Two ferry vessels are already being refurbished in Tarpon Springs, and a $16.5 million federal grant announced Monday, Aug. 17, will build a third. Together, they form the backbone of a Tampa Bay ferry network that Pinellas Suncoast Transit Authority officials say could eventually reach Clearwater.

U.S. Transportation Secretary Sean Duffy made the announcement at Port Tampa Bay, calling the project "a huge win for commuters and local tourism alike," according to WFLA. The grant will fund construction of a new 249-passenger vessel to connect downtown St. Petersburg and downtown Tampa.

The local work is already underway. PSTA's Bay Breeze arrived at Tarpon Marine Service for refurbishment into passenger-ready condition. A second vessel, the Bay Clipper, is expected in Pinellas County in the coming weeks for work at the same facility. Both boats are separate from the new ferry the grant will build.

PSTA CEO Brad Miller called the Bay Breeze arrival "a major milestone" that brings the agency one step closer to launching long-term ferry service across the bay.

The service replaces the old Cross Bay Ferry, which Hillsborough County commissioners voted to end in April 2025 after the operator, Boston-based HMS Ferries, proposed swapping in a smaller, slower vessel. Commissioner Harry Cohen called that proposal "unacceptable."

This time, PSTA owns the boats. Madeira Beach-based Hubbard's Marina won the operating contract in late 2025 at $276.50 per ferry hour, roughly half the $615 HMS Ferries charged. PSTA estimates the new service will run about 5,482 hours annually, more than double the old ferry's schedule, and year-round rather than seasonal.

Initial departures will run between the Tampa Convention Center and North Straub Park in downtown St. Petersburg, according to St. Pete Rising. But PSTA has signaled broader ambitions. Darden Rice, PSTA's chief planning and community affairs officer, said in August 2025 that the service could eventually connect to Clearwater, Manatee County and other coastal communities, according to the St. Pete Catalyst.

Tara Hubbard, director of business development for Hubbard's Marina, echoed that vision when the company was selected as operator. "Our dream is to create a fully integrated ferry network that would not only connect downtown St. Pete and Tampa, but establish linkage between Apollo Beach, MacDill Air Force Base, Gulfport, Bradenton, and connect to other ferry systems like the Clearwater Ferry," Hubbard said in late 2025.

Under federal law, the new 249-passenger vessel must be built in a U.S. shipyard. Port Tampa Bay CEO Paul Anderson said the requirement means the grant also supports American shipyard jobs.

No launch date has been announced for either the refurbished vessels or the new ferry. The Hubbard's Marina contract is in place, but PSTA has not set a public timeline for the first departure.