ANCHORAGE, Alaska-At a fund raiser for Mayor Dan Sullivan held at Sheffield's Turnagain home on Wednesday, the former Alaska governor, 83 year-old Bill Sheffield announced that he was resigning from the position as Anchorage's Port director.

This announcement came as calls for his firing has increased as public scrutiny of the long delayed and ever increasing port project has taken focus. Mr. Sheffield has been at the head of the port of Anchorage since 2001. In 2005, the project, under Sheffield, was slated to cost $360 million. Now the estimated costs for the construction tops $1 billion.

In a written statement, Mr. Sheffield said, “The project has faced challenges but we have worked hard over the last two years to get the management and construction back on the correct course.

But, Mr. Sheffield’s ties to the project will not be severed by his resignation. Mayor Dan Sullivan has given Sheffield a $60,000 a year consulting contract as a city liaison to federal agencies working with the port project.

The city of Anchorage intends to solicit applications to fill the newly vacated position, but in the meantime, deputy director Steve Ribuffo will step into the top port spot.

Mayor Sullivan has recently asked the state legislature for $350 million to continue the project, the legislature responded by saying that the request would not pass with the present management team in place. Mayor Sullivan said that the decision by the legislature had no bearing on Sheffield’s decision to resign.