Commercial Vessel Compliance

Unlicensed charters are bad news for everyone

Editor’s note: The content of this blog post was taken from a news release issued June 3, 2019, by the Coast Guard’s 8th District Public Affairs Office.

The Coast Guard is reminding the public that unlicensed vessel charters are both illegal and unsafe to consumers.

Hiring an unlicensed charter is dangerous because the charter may not have the proper emergency safety gear, navigation and communication gear, and may not have undergone the proper license exams and inspections which are put in place to ensure passenger and crew safety.

Legal passenger vessel operations fall into one of these three categories:

  • Uninspected Passenger Vessel: Can carry up to six passengers and must be operated by a credentialed mariner.
  • Small Passenger Vessel: Can carry more than six passengers, must hold a Coast Guard issued Certificate of Inspection, be inspected by the Coast Guard annually, and must be operated by a credentialed mariner.
  • Bareboat Charter: Can carry up to twelve passengers and the customer must hire the operator.

Passenger vessel operators must adhere to safety regulations set forth by the Coast Guard. Violators are subject to civil penalties and/or a captain of the port order. Failure to comply with the captain of the port order may result in a civil penalty of up to $94,219 for each day of continued operation. A willful and knowing violation of this order constitutes a Class D felony, which may lead to jail time up to 10 years and a fine up to $250,000.

When the Coast Guard encounters a boat that is not in compliance with regulations, measures will be taken to bring the vessel and operator into compliance. Those measures may include education, verbal or written warnings, civil penalties, vessel voyage termination, arrest or vessel seizure.

When reserving boats, prospective passengers should ask the operator in advance for proof the vessel and captain are compliant with Coast Guard requirements. Availability on a website is not a guarantee of regulatory compliance.

For more information on how to verify if a charter is properly inspected and licensed, or to report suspected illegal charter activities, contact your local Coast Guard sector.

Photo of an inspection sticker that should be on a CG licensed/inspected passenger vessel

This blog is not a replacement or substitute for the formal posting of regulations and updates or existing processes for receiving formal feedback of the same. Links provided on this blog will direct the reader to official source documents, such as the Federal Register, Homeport and the Code of Federal Regulations. These documents remain the official source for regulatory information published by the Coast Guard.