us. They’re a great partner and I appreciate what they do for the city of Anacortes,” he said.
The chamber is organizing a kickoff for this season’s inaugural run on the Chelan on Sunday, April 1.
Under a 40-year lease between the Town of Sidney and BC Ferries announced in February, there are several provisions for WSF, including a docking agreement based on the 2006 schedule with accommodation for long-term future use.
BC Ferries does not have any immediate plans to operate any of its 36 ships out of the Sidney terminal, but may do so in the future.
The Town of Sidney has made it clear WSF will remain a priority user of the terminal. But there are outstanding union and operating issues that WSF and BC Ferries need to work out before BC Ferries takes over management of the terminal.
Brewer-Rogstad said WSF hopes to work out an acceptable arrangement with BC Ferries, but there will be some difficult conversations.
The Sidney terminal is currently operated by a WSF selected contract agent, Flair Hospitality. A company employee is responsible for ticket sales, reservation confirmation, traffic management, coordination with local entities and customs and immigration.
Brewer-Rogstad said BC Ferries has expressed a desire to cancel the contract and use BC Ferries to provide the services or allow BC Ferries to contract out the services.
“It is not desirable to have BC Ferries manage WSF customers, sales, money handling or traffic management as it could lead to confusion with WSF customers and difficulty in oversight. It would also unnecessarily increase costs,” she said. “WSF desires to always select its own contractor and to have direct oversight and management over any contracts rather than any third-party arrangement.”
Flair Hospitality has a separate contract to run concessions at the terminal, including a money exchange, a gift shop and a deli. WSF receives a percentage of sales, which has been between $25,000 and $75,000 annually. Brewer-Rogstad said BC Ferries has discussed taking over all concession rights.
Flair Hospitality also coordinates and manages the scheduling, arrival and departure of other users into the terminal.
State ferry officials still plan to discuss the long-term future of the Sidney run.
Brewer-Rogstad said considering the financial difficulties and the decline in ridership on the Sidney route, coupled with the expected increase in operating costs, it would be irresponsible not to analyze the impact of this route on the entire ferry system.
“It deserves some careful study and discussion,” she said.
Maxwell said there is a lot of commitment to keep the run going, from the Town of Sidney to the citizens.
“I hope this run is here as long as I live. It’s good for our town, good for our economy and it’s fun,” Maxwell said.

© 2005 Skagit Valley Publishing. All rights reserved.

[Northern Exploration]

Sounds like someone from the state told WSF they had an obligation to the run and to lower the bluster. Anacortes probably gave someone from the legislature an earful when they saw the potential for local traffic reduced. Sounds like some hurtles to overcome still though. Airlines that don't overlap routes often go into alliances together and sell tickets onto each others systems. It is called code share. Can be only for a specific route or system wide in the case of closer alliances. WSF certainly has a right to pick how they operate their business etc. but their objections don't mesh with marketing realities. If these two groups actually cooperated you could eventually see a circle pass which could even boost traffic. Each would still be responsible for their own vessels, service etc etc but from a marketing perspective it is much cleaner. I can't see Sydney releasing control to BC Ferries if they thought they were going to play hardball and jack up prices to put the WSF run in jeopardy.

I am still wondering about Blackball though. With the change in ownership etc. and new regulations will they still be able to maintain the run. If WSF and BCFC cooperated it would probably be another factor making the Coho harder to justify. Not to mention if a new vessel is needed to meet the new regulations. No one has commented on how the new safety regs impact the Coho. The land that the Coho uses in Victoria harbour must be worth a fortune.

[Neil]

pnwtraveler: I agree with your airline analogy, and with your points on co-operation. After all, BC Ferries has to fend off competition from WSF for Vancouver Island traffic about as much as the Vancouver Canucks have to fend off the Surrey Eagles poaching their fan base.
It's easy to imagine a scenario where the two work out their issues, and with a more entrepreneurial attitude, BC Ferries manages to attract more amenities to the Sidney terminal. With better marketing of the route, and, as you suggest, co-operative marketing, ridership on the international route is increased. The corresponding drop in traffic at other BC Ferries terminals would be so small as to be barely measurable, given the difference in scale of operations. Everyone could win here, once the posturing ends and common sense sets in.

I can't see this situation having much effect on Black Ball. Different markets- Anacortes and the Olympic Peninsula. Has anyone ever heard Black Ball say how long they're planning on running the Coho, or if they have any resources to replace her when the time comes?

[Northern Exploration]

However unfortunately common sense doesn't usually prevail in monopolies, government or semi-government organizations. You hit the nail on the head Hornby which I was thinking about but couldn't find the word. Entrepeneurial. Well we will see what happens. Will be interesting. Kinda like the soaps of the ferry world. As the Propeller Turns. Haha.

[D'Elete BC in NJ]

I would agree that a cooperative effort between BCFS and WSF would not negatively impact Black Ball's operation. I would actually suggest that Black Ball is more likely to benefit from such cooperation. If we were to see WSF and BCFS set up US-Canadian circle routes, and they proved successful, then I suspect one or the other would get the bright idea to approach Black Ball about a similar arrangement. Of course, this is a BIG if.

I would think the capital costs of having to either upgrade the Coho to meet new safety standards, or replacing the ship entirely will be a much larger factor in determining the future of the service. Pure speculation, though, as I, too, have no idea what Black Ball plans for the future of the run.

[Barnacle]

cascade said:

It looks like most of the PR effort is coming from the America side - as per the Saanich / Sidney arm of the route.

Of course it is... we have the bigger mouths, just ask around. ;D