Newport Harbor mooring holders are raising concerns following the release of a State Lands Commission staff report that could significantly change how mooring permits are valued and managed in the harbor.
The updated staff report, released ahead of the Commission’s December 16, 2026, meeting, accepts the City of Newport Beach’s Netzer appraisal methodology as valid. According to the report, adoption of this approach could justify mooring rate increases of up to 500% The report also questions whether the long-standing transferability of mooring permits complies with state law and includes a recommendation that transferability may need to be eliminated.
If adopted, those changes would mark a fundamental shift in how mooring permits have historically functioned in Newport Harbor. Transferability has allowed permit holders to sell or transfer moorings, a system that mooring users say has supported affordability, stability, and long-term access for recreational boaters for decades.
According to the Newport Mooring Association, the current system does not grant ownership of public tidelands, but rather authorizes permittees to install and maintain their own mooring tackle at private expense while paying rent and fees to occupy space over public lands.
“Under the current system, when a mooring permit is transferred, the new permittee acquires authorization to place the associated mooring tackle and pay rent to occupy space over public tidelands,” the Association stated. “That permittee agrees to maintain the mooring at their own expense, not rent the equipment for profit, not loan it out, and to follow strict guidelines.”
The Association notes that public access is not restricted under the existing framework. In fact, vacant privately maintained moorings are routinely made available to the public through the Harbormaster.
“Nearly 100 of these vacant moorings are available every day,” the Association said. “The Harbormaster may rent out a permittee’s privately maintained mooring ball when the permittee is gone, so others may access moorings in Newport with no up-front cost.”
Mooring holders argue that eliminating transferability would immediately disrupt a system that has allowed everyday boaters to access Newport Harbor without the high costs associated with slips or marinas. The Association says the City’s proposed mooring license system would significantly increase costs for individual boaters.
“A permit for a 40-foot mooring that currently costs $1,632 a year will cost $7,200 a year under the new plan,” the Association stated. “This will remove one of the last affordable means of berthing a vessel in Southern California.”
The staff report asserts that transferable permits may restrict public access, a conclusion the Association strongly disputes.
“CSLC staff wrongfully determined that the current transfer system restricts public access,” the Association said. “The City’s proposal will make affordability worse, costing tens of thousands of dollars more over even a relatively short 10-year period.”
The Newport Mooring Association says the immediate impact of eliminating transferability would be significant hardship for current permit holders, many of whom made long-term financial decisions based on a system established, approved, and enforced by the City itself.
“The immediate impact would be hardship for current permit holders who relied on procedures they were compelled to follow and that were designed and approved by the City,” the Association said. “The long-term impact will be less coastal access for ordinary boaters.”
While the staff report acknowledges affordability under the current system, it also questions the legality of permit transfers. The Association says that characterization is flawed.
“We fundamentally disagree with the State staff’s suggestion that mooring holders may be violating state law or illegally profiting,” the Association stated. “They have provided no substantive evidence that moorings obtain a profit.”
The Association argues that transfer values reflect recovery of acquisition and maintenance costs, not financial gain.
“Mooring holders only want to recoup their deposit cost for purchasing the mooring permit and keep coastal access affordable for the everyday boater,” the statement continued.
If the Commission determines that changes to transferability are necessary, the Association has proposed alternatives that it says would address legal concerns while preserving access. Among those suggestions are limiting transfer prices to acquisition cost, or adopting a transfer fee structure similar to other harbors statewide.
“One option would be that the transfer price cannot exceed the acquisition cost of the permit,” the Association said. “Another is setting a transfer fee at five percent, which is accepted elsewhere in the state.”
The Association has also raised concerns about lease duration. While most State Lands Commission General Lease Recreational Use agreements operate on 10-year terms, Newport Beach mooring permits are issued annually, and the City’s proposed license system would shorten that to month-to-month.
In addition, the Association points to past City discussions that indicated transferability would remain intact. According to the Association, a 2022 City agenda referenced a potential “Mooring Buyback” program that would have allowed fair transfers among willing parties, and in May 2023 City leaders publicly stated that City-owned mooring licenses would not eliminate permit transferability.
“People had faith in these statements from City leaders,” the Association said. “About 18 months later, the City abruptly reversed course and decided to force the end of permits and transferability instead.”
Mooring holders also argue that any changes should be evaluated alongside other tidelands uses. The State refers to residential dock permittees as “pier” holders, and the Association says equitable treatment requires simultaneous review.
“The City needs to follow State guidance to ensure mooring and pier appraisals occur at the same time and under the same fair and transparent methodology,” the Association said. “Right now, piers have not been reappraised in more than 12 years.”
The Association notes that State Lands has previously indicated that equity requires mooring and residential pier rates to be addressed “simultaneously” and “comprehensively,” yet the staff report allows up to a year for progress on pier rates while permitting mooring changes at any time.
Concerns were also raised about liveaboards, who the Association describes as an essential part of Newport Harbor’s maritime community.
“Liveaboards make up only seven percent of all offshore moorings,” the Association said. “They pay rent, pass annual inspections, comply with sanitation requirements, and provide 24/7 security and safety, especially during severe weather.”
The Association argues that removing liveaboards would reduce public safety and access, noting that State Lands has previously identified a 10 percent liveaboard population as optimal in marinas.
“Without liveaboards, we will lose a community that has lived in Newport for a century,” the Association said. “We will also lose access to key forms of public boating recreation that require living aboard a vessel.”
Additional concerns include governance and potential conflicts of interest. The Association has called for independent review of City decision-making, citing disparities in rates, implementation timelines, and enforcement between yacht clubs, residential piers, and public mooring permit holders.
“All Newport’s tidelands permit holders should be regulated to the same level,” the Association said. “Mooring permit holders only want to be treated fairly for use of the same public lands.”
The State Lands Commission is scheduled to discuss the staff report at its December 16 meeting. Mooring holders and advocacy groups continue to encourage affected users to submit public comments in advance, citing the potential long-term implications for recreational boating access, affordability, and tidelands management in Newport Harbor.
