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Bay Ferries has continued to operate the year-round service since 1997, using Princess of Acadia until 2015 and then Fundy Rose.The vessels, along with the ferry terminals, are owned by the Government of Canada. Although the federal government owns the ferry terminals and vessels, the operation of this inter-provincial ferry service had been one of the few in Canada which was unsubsidized.The Nova Scotia government and Atlantic Canada Opportunities Agency offered a combined million to subsidize the service, with additional funding expected from New Brunswick.A number of subsequent government agreements since 2006 have provided operating subsidies to help keep the ferry in service.The current terminals in Saint John and Digby were constructed in 1969 by the federal government under an agreement with Canadian Pacific (CP) and the provinces of New Brunswick and Nova Scotia.

Bay Ferries operates the ferry service across the Bay of Fundy between Saint John, New Brunswick, and Digby, Nova Scotia, using the vessel MV Fundy Rose.

On June 30, 2006, Bay Ferries announced plans to discontinue the Princess of Acadia service effective October 31, 2006 citing a 25% decrease in passenger totals since 1998.

The announcement met with widespread opposition, with a group of local business owners, concerned citizens and ferry company employees organizing a "Save The Ferry" committee to help save the service.

This ferry route was initiated in 1955 by the Government of Canada at the insistence of tourism operators and fish exporters in southwestern Nova Scotia.

Throughout the 19th century and early 20th century, steamship service from Yarmouth to New York City, Boston and Portland, Maine, had been provided by various operators, lastly the Dominion Atlantic Railway, subsequently Canadian Pacific Railway.

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