1. NMA Recommendations: Newport Harbor Mooring Fees and Transferability April 7, 2015 Presented to the Harbor Commission 1

2. 4 Major Recommendations Set annual permit fee at $25 per foot –Based on 3 methods: CPI, Comparable & 2013 Tidelands appraisal –Set initiation of new rate retroactively –Eliminate Marina Index Preserve market driven process –Allow mooring permit transfers –Limit 1 transfer per year –2 permits per holder with some exceptions –Eliminate mooring wait list Set permit transfer fee at 50% of annual fee Allocation of City rentals of vacant moorings –Contribute to Tidelands fund with 50% earmarked for mooring amenities 2

3. Other Recommendations Establish a uniform Billing Process –Same payment frequency for all permittees Create a committee to establish mooring amenities –Dinghy storage racks, showers, wash-down areas, etc. Establish a web based site managed by the City for mooring listings –Manageable –Enforceable 3

4. 3 Measures for Annual Fees Tidelands Valuation ($21 - $25) Consumer Price Comparable Mooring Index San Diego ($21 - $25) ($25) 4

5. Permit Transfers A market driven process serves the boating public better than a wait list Mooring Transfers are not illegal … but value must be given back to the public 5

6. Public Benefit Mooring Permittees give back to the public in several ways: –Annual fees paid into the Tidelands Fund are the highest of any user group –Vacant moorings are used by visiting boaters and the fees paid go to the Tidelands fund –Permittees maintain the mooring tackle to ensure the harbor is a safe haven and safe for navigation for all –Yacht clubs sponsor races & regattas, education, youth programs and community fund raising activities 6

7. IMPACT Moorings Fees 25% increase over 2010 vs. 177% Policies for moorings more in line with Tidelands Trust 7

8. Tidelands Funds 2015 estimated contributions based on recommended fees 8

9. Decision Parameters FAIR outcome for all Tidelands users Based on the relevant facts & market information Consistent with Tidelands Grant requirements Capable of providing sufficient funds to maintain and protect the Tidelands environment 9