With Hawaii’s green fee initiative going through costly and potentially time-consuming litigation with the cruise industry, state lawmakers have already initiated a possible compromise.
However, some lawmakers and sustainable tourism advocates say cruise lines will ultimately pay less than half of what Hawaii’s green fee initiative collects.
Lawmakers propose a $10 per guest fee
While Hawaii says it is still confident of beating off the cruise lines’ legal challenge, new bills in both the House and the Senate passed the first stage, which would charge cruise lines a $10-per-guest fee when a ship is in port.
This would bring in about $10 million annually compared to an estimated $26 million under the original green fee initiative, according to state Department of Taxation projections.
“The main point is to find a middle ground so that we avoid heavy litigation costs and a drawn-out process,” said Rep. Adrian Tam, chair of the House Tourism Committee.
Challenging the lawsuit filed by the Cruise Lines International Association, on behalf of cruise lines, got more difficult after the federal government joined in support of the cruise lines. They say the fee mechanism is unconstitutional.
A coalition of environmental groups, called Care for Aina Now, opposes the new fixed fee if the cruise industry doesn’t pay its fair share. “It is critical that they contribute equitably.
Cruise visitors should contribute on equal footing with other travelers,” it said.
The CLIA legal challenge is working its way through the federal legal system, with oral arguments expected in April. Norwegian Cruise Line supports the per-passenger fee proposal, as it would be the cruise line most impacted. It has a US-flagged ship sailing permanently between the Hawaiian Islands.
The fee revenue would have to be reinvested to improve port facilities and related infrastructure. NCL supports a fee that “extends to improving the experience of guests and the ship itself,” Sandra Weir, the VP for government relations, recently said in a committee meeting with lawmakers.
Dreana Kalili, state deputy transportation director for harbors, said the per-passenger fee could also be used to fund shore power installation at Hawaii ports.
