A legislative report produced by Washington State Ferries indicates funding for a new terminal in Mukilteo is $38.7 million short of the needed $140 million, despite earlier voter approval.

After years of debate, vested parties agreed on a new terminal at old Air Force Tank Beds right next to the existing facility. The preferred alternative is the most expensive of several found by the state.

As agreements with federal and state agencies were worked out, money originally slated for the Mukilteo project was shifted towards ferry repairs, according to city Mayor Joe Marine.

It s frustrating, but it s not surprising, Mayor Marine said of the funding shortfall.

Mukilteo s terminal is among the busiest in the state, with an anticipated 73 percent increase in usage by 2030. The property has not had a significant upgrade in 30 years.

Washington State Ferries said Friday it would seek federal funding once a Record of Decision on the terminal plans is approved, likely in early Spring. In a statement, the agency said it will continue to pursue funding to see this essential project through construction.

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