LANSING — The Michigan Legislature may get involved in a dispute between Mackinac Island and the private entity that owns their main ferry services.
Local leaders say that the cost of transportation may price some families out of visiting Mackinac Island, potentially hurting the island’s economy and community.
“Since 1899, Mackinac Island has had the ability to regulate the ferries and regulate the prices that ferries charge, and it’s just always been that way, because it’s such a critical service,” said Sen. John Damoose, (R) District 37, Harbor Springs.
Hoffmann Marine, a Florida-based private equity company, purchased Shepler’s Ferry in 2022.
After that, they bought the Arnold Transit Company in 2024, previously known as Star Line and the Mackinac Island Ferry Company.
Right now, roundtrip for an adult costs $38 from Shepler’s, up from $36 last summer. There is also a slower Arnold ferry that costs $23 for adults.
Damoose says that these costs, plus parking and related expenses, could lead to some visitors changing their travel plans.
“After a certain point, families just aren’t going to spend the money anymore,” he said. “They’ll go do something different, and that will be devastating to the island.”
Mackinac Island’s charter allows the city council to regulate the price of ferry transportation directly, but not potential charges for baggage, expedited admission or service fees.
Damoose’s proposal — SB 304 —would allow the city council to control these costs.
“We need to spell it out a little bit more, and that’s all my bill does, is it clarifies what that very fee actually means, which people understood just fine for 125 years,” he said.
The Mackinac Island City Council turned down a request from the companies to raise rates by another $2 this past off-season, triggering a lawsuit from the operators and questions about the council’s authority over other costs.
Chris Shepler, president of Shepler’s Ferry, says the increase would help the operator keep up with increased fuel costs and make needed repairs.
“Running fast ferries — safe, efficient, on time ferries. It’s not a cheap — it’s not a cheap game,” he said.
Shepler says Damoose’s proposal could lead to the service cutting some amenities, like mainland shuttle offerings.
A spokesperson for the Hoffmann Family of Companies said in a statement that the increased revenue would go toward repairs, fuel costs and employment.
They also say that ridership levels for this year are so far consistent with previous years.
Even if passed into law, the proposal would not directly change the island’s policy — instead, it would put the question before Mackinac Island voters, who would decide whether to give the city council increased authority.
“Even if you’re not as worried as I am about the ferry cost and all these type of things, at least do this from the standpoint of local control, because every other city in the state of Michigan could do this without even coming to Lansing,” Damoose said.
That Mackinac Island election couldn’t take place for at least two months, meaning that even if the bill is rapidly passed into law, the current pricing structure will likely remain through the summer.