Beach businesses face new permit fees

State officials Friday reminded commercial recreational operators that they have to comply with new permitting rules, which are intended to be a first step toward figuring out how many — and what kind of — commercial operations go on every day in Hawaii waters.

Since Sept. 25 the state Department of Land and Natural Resources has required commercial recreational operators across the islands — such as those that offer kayak tours, surf lessons and guided scuba dives — to pay for monthly permit fees.

The monthly cost would be the greater of either $200 per month or 3 percent of gross receipts. Companies operating out of private or county facilities will pay only $200 per month.

"We get a lot of complaints that these operators are over-running the breaks," said Ed Underwood, administrator for DLNR’s Division of Boating and Ocean Recreation.

Even commercial operators that currently pay slip rental fees to the state face the additional costs for registering each kayak, stand-up paddleboard or surf­board that they allow customers to use.

Anyone who provides a "guide or instructor" needs to register with DLNR for the new permits, Underwood said.

Companies that rent kayaks, surfboards or other equipment — but do not provide instructors or guides — would be exempt, he said.

On Oahu, Underwood said that the explosion of commercial recreational activities has pushed local families out of some of the most popular beaches and ocean spots from the North Shore to Kai­lua to Hawaii Kai.

DLNR has yet to cite an operator for not complying since the new rules went into effect five months ago. But a commercial scuba tour operation at Koloa Landing on Kauai was told to "cease and desist" around Christmas, said Joseph Borden, Kauai district manager for the Division of Boating and Ocean Recreation.

For now, DLNR wants all commercial operators to register before law enforcement agents start enforcing penalties that range from $50 to $1,000 per violation.

There is no specific date when DLNR’s enforcement agents will start cracking down, Underwood said.

In the meantime he hopes that legitimate and registered businesses let DLNR know of any "rogue operators."

"They’re all across the ocean waters," Underwood said. "We’re getting a lot of complaints."

Once applications for permits start rolling in, DLNR officials will look at the data to see how many — and what kind of — activities are going on in particular areas to see whether new rules are needed to control activities, Underwood said.

DLNR officials are trying to keep up with ever-changing trends in, on and under the water, such as water rocket packs that DLNR once had no rules for. DLNR has since gotten requests for new commercial recreational businesses that want to offer rides on "something that looks like a dolphin" to a small catamaran that lets customers peer undersea via a bubble.

"It never ends," Underwood said. "It’s something new all the time. It’s all year round, every year."

Carol Naish, owner of Naish Hawaii in Kai­lua, which rents windsurfing equipment, said DLNR’s effort will have little effect in controlling outlaw commercial recreational businesses in Kai­lua.

One of her competitors calls itself a nonprofit to get around the city’s ban on commercial activities at Kai­lua Beach Park.

Since the ban went into effect three years ago, Naish stopped providing lessons, which cost her 90 percent of the rental/lesson side of her business.

"Since we can no longer offer instructions, now we can only rent to the experienced windsurfers," she said. "The rest of the guys are thumbing their noses at any regulations. One guy is on the beach every day teaching kiteboarding, windsurfing and surfing. It’s just crazy. They don’t have enough manpower to police it. Just enforce the rules as they exist."

Bob Twogood, who owns Twogood Kayaks in Kai­lua, was unaware of DLNR’s new regulations and planned to register "right away" when contacted by the Hono­lulu Star-Advertiser on Friday.

Twogood has a permit to provide kayak tours to the Moku­lua islets and now needs to get DLNR permits to operate the tours themselves, which include guided tours to Flat Island offshore from Kai­lua Beach.

Twogood said his guides have standing orders to report commercial tour operators that don’t have permits for the Mokes — and Twogood said he will now tell them to also report companies that don’t have the required DLNR stickers on their kayaks, surfboards or stand-up paddleboards, as well.

"There are always going to be small operators and unethical operators who don’t want to conform to permitting rules," Twogood said. "But the big issue is going to be enforcement. To cite them you have to prove they’re getting paid. So it’s going to be difficult to enforce the rules."

Chuck Prentiss, chairman of the Kai­lua Neighborhood Board, has little hope that the new permit requirements will have much effect on commercial recreational operators at Kai­lua Beach Park.

"One company says it’s a nonprofit and has its customers sign a form saying they’re donating their money," Prentiss said. "Everyone’s finding a loophole."

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For more information, visit dlnr.hawaii.gov/dobor/com­mercial-use-permit-qa.