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Alaska Ferry System Faces $78M Budget Hole After Trump Administration Delays Federal Grant

The Alaska Marine Highway System faces a $78 million budget gap due to a delayed federal grant, risking ferry service cuts that affect rural and island communities.

The state planned on covering nearly half of this year’s marine highway operating costs from a federal grant that never materialized.

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Anchorage Daily News broke the news in Anchorage, United States on Tuesday, February 3, 2026.
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