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Operators urge deferral of bill to raise small‑boat harbor fees, citing thin margins and lack of specifics

Senate Committee on Water, Land, Culture, and the Arts · March 24, 2026

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Summary

Local charter and tourism operators and industry groups told the Senate committee that HB 649’s proposed gross‑receipts fee increases would hit thin‑margin businesses and lack safeguards ensuring fee revenue would fund needed harbor improvements; the committee deferred the measure for further work.

Chair Lee opened testimony on HB 649, a measure that would create a small‑boat harbor commercial vessel special fund and raise gross‑receipts fees to finance harbor improvements. DLNR stood on written testimony and urged consideration of broader policy changes to cover all ocean operators, the department said.

Denver, testifying for the Ocean Tourism Coalition, said the industry opposes the bill and warned that raising fees without addressing procurement and staffing will not deliver improvements. "We'll still run into the same issue — we'll be paying more, but still not seeing those improvements," Denver said.

Antoinette Davis of the Activities and Attractions Association said she supports dedicating money to reinvestment but asked the committee to defer because the bill lacks specific fee amounts and does not say what percentage of the fee would go to the proposed special fund. "These are businesses that can't change their prices very easily," Davis said, adding that many operators already struggle amid economic pressures and harbor unavailability.

Zach LaPratt of Calypso Charters told the committee that written testimony from last year and the sector’s massive opposition should be considered. He noted existing special funds (boating, ocean stewardship) and urged the committee to heed prior opposition from Budget and Finance.

Local commercial diver Aaron Anderson, speaking in person, said the bill would impose a heavy burden on small businesses and employees: "It really impacts not just local businesses on a grander scheme, but it affects the employees on a down to dollar basis."

Committee members asked DLNR about a companion measure (HB 2477) that the department previously proposed to expand gross‑receipts coverage statewide to include shore‑based operators such as surf schools. DLNR voting administrator Megan Stantz confirmed HB 2477 passed the House last year but did not cross over to the Senate.

Outcome: The committee deferred HB 649 for decision making to a later session to allow time for clarification on fee amounts, allocation to the special fund, and related procurement and staffing questions.

What happens next: Lawmakers said they expect to work with DLNR and stakeholders to define fee levels, fund allocation percentages and possible alternatives that would tie revenue more directly to measurable harbor improvements.