HB2476 HD1

SECTION 1. The department of land and natural resources (department), division of boating and ocean recreation (division), is responsible for ocean recreation management in state ocean waters, among other responsibilities. Public safety and marine natural resources can be affected by a variety of environmental factors and emerging ocean recreation technologies, some of which may change rapidly and frequently. This Act is part of a comprehensive ocean recreation management package put forth by the department to ensure effective natural resource protection by providing better management and enforcement tools.

Under the existing ocean recreation management areas system, the division has the authority to designate areas around each island as an ocean recreation management area, which then allows it to designate zones and subzones within each area in which specific ocean recreation activities can occur in order to increase user safety and reduce user conflicts. However, the current ocean recreation management areas system is a patchwork of designated and non-designated areas around each island, preventing user safety measures around some portions of each island. Furthermore, many residents have complained about the over-commercialization of state ocean waters and their resulting inability to enjoy the state ocean waters due to overcrowding and commercial operators taking over ocean access points, especially through the shoreline.

Therefore, the purpose of this Act is to revise the law regarding ocean recreation management areas to provide better management tools to the division by:

(1) Creating a uniform designation of ocean recreation management areas;

(2) Prohibiting commercial activity in ocean recreation management areas, except by use permit; and

(3) Prohibiting commercial activities originating from the shoreline in ocean recreation management areas statewide on weekends, state holidays, and federal holidays, except for certain specified commercial activities.

SECTION 2. Section 200-24, Hawaii Revised Statutes, is amended to read as follows:

"§200-24 Rules. The department shall adopt rules pursuant to chapter 91 to implement the policy and purpose of this part, and to classify vessels into appropriate categories and classes.

The department shall adopt rules pursuant to chapter 91 with respect to the following:

(1) The registration and numbering of vessels;

(2) The operation, use, and equipment of vessels on or in the waters of the State;

(3) The conduct of persons involved in boating accidents and in the reporting of accidents and other casualties and losses to the department;

(4) The designation of areas of the waters of the State and time periods during which thrill craft may be operated, and waters on or above which, and time periods during which, persons may engage in parasailing, commercial high speed boating, and water sledding; provided that in designating the areas, the department shall use the official recommendation of the National Marine Fisheries Service with regard to the protection of protected marine life and habitats in adopting rules to implement this section, except as otherwise provided by law; and

(5) Procedures for a law enforcement officer to issue subpoenas or take custody of property pursuant to section [~~200-39(g)~~.] 200-39(f)."

SECTION 3. Section 200-37, Hawaii Revised Statutes, is amended to read as follows:

"§200-37 Operation of thrill craft; parasailing; water sledding; commercial high speed boating. (a) No person shall operate a thrill craft unless the person is fifteen years of age or older.

(b) The department shall adopt rules to designate areas where, and time periods during which, thrill craft may be operated and parasailing, water sledding, and commercial high speed boating may be engaged in.

(1) In areas and during time periods designated by the department;

(2) Through areas designated by the department to serve as avenues for the ingress and egress of thrill craft between the areas designated under paragraph (1) and the shore;

(3) Authorized government personnel conducting operations approved by the department;

(4) Authorized film production permit holders conducting operations approved by the department; or

(5) When used to conduct ocean cleanup, as authorized by rules adopted by the department.

To the extent that the authorization to operate thrill craft pursuant to this subsection is inconsistent with any other law, including section 200-38, this subsection shall control.

(d) No person shall:

(1) Engage in parasailing; or

(2) Operate a motorized vessel towing a person engaged in parasailing;

on or above the waters of the State, except on or above areas and during time periods designated by the department.

(e) No person shall:

(1) Engage in water sledding; or

(2) Operate a motorized vessel towing a person engaged in water sledding;

in the waters of the State, except in areas and during time periods designated by the department.

(f) No person shall engage in commercial high speed boating [~~or operate an open power boat capable of exceeding forty miles per hour for commercial high speed boating purposes~~] in the waters of the State, except:

(1) In areas, along routes, and during time periods designated by the department; and

(2) In accordance with a permit issued by the department.

[(g) During all weekends and state and federal holidays, no commercial operator shall operate a thrill craft, or engage in parasailing, water sledding, or commercial high speed boating, or operate a motor vessel towing a person engaged in water sledding or parasailing in Maunalua Bay on Oahu as provided for in section 200-38.

~~(h) On Sundays, all commercial ocean recreation activities, including those listed in this section, shall be prohibited on Oahu in Maunalua Bay as provided for in section 200-38.~~

~~(i)~~] (g) Between December 15 and May 15 of each year, no person shall operate a thrill craft, or engage in parasailing, water sledding, or commercial high speed boating, [or] operate a motor vessel towing a person engaged in water sledding or parasailing, or operate any commercial motorized water sports equipment on the west and south shore of Maui [~~as provided in section 200-38.~~] from Puʻu Olaʻi beach to Hawea point.

[~~(j)~~] (h) All commercial use and operator permits issued by the department for commercial thrill craft, and parasailing activities shall be fully transferable upon the payment of a business transfer fee in an amount determined by the department, which shall be no greater than six per cent of the transfer price; provided that no more than one transfer every two years shall be authorized with respect to any given permit, except transfers between family members for the purpose of business reorganization.

[~~(k)~~] (i) The department may immediately revoke a commercial use permit without a hearing for any activity that endangers or may endanger the health or safety of passengers or the public, and may suspend or revoke a commercial use permit for violation of any rules of the department if, after seventy-two hours notice by the department of the violation, the permit holder fails to cure the violation; provided that the permit holder shall have ten days from receipt of the notice of suspension or revocation to request in writing an administrative hearing. The administrative hearing is solely for the purpose of allowing the permit holder to contest the basis for the suspension or revocation of the permit. The hearing shall be held within five working days of the department's receipt of the written request. The chairperson shall adopt rules pursuant to chapter 91 to implement the procedures governing the administrative hearing process. Within ten days after the conclusion of the hearing, the department shall [~~either~~]:

(1) Lift the suspension;

(2) Suspend the permit for a period of not longer than one year; or

(3) Revoke the permit.

[~~(l)~~] (j) All new commercial use and operator permits issued by the department for commercial thrill craft and parasailing activities after June 18, 1996, shall be issued at public auction.

[~~(m)~~] (k) Each commercial use and operator permit issued by the department for commercial thrill craft and parasailing activities shall be valid for one year from the date of issuance and shall be renewed by the department for additional one-year periods; provided that the permit holder meets the following conditions:

(1) The permit holder shall be in compliance with all applicable rules of the department;

(2) The permit holder shall have timely filed and paid all applicable state taxes during the year; and

(3) The permit holder shall have a good safety record regarding the operation of a commercial thrill craft, or parasailing activity.

[~~(n)~~] (l) All commercial use and operator permits issued by the department for commercial thrill craft, and parasailing activities shall be subject to an annual review by the department, which shall include but not be limited to:

(1) The permit holder's compliance with applicable rules of the department;

(2) The permit holder's timely filing and payment of all applicable state taxes during the year; and

(3) The permit holder's safety record regarding the operation of a commercial thrill craft, or parasailing activity.

[~~(o)~~] (m) The department shall adopt rules to encourage water safety education and programs with respect to thrill craft, or parasailing activities."

SECTION 4. Section 200-38, Hawaii Revised Statutes, is amended to read as follows:

"§200-38 Ocean recreation management areas. (a) All waters of the State within three thousand feet seaward of the base line of the territorial sea are designated as ocean recreation management areas. Within each ocean recreation management area, the department may designate zones where specific recreational and commercial ocean activities may occur.

(b) Unless otherwise provided by this chapter or rules adopted by the department, no commercial activity, except for commercial activity originating from a commercial harbor under the jurisdiction of the department of transportation, may be conducted in an ocean recreation management area without a use permit from the department.

Any person who holds a valid commercial use permit on July 1, 2024, may continue to renew the commercial use permit; provided that the department may terminate a commercial use permit for cause or may deny renewal or reissuance if:

(1) The commercial use permit has been terminated or nonrenewed for cause; or

(2) The commercial use permit is not renewed before its expiration date, including any applicable extensions of the expiration date.

[~~(a)~~] (c) Notwithstanding any other law to the contrary, no person shall engage in any type of commercial [operator shall operate a thrill craft, engage in parasailing, water sledding, or commercial high speed boating, operate a motorized vessel towing a person engaged in parasailing, or operate a motor vessel towing a person engaged in water sledding] activity originating from the shoreline in any ocean recreation management area during all weekends and state and federal holidays [~~on Oahu in Maunalua Bay from Kawaihoa (Portlock) Point to Wailupe Peninsula and commercial zones a, b, and c.~~

~~(b) Notwithstanding any other law to the contrary, all commercial ocean recreation activities shall be prohibited on all Sundays on Oahu in Maunalua Bay.~~

(c) Notwithstanding any other law to the contrary, no person shall operate a thrill craft, engage in parasailing, operate a motorized vessel towing a person engaged in parasailing, engage in commercial water sledding or commercial high speed boating, or operate a commercial motor vessel towing a person engaged in water sledding between December 15 and May 15 of each year in the waters of west and south Maui from Puʻu Olaʻi to Hawea Point.], except for commercial activity that:

(1) Originates from a commercial harbor under the jurisdiction of the department of transportation;

(2) Originates from a state small boat harbor, boat launch ramp, or private facility;

(3) Originates from Waikiki beach or Kaanapali beach; or

(4) Is approved by the board.

(d) The department may adopt rules pursuant to chapter 91 to further implement this section."

SECTION 5. Section 200-39, Hawaii Revised Statutes, is amended to read as follows:

"§200-39 Kaneohe Bay commercial ocean use activities; permits; restrictions. (a) Any other provision of this chapter to the contrary notwithstanding, no person shall operate thrill craft, parasailing, water sledding, or commercial high speed boating unless the person meets the requirements of section 200-37 and all rules adopted by the department that regulate or restrict these activities.

(b) No person shall conduct any commercial ocean use activity within Kaneohe Bay waters without a use permit issued by the department.

(c) No person shall advertise or otherwise offer any commercial ocean use activity or equipment for such activity within Kaneohe Bay waters for which the person does not have a use permit from the department. Advertisement in print; by word of mouth; or online in any form, including through social media, of unpermitted commercial ocean use activities or commercial ocean recreational equipment shall be prima facie evidence that:

(1) The owner of the advertised commercial ocean use activity or commercial ocean recreational equipment disseminated or directed the dissemination of the advertisement in that form and manner; and

(2) The commercial ocean use activity or commercial ocean recreational equipment is being operated at the location advertised.

The burden of proof shall be on a person charged with a violation of this section to establish that the equipment is not being used for unpermitted commercial ocean use activity or that the person's conduct is pursuant to a use permit, lease, or license issued by the department.

(d) Permits issued by the department for commercial ocean use activities in Kaneohe Bay shall be limited to the number and locations, by permit type and vessel and passenger capacity, provided in the Kaneohe Bay master plan developed pursuant to Act 208, Session Laws of Hawaii 1990, until applicable rules consistent with the master plan are adopted by the department; provided that the passenger capacity for snorkeling tours and glassbottom boat tours shall be set through rules adopted pursuant to chapter 91. No thrill craft permit may be transferred after June 21, 1998; provided that transfers of permits may be made at any time between family members.

[~~(e)~~ ~~On Sundays and federal holidays, all commercial ocean use activities shall be prohibited.~~

~~(f)~~] (e) All rules adopted by the department with regard to Kaneohe Bay shall be drafted in consultation with the Kaneohe Bay regional council. For those provisions of the Kaneohe Bay master plan previously adopted by the legislature, the rules adopted by the department shall be in accordance with those provisions. Notwithstanding subsection (d) to the contrary, if the department determines for safety or environmental protection reasons that a permitted use should be relocated, the department may relocate the permitted use and the department shall have discretion to permit vessel substitution with a similar length vessel; provided that the increase is no greater than ten per cent of the current vessel length.

For those provisions of the Kaneohe Bay master plan developed pursuant to Act 208, Session Laws of Hawaii 1990, not previously adopted by the legislature, the master plan shall be used as the recommended guideline in the adoption and implementation of rules with regard to the regulation of all activities in Kaneohe Bay.

[~~(g)~~] (f) Citations for violations of this section or any rules of the department adopted pursuant to this section may be issued by any law enforcement officer. In enforcing this section, any law enforcement officer shall have the power to issue subpoenas and take legal custody of any personal property that is the subject of or related to any violation of this section or rules established by the department pursuant to this section.

[~~(h)~~] (g) Property confiscated pursuant to this section may be released only upon approval by the board or a court of competent jurisdiction. Storage of confiscated property shall be at the sole risk and expense to the owner. The department may charge reasonable storage fees to the owner for storage of any property confiscated pursuant to this section.

[~~(i)~~] (h) Any property confiscated pursuant to this section that remains unclaimed for more than ten working days after it has been released pursuant to subsection [~~(h)~~] (g) may be sold at public auction. If the department does not, or is unable to, sell the property at public auction, the department, after giving public notice of intended disposition, if that notice was not previously included in a public auction notice, may sell the property by negotiation, retain and use the property, donate the property to any other government agency, or dispose of the property as junk.

[~~(j)~~] (i) Any penalties established in rule pursuant to this section shall be separate and in addition to any other fees, charges, and fines imposed by the department.

[~~(k)~~] (j) As used in this section:

"Commercial ocean recreational equipment" means thrill craft; watercraft for high-speed boating, parasailing, water sledding, sailing, snorkeling, diving tours, fishing tours, or glassbottom boat tours; kayaks; canoes; any manner of surfboards, sailboards, paddleboards, or related watercraft; or watercraft for any other similar commercial ocean activity.

"Commercial ocean use activity" means and includes:

(1) Any commercial operation of commercial ocean recreational equipment, or any other similar commercial ocean activity;

(2) Providing any commercial ocean recreational equipment for rent or hire; or

(3) Delivering for hire or pre-positioning within one thousand feet of any shoreline of Kaneohe Bay for hire, any commercial ocean recreational equipment.

"Commercial ocean use activity" shall not include commercial fishing, commercial ocean activity authorized by a use permit issued by the department, or activity authorized by an existing lease or license issued by the department."

SECTION 6. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 7. This Act shall take effect on July 1, 3000.

HOUSE OF REPRESENTATIVES	H.B. NO.	2476
THIRTY-SECOND LEGISLATURE, 2024		H.D. 1
STATE OF HAWAII