By: The Associated Press
Anchorage has been awarded a $25 million grant to assist with upgrades to the Port of Alaska, officials said.
The U.S. Department of Transportation grant will help fund construction of a new $214 million petroleum and cement terminal that is part of a $2 billion modernization project.
An estimated 85% of Alaska’s homes and businesses rely on cargo from the port, which has fallen into disrepair over the years.
State and other federal funds are expected to cover $134 million of the terminal’s cost, leaving an $80 million gap, according to Mayor Ethan Berkowitz’s office.
The federal grant will help offset the deficit, while the remaining $55 million can be generated from port tariffs, Municipal Manager Bill Falsey said. The grant will allow the terminal project to start in the summer with completion projected for 2021, he said.