Although the initial attempts to dismantle or tow the stern to sea failed, the State of Oregon still intended to see the remainder of the vessel removed from the beach.
In 2006, the state's lawsuit against the ship's owners was settled, clearing the legal obstacles that prevented removal and providing the funds necessary to finance the project.
Removal plans were complicated by the fact that the stern had become deeply embedded in the sand in the seven years since the wreck, with some portions of the stern estimated to be 20 to 30 feet (6 to 9 m) below the sand line.

A project to remove the stern by dismantling it on the beach was started in June 2008, after Oregon legislative approval.
The dismantling, expected to cost US$18 million, was approved by the State Legislative Emergency Board in September 2006.
The move was originally scheduled for 2007, but delays in the negotiations pushed the project back a year.
Due to weather and surf conditions, the project had to be undertaken during the spring and summer months.
Titan Maritime Company, a subsidiary of Crowley Maritime Corporation, signed a US$16.4 million contract with the Oregon Department of State Lands.
Titan Maritime used large jackup barges, Karlissa A and Karlissa B, for the New Carissa dismantling project.
 Once the barges were in place, a cable car system was installed to allow the crews and their equipment access to the barges from the beach.
The barges allowed the crews to access the wreck from 40 feet (12 m) above the surf.
The crews cut New Carissa into removable pieces and then lifted them to the barges with cranes.
The cutting portion of Titan's plan was largely completed by 31 July 2008, and the company then focused on pulling the stern from the sand, a process that was measured in inches.
The project's managing director expressed confidence that the removal deadline of 1 October 2008 would be met.
By September 2008, Titan had successfully removed the majority of the wreck; no part of the ship was visible from above the water, and only a few relatively small pieces remained submerged.
Karlissa A and Karlissa B were relocated on 12 October 2008, and Titan's shore operations were completely removed by November 2008.
Although the initial attempts to dismantle or tow the stern to sea failed, the State of Oregon still intended to see the remainder of the vessel removed from the beach. In 2006, the state's lawsuit against the ship's owners was settled, clearing the legal obstacles that prevented removal and providing the funds necessary to finance the project. Removal plans were complicated by the fact that the stern had become deeply embedded in the sand in the seven years since the wreck, with some portions of the stern estimated to be 20 to 30 feet (6 to 9 m) below the sand line.
A project to remove the stern by dismantling it on the beach was started in June 2008, after Oregon legislative approval. The dismantling, expected to cost US$18 million, was approved by the State Legislative Emergency Board in September 2006. The move was originally scheduled for 2007, but delays in the negotiations pushed the project back a year. Due to weather and surf conditions, the project had to be undertaken during the spring and summer months. Titan Maritime Company, a subsidiary of Crowley Maritime Corporation, signed a US$16.4 million contract with the Oregon Department of State Lands. Titan Maritime used large jackup barges, Karlissa A and Karlissa B, for the New Carissa dismantling project.  Once the barges were in place, a cable car system was installed to allow the crews and their equipment access to the barges from the beach. The barges allowed the crews to access the wreck from 40 feet (12 m) above the surf. The crews cut New Carissa into removable pieces and then lifted them to the barges with cranes. The cutting portion of Titan's plan was largely completed by 31 July 2008, and the company then focused on pulling the stern from the sand, a process that was measured in inches. The project's managing director expressed confidence that the removal deadline of 1 October 2008 would be met. By September 2008, Titan had successfully removed the majority of the wreck; no part of the ship was visible from above the water, and only a few relatively small pieces remained submerged. Karlissa A and Karlissa B were relocated on 12 October 2008, and Titan's shore operations were completely removed by November 2008.
New Carissa