The prospect of a Hatteras ferry toll looms
Editor’s note: Background information about the ferry tolling process is at the end of this story.
By Connie Leinbach
If the North Carolina Legislature is bent on enacting a toll on the Hatteras ferry, then Ocracoke wants a say in the matter.
That was the message from the Ocracoke Access Alliance at the Feb. 16 Ocracoke Civic & Business Association meeting.
Members of the alliance, a nonprofit group organized last year to specifically advocate for adequate N.C. Ferry Division funding and addressing NC 12 on Ocracoke, reported on their trip to Raleigh in January to talk to legislators.
The prospect of a toll on the Hatteras ferry, which is free and is the most used in the system, has been dormant since 2016 when the legislature’s spending plan excluded a toll on the Hatteras ferry.
But last spring during budget talks, the N.C. Senate’s budget proposed doubling the rates on the Ocracoke long-route ferries and the passenger ferry and adding tolls to the Hatteras-Ocracoke, Currituck-Knotts Island, and two other routes.
The state House’s budget did not include new or increased tolls.
But the legislators adjourned in October without amending the 2025-2027 biennial budget and state spending continues at the previous budget levels.
When they return after the March 3 primary, legislators will resume budget talks, and Ocracoke wants to be ready.
“Our argument is that the ferries are part of the state highway system,” said Justin LeBlanc, alliance executive director.
According to state law, ferry tolls can be used only for ferry replacements, not for operations.
Right now, the Ferry Division operates on a $70 million budget, 70 % of which pays for personnel and fuel.
The Ferry Division wants that raised to $85.6 million.
Then there’s the $69 million in backlogged maintenance of the ferries, where only a fraction of these costs are in the proposed budget, but maintenance can be spread out over the years, LeBlanc said.
“That deferred maintenance is a safety issue,” he said. “We’re already seeing breakdowns.”
A ferry replacement study the Ferry Division conducted in 2024 said that to replace its 26 vessels every three years would take 37 years at a cost of $25 to $45 million per vessel in today’s dollars. The Ferry Division has 26 vessels: 23 are ferries and three are support vessels.
LeBlanc said the Ferry Division currently collects about $2 million from tolls and it would need to collect about $8 million annually to add to the replacement funds.
“How are we going to close this gap?” he said. “The OAA is working on a plan.”
Complicating the issue is the N.C. law that says if there’s a tolled road, there must be an alternative free route.
On Ocracoke, that’s the Hatteras route since the Pamlico Sound routes already are tolled.
LeBlanc said that from their January trip, they learned that the legislators are giving Ocracoke an opportunity to present something.
“Our fight against tolling the Hatteras ferry has run out,” noted Amy Howard at the meeting. She went to Raleigh with LeBlanc along with Bob Chestnut and Garick Kalna. “They are going to toll us.”
So, Ocracoke needs a voice in the plan.
“We need a plan to keep the ferries sustainable,” Howard said. “We’ve got to give something, too. If we have to toll the Hatteras ferry then we want something in return. We want the ferry system fully funded and with maintenance. We want better ferries.”
She and other members of the alliance are working through the math as to the toll prices and how they could be modified for residents and vendors.
Overwash
Along with the problem of funding ferries are the ongoing issues of the overwash area of NC12 and South Dock.
The NCDOT is preparing to replace the sandbags already in the 1.8-mile stretch at the north end. These will precede the installation of bigger, stronger sandbags on Ocracoke and elsewhere on Hatteras Island, but these larger bags need approval from the Coastal Resources Commission.
Sandbags are a temporary solution while longer-term solutions are explored and decided on, Hyde County Manager Kris Noble has said several times.
Moving the road in this area could help, LeBlanc said.
If the road could just be shifted 30 feet towards the sound that would cost only a few million dollars, he said.
Beach nourishment also is a tactic to help this area and because there is no oceanfront development, beach nourishment could last longer on Ocracoke than up the beach.
“CPE, the Hyde County engineer estimated a cost of $25 million for beach nourishment at this area,” LeBlanc said, “and it could last 15 years or more.”
The group also is talking to legislators about protecting South Dock (where the Hatteras ferry lands) from further erosion.
A bulkhead installed there a few years ago was not extended further toward the ocean where it could possibly stop further erosion because North Carolina prohibits the use of hardened structures on the ocean side.
There have been a couple of exceptions to that law, notably the rock jetties at the Oregon Inlet, but lawmakers may be amenable to amending this law, LeBlanc said.
“Rep. Keith Kidwell (who represents Ocracoke) is interested in introducing a law to allow hardened structures,” he said.
After a long wait, Sloop Channel in the Hatteras Inlet will be widened from 100 feet to 200 feet. This is the area called “the horseshoe,” which skirts a heavily shoaled area.
After this area is widened, it should cut off about 10 minutes to the ferry ride.
In addition to these fixes, LeBlanc said there are some incredible innovations happening in the marine world that could benefit our ferry system, such as battery and hydrogen fuel-cell technology.
The OAA may have a plan to discuss at the March 17 OCBA meeting. If not, it will continue the converstation.
