Mackinac Island could regulate ferry operations that carry people to and from the popular tourist destination under a bill signed Wednesday by Governor Gretchen Whitmer.
The new law would allow the island to assume more authority over fares, baggage handling fees and parking rates on ferry routes.
“Mackinac Island is Michigan’s gem, and ferry service to get there should be accessible and affordable,” Whitmer said in a statement. “Tariffs and the war overseas are already making things more expensive for Michiganders. They shouldn’t have to face additional costs just to enjoy one of our state’s most beautiful places. Let’s keep working together to lower costs for Michiganders and keep Mackinac Island accessible to both its residents and the 1.2 million people who visit it every year.”
The law is a response to Florida-based Hoffman Marine assuming control over the two remaining Mackinac ferry operations, Shepler’s Mackinac Island Ferry and Arnold Transit Company. Tourism organizations and local businesses say the de-facto monopoly has allowed the company to jack up fees and surcharges on customers. The city has filed a federal lawsuit.
“We don’t disparage the company for earning a profit. It’s a for-profit business,” said John Sellek, spokesperson for the Fair Access to Mackinac Island Coalition. “But under a monopoly setup, the city of Mackinac Island has the powers and shouldn’t have to fight in court about being able to protect consumers.”
He said the two ferry services are operated by one company, so they should be treated as a regulated monopoly.
Hoffman Marine did not reply to a request for comment in time for publication.
The next step would be for the city to put a charter amendment on the ballot for voter approval.
“I am confident that our community shares the values that drove this effort – fairness, accessibility, and the preservation of what makes this Island so special,” said Mackinac Island Mayor Margaret Dowd.
State Senator John Damoose (R-Harbor Springs), one of the bill sponsors, said it was always intended for the Mackinac Island ferries to be treated as a regulated public service.
“That was essential to being able to have private ferries because it’s a part of our state where 80% of the island is state land and so the only way you can make it work is if you wanted private ferries instead of a public ferry is that they had to have regulatory oversight,” he told Michigan Public Radio.
He also said Mackinac Island is also the only municipal government in Michigan that required state permission to update its charter.
