The Division of Boating and Ocean Recreation (DOBOR) is outlining the current status of Commercial Use Permits (CUPs) following recent legal proceedings. Currently, no new CUPs are being issued, adhering to a December court order in the case of Nā Papaʻi Wawae ʻUlaʻula, et al. v. DLNR. Permits in good standing can still be renewed, but permittees must maintain or reduce their current activity or passenger levels.
The ruling has been in place since December 4, 2024, and DOBOR is complying by not increasing passenger capacities, regardless of vessel size. The Department of Land and Natural Resources (DLNR) states, “The department’s stance on maintaining current activity and/or passenger capacity levels is to ensure that the department does not take any actions that can be construed as contrary to the court’s order.”
The case, initiated in 2017, led to the Second Circuit Court’s decision to halt issuance and renewal of CUPs for Kāʻanapali ocean waters in West Maui until an environmental review under Chapter 343 of the Hawaii Revised Statutes is completed, or it's determined that activities are exempt.
DLNR filed a motion to reconsider, arguing the decision could unfairly impact some commercial operators. The court has temporarily stayed its prohibition on renewing CUPs pending a reconsideration hearing. This hearing, initially set for February, has been delayed multiple times at the plaintiffs' request, with the latest hearing now scheduled for September.
DLNR Chair Dawn Chang clarified in a letter to the House Water & Land and Energy & Environmental Protection Committees that the litigation initially targeted six CUPs, but the ruling currently affects over 30 active permits. She stated, “The department believes that the court’s ruling has broad implications beyond commercial activities in Kāʻanapali ocean waters and could have statewide implications.”
Chang dismissed accusations that DLNR delayed settlement negotiations, stating, “This is not true.” A settlement offer received in March was rejected as it exceeded state jurisdiction.
DLNR commits to complying with HRS Chapter 343, recognizing that environmental reviews could span from six months to six years. Chang acknowledged, “We realize the potential impacts of the court’s decision could have significant economic impacts on many permittees and businesses, however the DLNR needs to comply with the law.”