HALIFAX – The Nova Scotia government is spending another $5 million to support the restored ferry service between Yarmouth and Portland, Maine.
Economic Development Minister Michel Samson says the additional funding for Nova Star Cruises is intended to help cover outstanding costs from its sailing season.
READ MORE: Yarmouth ferry company boss says success will take time
The service has encountered problems in its inaugural season, which ended three weeks ahead of schedule due to a lack of passengers.
In July, the provincial government said that the entire $21 million that was committed over seven years for the ferry had been spent by the operator, two months into the season.
Samson says that funding agreement was unrealistic.
The previous NDP government promised last year to revive the service after killing it early in its mandate in 2009 by eliminating an annual subsidy.
That subsidy totalled $15.7 million over the last four years that the ferry service was in operation, which began in 1997.
Under a new interim agreement announced Tuesday, an adviser from KPMG with ferry experience will audit costs, look for savings and advise on a plan for future years.
Off-duty crew member dies
Nova Star Cruises confirmed an off-duty crew member aboard the ferry died on Monday.
Medically trained crews and nurses were unable to revive the crew member.
Officials say they are co-operating with the Office of the Chief Medical Examiner in Maine.
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