May-July 2012 The California Yacht Brokers Association ...PAGE 2 California Yacht Brokers Association • May-July 2012 2012 BOARD of DIRECTORS President Tom Trainor O: (916) 777-6559

The California Yacht Brokers Association Newsletter

THETHE

NEWSCYBACYBA

NEWSMay-July 2012

Inside This Issue:

(cont. on page 5)

THE CYBA HAS A NEW ADDRESS!!! Please send any correspondence to

CYBA • 4090 S. McCarran Blvd., Suite E • Reno, NV 89502

As California Goes, So Goes Other Boating Programs?

As California Goes .............................................................Page 1Board Of Directors .............................................................Page 2From The President ...........................................................Page 2Duty To Disclose .................................................................Page 2Investigation And Audit Of State Parks ........................Page 3Along The Waterfront........................................................Page 4Editor’s Notes .....................................................................Page 4Shelter Island Boat Festival .............................................Page 6Proposed New Membership............................................Page 6Requirements To Enter Mexico.......................................Page 8Board Of Directors Meeting ............................................Page 9Effort To Overturn No-Fishing Zones In CA ...............Page 10RBOC Supports Legistlature’s Decision ......................Page 14NMMA Disappointed In U.S. Court Of Appeals ........Page 14Monthly Quote .................................................................Page 16Calendar Of Events ..........................................................Page 16

As California goes, so goes other boating programs?

There’s no other way to look at it: boating in California has taken a huge hit. And it should sound an alarm in other states where boating programs funded solely by boaters could be raided and diverted.

Earlier this month, the De-partment of Boating and Water-ways, dubbed Cal Boating, died. It was officially folded into the Parks & Recreation Department, ending years of successful fight-ing by boating interests against such proposals dating back to

Govs. Pete Wilson (1992 and ’96) and Arnold Schwarzenegger (’03 and ’09). But under current Gov. Jerry Brown, the boating families in California have finally lost.

“It was a model user-pay, user-benefit program,” says Dave Geoffroy, former executive direc-tor of the Southern California Ma-rine Association and now execu-tive director of the new NMMA West. “This clearly jeopardizes many programs and services that California’s boaters received and willingly paid for. No general-fund monies were involved. It was strictly that boaters paid for what they received.”

The administration claims that the demise of Cal Boating is to “cut costs and reduce redun-dancies in government agencies.” Why does that remind me of the lipstick-on-a-pig thing? How about an agenda that diverts the $69 million California boaters provide annually in their registra-tion fees and gas tax on boat fuel to support an under funded parks system? The fact is these funds will now be included in Parks & Recreation’s budget and nothing will prevent the funds from being

diverted to non-boating uses.Until now, at least, Cal Boat-

ing has successfully provided funds for general boating activi-ties, boating safety programs, law enforcement, and facilities con-struction and improvements. The very real fear is that the integra-tion with Parks’ funds will result in a loss of services to Cal boat-ers.

Is there any bright spot here? That depends on how you look at it. Assemblywoman Joan Buchan-an, D-San Ramon, sponsored and passed A.B. 737 that preserves the old Boating Department’s commission and also requires that one seat on the Parks and Recreation Commission must be for a representative of California’s boaters. However, under the new law, the boating commissioners have no more authority to de-cide how boating funds are used throughout the state.

Sadly, California’s financial woes aren’t unlike those of many other states. Moreover, in the many states where there are also dedicated funds for boating, it

California Yacht Brokers Association • May-July 2012

2012 BOARD of DIRECTORSPresident

Tom TrainorO: (916) 777-6559

E: [email protected]: (916) 777-6365C: (916) 798-8667

1st Vice PresidentDennis Moran

O: (949) 642-5735E: [email protected]

F: (949) 642-9884C: (714) 299-1286

2nd Vice PresidentRon Gullan


F: (619) 224-4692C: (619) 518-2349

SecretaryAnita Mays, CPYBO: (855) 825-5974


TreasurerJames H. JohnsonO: (619) 222-0626


DirectorDick Angel


F: (510) 538-9100

DirectorNick Friedman, CPYB


F: (310) 547-4258C: (310) 748-5409

DirectorDean A. West


F: (619) 447-8655C: (619) 417-9378

Executive DirectorDon Abbott


F: (775) 353-5111C: (775) 745-6565

Legal AdvisorTom Russell

O: 949-854-6000E: [email protected]

F: (949) 854-6001C: (949) 244-6230

(cont. on next page)

The summer sales season is in full swing. I hope everyone is taking advantage of all the hard work done this past winter and spring to create sales. It is time to make hay while the sun is shining.

Those of you reading this newsletter and have not been involved in the CYBA, please take the time to talk with one of our Board Members or Committee Heads about the CYBA. Remem-ber, this is your organization, and for its continued success we need members to get involved.

Despite all the hard work, we were unable to stop the governor from completing his reorganiza-tion plans and the Department of Boating and Waterways is now part of the Department of Parks and Recreation. Please take the time to read the report from Bill Krauss, our CYBA Legislative Advo-cate. He details many changes in Sacramento and always provides helpful insights on many of today’s issues.

The Southern California Legal Seminar was held June 13th at BCYC in Newport Beach. The at-tendance this year was the best

we have had for many years and Tom Russell and Wayne Rodgers did an outstanding job organiz-ing the seminar. Our speakers covered a wide array of topics and I want to personally thank all who participated. For those who attended, I know you came away with a vast amount of information. If you missed this one, seek out someone who did attend and get some of the details. You missed one of our best seminars.

One of the topics discussed at the seminar was the topic of YACHTWORLD’S Private Label Search (PLS). The Department of Boating and Waterways has taken a legal position that this program violates the Harbors and Naviga-tion Code. If you are using this program, you are in violation of California Boating Law. If you have any questions, contact Fahim or Marinda in the Enforcement Unit of the Department of Boating and Waterways.

Last but not least, the topics of Cashier’s Checks, Wires, ACH Transfers, and Personal check

“Duty to Disclose” = Concerning the sale of goods, such as vessels/yachts, Brokers have a duty to disclose known and suspected material facts, including defects and deficiencies in the property.

Failing to close known, hidden and/or suspected defects to the property in the listing and sale process can expose brokers to legal liability.

Duty to Disclose

California Yacht Brokers Association • May-July 2012 PAGE 3

From The President… (cont. from pg. 2)

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direct deposits were all discussed. The best method of payment is a wire. All the other options can have problems. Suffice to say, be careful out there in the world of financial transactions. The crooks are getting better all the time!!!

Investigation and Audit of State Parks and Recreation Department Launched in Response to Budget Irregularities and Fiscal Mismanagement

Governor Accepts Resignation of Parks Director and Orders Resources Secretary to Conduct Sweeping Review

of Parks Management

SACRAMENTO - At the request of Governor Edmund G. Brown Jr., the state Attorney General’s Office is investigating the circumstances surrounding significant budgetary irregularities at the California Department of Parks and Recreation dating back to at least 2000. Governor Brown has also directed the state Department of Finance to conduct a comprehensive audit of Parks’ fiscal controls and the California Natural Resources Agency Secretary John Laird to conduct a sweeping review of Parks’ management.

A preliminary investigation into Parks’ finances has revealed that for at least 12 years the department underreported tens of millions of dollars to the state Department of Finance. As a result, the Department of Finance was not aware that the State Parks and Recreation Fund and the Off Highway Vehicle Fund held $20,378,000 and $33,492,000 respectively above their official, most recently reported balances. The underreporting occurred over the course of two prior gubernatorial administrations.

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ALONG THE WATERFRONT

could be all too easy for administrations and/or law-makers to attempt to divert boater’s money to more general uses. It’s paramount, then, that the industry, including state and local marine trade associations as well as boat clubs and owner organizations, stand ready to defend their user-pay, user-benefit pro-grams. Don’t doubt for a moment what happened in California could easily be coming to a state near you.

Norm Schultz

It’s hard to believe that the summer is more than half over. I hope all of you who are reading this month’s newsletter have been enjoying some time out on the water with your family and friends. It seems that no sooner than summer gets here – it’s coming to an end. But one of the nice things about California is that we are fortunate enough to be able to enjoy boating as a year round activity, unlike so many other parts of the United States that will be preparing to put their boats away in the next 30 days for the upcoming winter.

As most of you know, the DBW has been absorbed into the DPR (Department of Parks & Recreation). No sooner than that was done, and news breaks of some accounting irregularities at the DPR, which now has the Governor ordering an internal investigation. The DBW “Cash Cow” is about to be MILKED! The Department is primarily funded through boating registration fees and gasoline taxes on boat fuel, generating about $69 million a year. These funds will now be included in Parks and Recreation’s budget and could be allocated for non-boating-related issues. This certainly doesn’t bode well for what we in the yachting industry may have to look forward to. It does however, speak to the commitment that each and every one of us will have to make to insure that we, as stewards of high standards of business practice, continue to carefully monitor our practices, as well as those of our associates, as we deal with the public. Now more than ever it will be incumbent on all us who are in the sales area of this industry, from this

point forward, to hold ourselves and those who we do business with to maintain those stellar standards that the CYBA has espoused since 1975, insuring that the buying and selling public is treated with good sound business practices.

The comments made by the Editor should not be construed as representing the Board of Directors or this Association.

Since the last newsletter Southern California has had a boat show and a first time Shelter Island Boat Festival. The boat show was held July 26-29th at the Harbor Island Sheraton Hotel and Cancer Survivor Park. This was the first show for the NMMA since merging with the SCMA. Those that participated saw four days of good traffic from the public, and I understand there were several transactions put together and a number of good leads eminated from the show. This is a show that you will want to watch and certainly consider being a part of in the future as I feel it will only get better and bigger. The Shelter Island Boat Festival was held on August 4th & 5th and from what I saw, and feed back from those who where directly involved with the festival, it was a good weekend of traffic. (More on that in the newsletter).

The “ALONG THE WATERFRONT” section in the newsletter is getting great response. Remember this is a great way for your company to get the word out on changes at your office whether it is new personnel, new product-line, or even a new or relocated office. These are all newsworthy topics, and I hope you will take a moment of your time and allow your newsletter to work for you – please submit articles to me via email at [email protected] . I ask that you try and keep the article to a couple paragraphs if at all possible. Thank you.

Respectfully James H. JohnsonEditor

Russ Cornelius, broker of record at Ensign International Yacht Brokerage, announced that he has brought Jack Buckley on board to manage Ensign Yachts. Jack comes to Ensign Yachts well-credentialed. He is a current member and past president of California Yacht Broker Association (CYBA) and is qualified as a Certified Professional

Editor’s Notes

Jack Buckley Joins Ensign Yachts as Broker/Manager

Yacht Broker (CPYB) by the National Yacht Broker Certification Program. He has been successful selling hundreds of yachts and managing brokerages in San Diego for over 12 years.

Ensign Yachts is located at 1450 Harbor Island Drive in Cabrillo Marina on Harbor Island in San Diego.

As California Goes… (cont. from pg. 1)

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Shelter Island Boat FestivalOn Aug 4 & 5th the first of what is sure to become

a regular event in San Diego and known as the Shelter Island Boat Festival was truly a community event that showcased the area’s finest yachts and Shelter Island’s rich maritime culture. Held at Nielson Beaumont Boat Yard on Shelter Island Drive a two-day event packed with boat exhibits, maritime vendors, and Harbor Police Boat tours and on water demos. Along with all to see and do attendees at the festival had the opportunity enjoy live entertainment from local musicians and mouthwatering for prepared by local restaurants – All for FREE.

That’s right no admission and high pressure sales – just open relaxed atmosphere that seemed to work well considering the comments below.

“We have had more viable ‘bites’ here from actual boat buyers than we have seen in months” Drisoll, Naya and Mike

“The feel of this event is far from a boat show. It is a community event that involves people who are actually interested in buying boats” Blue Pacific

“You guys did an amazing job putting this together, it exceeded my expectations. I got a great spot and look forward to doing this next year.” Wayne Jones, Selene

“This is great; the docks are full of people. Great turn out, very attentive staff. We will bring more boats next year.” Peter, Marine Max

”I enjoyed taking part in the “Festival” this past weekend and I hope it can grow and become an annual event. It was great to meet …the…crew at JK3 and I look forward to developing a mutually beneficial relationship with… them.” David Spiegel

“We came all the way from the bay area to be a part of this event. We have had so many people genuinely interested in what we have to offer. The event was also very fun. We look forward to coming back next year.” Wayne Moors, Pacific Marine Manufacturing

“This is great. We have seen a lot of traffic. We are glad we are here. It is a small event and feels exclusive. Nicely done.” Lonnie, Richards and Lynch

“We are happy to be here we have some very interested people. When they come back 2 days in a row you know.” MacDonald Yachts

“We got a great spot and are happy to be part of this community event.” Fairline Yachts

”This is such an amazing event, haven’t seen anything like this in the area before.”

”Free Food! Free paddle boarding! Great boats! Wish this was every weekend!”

”I just moved here from AZ. What an experience I feel so welcome into this community. This is why I moved here.”

”We came all the way from AZ to be here. We are boaters and looking to buy. We are subscribers to The Log and knew if this event was featured there it would be worth it.”

“Read about this in The Log this morning, I am very excited to be here.”

“We were here yesterday and are back today. This is a great event. Fun for the family and great for viewing boats. Not overwhelming like a typical boat show.”

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Consulate General of Mexico in San DiegoPress Release # 06/2012March 12th, 2012Contact: Alberto DiazTel. 619308-9924Cel. 619-649-5364Email: [email protected]

In order to respond to recent requests for in-formation regarding the procedures to be followed, and the permits to be obtained by foreign tourists entering Mexican waters for sport fishing activities, the Consulate General of Mexico in San Diego com-municates the following:

• There is no visa or new immigration require-ment for sport fishing purposes. U.S. citizens, perma-nent residents of the United States, and foreigners who carry any type of valid U.S. visa do not require a Mexican visa to enter the country as tourists for a period of up to 180 days.

• According to current regulations, US citizens that wish to enter Mexico for any purpose, including sport fishing, must: (i) present themselves before migration authorities in a port open for international transit of persons. Ensenada is presently the nearest Mexican seaport to San Diego that offers this ser-vice; (ii) fill out the Multiple Migratory Form (FMM); (iii) present a valid Passport or any other valid form of government issued id; and make the tourist im-migration rights payment of $294 (Two hundred and ninety four Mexican pesos)

• Mexican law considers the possible participa-tion of consignee agencies. Their function is to sup-port all administrative procedures, such as gathering information, filling out forms and payment of fees. The hiring of the aforementioned services for recre-ational or sport fishing vessels for private use is not mandatory. Fees charged by consignee agencies are not part of the government rates applicable to the issuance of various permits.

• It is also required for every person that intends to enter Mexico for sport fishing activities to obtain the individual sport fishing permit, issued by the National Commission of Aquaculture and Fisheries (CONAPESCA). This permit may be processed at: http://e5cinco.conapesca.gob.mx. Fees as of Janu-ary 2012 are:

• 1 day $110 Mexican pesos• 1 week $276 Mexican pesos• 1 year $553 Mexican pesos• Excursion $787 Mexican pesos• Commercial recreational or sport vessels, Mexi-

can or foreign-registered, that will make use of any Mexican port must obtain a permit for the provision

Requirements To Enter Mexico For Recreational Sportfishing Activities

(cont. on page 16)


DATE: June 12, 2012 6:15p.m.

VENUE: Bahia Corinthian Yacht Club CALL TO ORDER: President, Tom Trainor ATTENDING DIRECTORS:Tom Trainor, PresidentDennis Moran, 1st Vice PresidentRon Gullen, 2nd Vice PresidentJim Johnson, TreasurerAnita Mays, SecretaryNick Friedman, DirectorDean West, Director

ALSO IN ATTENDANCE:Don Abbott, Executive Director Tom Russell, Legal AdvisorJack Buckley, Past PresidentJeff Long, Past PresidentWayne Rodgers, Past PresidentMorrie Kirk, Past President

GUESTS: Steve Myers ABSENT:Dick Angel, Director MINUTES: The Minutes from the meeting on April 26, 2012 were approved and moved to accept by Ron Gullan and seconded by Nick Friedman, motion carried.

FINANCIAL: Jim JohnsonCredit cards for tickets to the Law Seminar have not been recorded as of yet. We have $36,000 in bank which is about $4500 ahead.

CORRESPONDENCE: None

PRESENTATIONS: None

COMMITTEE REPORTS

LEGAL: Tom Russell Good amount of reservations for tomorrow’s Law Seminar. Tom to find out more details about Yachtco.com

IYC: Jim Johnson, Dean West, Terie Salinas None

ARBITRATION: Dennis Moran, Guy Newmark, Bob Leslie, Dick Angel, Jeff Long, and Jim JohnsonNone

LEGISLATION: Dick Angel, Bob Leslie, & Tom Trainor

CYBA Board of Director’s Meeting MinutesThe Little Hoover Commission is pending. DBAW may survive. Bill Krause to give update at Law Seminar. AB1963 – died. SB263-tabled. AB2443 - ?

SOCIAL/PUBLICITY: Guy Newmark, Don Abbott, Anita MaysNone

MEMBERSHIP COMMITTEE: Terie Salinas, Jack Buckley, Miquel Corelli, Dean West, Jim Johnson, Ron Gullan, Don Abbott

Salesperson – Kenneth Daniels w/Richards and LynchMotion to approve – Jim JohnsonSeconded – Dean WestApproved by majority vote.

FORMS COMMITTEE: Nick Friedman, Dick Angel, Terie Salinas, Jack Buckley, Anita Mays, Don Abbott, Ron Gullan

Per Tom Trainor – OK with DBW – emails are acceptable for updates to Listing Agreement for 1. Change of price 2. An Extension. Can also do initials next to the actual change on the Agreement.

Updates to Forms per Nick Friedman – Purchase Agreement: Regarding Paragraph 4 – there is now a time standard for each part of the process. Listing Agreement: Adding a line for a minimum commission that will only appear if you check it. Also making all forms available in blank format. The committee is also reviewing the possibility of permission levels and updating international address entry.

Tom Russell to check if can be added to Broker/Salesperson Agreement – listings belong to the broker.

ETHICS AND BYLAWS COMMITTEE: Dean West, Lon Bubeck, Ron Whitelaw, Guy Newmark, Bob Leslie, Morrie Kirk, Dick Angel, Jeff LongNone

INTERNET AND MEDIA COMMITTEE: Jim Johnson, Dean West, Don AbbottNone

NEWSLETTER: Jim Johnson It has been decided that the Newsletter will be issued 4 times per year (quarterly). 17 Members currently receive it by regular mail. Everyone else receives it by email. Next deadline 7/16.

(cont. on page 12)


Legal Effort to Overturn No-Fishing Zones in California ContinuesCoastside Fishing Club Files Opening Brief as Part of Its Appeal Against Unfavorable Ruling

Sacramento, CA – June 20, 2012 – With the recent adoption of marine protected areas in Cali-fornia’s northern region, a vast network of no-fishing zones along California’s coastal waters is now in place. However, the legal status surrounding how these no-fishing zones were established remains a question. Coastside Fishing Club, a member of the Partnership for Sustainable Oceans (PSO) which represents the recreational fishing and boating community, has announced that legal efforts against the Marine Life Protection Act (MLPA) process, which established the no-fishing zones, continues. Coastside recently filed an opening brief in its appeal of an October 2011, ruling that upheld the regulations created through the MLPA process.

“While anti-fishing groups have celebrated the adoption of MLPA regulations throughout the

state, we remain confident that these regulations were enacted without legal authority,” said Coastside Fishing Club’s President Rick Ross. “We are hopeful that through this appeal, the serious flaws in the MLPA process will be recognized by the court and, subsequently, overturned.”

Coastside Fishing Club, along with United Anglers of Southern California and California citizen Robert Fletcher, filed a lawsuit in January 2011, against the California Fish and Game Commission to invalidate regulations established through the MLPA process. The lawsuit cites a lack of statutory au-thority for the California Fish and Game Commission to adopt the closure regulations. The Commis-sion relies on a statute that was enacted as part of the Marine Managed Areas Improvement Act. This Act has certain prerequisites to regulatory action, which the Commission admittedly did not satisfy.

Despite this, a judge in the San Diego Superior Court ruled against Coastside Fishing Club in October 2011, upholding the MLPA regulations. After a careful review, Coastside concluded that the ruling is inconsistent with the mandates of the law as established by the legislature, and initiated the appeal process. A ruling from the appellate court is expected by year’s end.

“The legal effort against the MLPA is our best chance to stop these burdensome closures from continuing to negatively impact California’s fishing community,” said Ali Hussainy, president of BDOutdoors.com. “The best way for anglers to help fight for their fishing rights in California is to visit www.SaveCAFishing.org and make a contribution. All anglers need to stand together and fight for our right to fish before it’s too late.”

Along with the PSO, BDOutdoors launched www.SaveCAFishing.org to raise awareness of the legal challenge against the flawed MLPA process and to provide an opportunity for all anglers, boaters and anyone interested in fair legal process to contribute to the effort. Under the “Donate” section of the site, individuals can contribute $5.00 or more a month on a recurring basis, or make a one-time donation. All proceeds will directly support legal action to keep California’s healthy and abundant coastal waters open to recreational fishing.


Attention all interestedYacht Brokers and Salespersons:

CERTIFIED PROFESSIONALYACHT BROKER (CPYB)

~ STUDY SESSION AND TESTING ~

Contact Lon Bubeck, Nick Friedmanor Dick Angel for nextstudy session & exam.

The CYBA is conducting a study session, immediately followed by the examination, for all those interested in becoming Certified Professional Yacht Brokers. This will be our first available session,

in response to the great interest in this worthy program.

If you have a desire to take your business and personal accomplishment up to the next level, you owe it to yourself and

your clients to earn the CPYB designation. Join a growing number of the best and brightest brokers nationwide in increasing your

knowledge, professionalism, and ethical standards as they relate to your chosen profession.

For complete information, including study materials, applications, and required qualifications, please visit the National Yacht Broker Certification website at www.cpyb.net. There you will find all the

forms you need in a downloadable format.

If you have any questions, please contact one of the CYBA’s Members on the Certification

Advisory Council:

Lon Bubeck, CPYBFlying Cloud Yachts, Long Beach

[email protected]

Nick FriedmanSan Pedro Yacht Sales

[email protected]

Dick AngelMarineMax of California

[email protected]

You may also respond to [email protected] or contact any CYBA Board Member. The National Yacht Broker Certification office needs time to process your application and to perform your

background check.

Brokers wishing to attend the study session, but who are not testing, are welcome. However you must reserve a space! Seating

is limited!

NOTE: This session is for CYBA Members only. If you are not yet a Member, and would like to join, contact the CYBA office

immediately @ 800-875-2922.

CPYB/CAC: Lon Bubeck, Nick Freidman, and Dick AngelPer Nick Friedman - CAC is restructuring to 2 people plus an alternate. $150 Recertification Renewal. $450 if not an Association Member and the dues are more.

Yachtworld is a key sponsor for CPYB. They gave them $20,000 this year and together they will co-produce Yachtworld University. 10 re-certification credits for anyone that attends. Committee will look at for next meeting the possibility of CYBA sponsoring the University along with them. LEGAL SEMINAR: Wayne Rodgers, Tom RussellA very interesting agenda for the Seminar tomorrow. A special thank you to Wayne Rodgers, Tom Russell, Dennis Moran, Dean West, and Don Abbott for working together to make this year’s seminar one of our best! This will be the best attendance we have seen in over 5 years.

A special Thank you to our Legal Seminar Sponsors:Trident Funding 949-475-0760Twin Rivers Marine Insurance 800-259-5701Southern California Marine Association 714-633-7581Bellport Newport Shipyard 949-723-6800

AFFILIATE PARTNERSHIP: Anita MaysNone

UNFINISHED BUSINESS: A motion was made to accept the new member application that was presented today with the following change: 2 signatures required. Motion made by Dean West Second Ron Gullan Motion passed.

NEW BUSINESS:

NEXT MEETINGS:9/5 Mega10/3 Long Beach 1 p.m.11/7 Mega12/5 Mega1/9 Long Beach 1 p.m.All mega Meetings are at 9:00 a.m.

Meeting Adjourned 7:34 p.m. Nick Friedman motioned to adjourn meeting and seconded by Dean West

Respectfully recorded and submitted by,Anita Mays,Secretary

Board Meeting… (cont. from pg. 8)


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RBOC Supports Legislature's Decision to Audit State Parks

August 8Sacramento [August 8] – the boater advocacy or-

ganization Recreational Boaters of California [RBOC] is supporting the decision of the Joint Legislative Audit Committee [JLAC] this afternoon to accept the bipartisan request of Assembly Members Beth Gaines and Paul Fong, and Senator Noreen Evans, to conduct a comprehensive audit of the finances of the state Department of Parks and Recreation [State Parks].

This action follows numerous accounts revealing that State Parks management staff took advantage of a costly vacation buyout, and that State Parks had $54 million in surplus money hidden for more than a decade.

Stated RBOC President Cleve Hardaker: “the Legislature has taken prudent action to initiate an independent audit of State Parks vacation buyouts and hidden surplus funds. This audit will investigate how the funds were generated, where they have been hidden, how they have accumulated, and how the state can take corrective action to rectify this sit-uation and prevent similar actions in the future. The State Auditor will begin this process immediately.”

Continued Hardaker: “The allegations of finan-cial mismanagement at State Parks are of great con-cern. California’s boaters provide significant funding to State Parks through park entrance fees as well as fuel tax dollars totaling close to $30 million per year. It is essential that boaters have confidence that the funds we pay the state are used wisely and effec-tively. We are optimistic that this audit will provide the transparency and accountability that are essen-tial if we are able to reestablish boater confidence and trust in State Parks.”

With this action by the JLAC, the State Auditor will conduct an audit that will begin immediately. While an audit of this scope typically takes an ex-pected seven months [2,900 hours] to complete, the State Auditor will attempt to re-allocate resourc-es to expedite the effort.

The state Department of Parks and Recreation has expressed its support for the audit and its com-mitment to fully cooperate.

Jerry Desmond, Jr.Director of Government RelationsRecreational Boaters of Californiawww.RBOC.org

DESMOND & DESMOND925 L Street, Suite 220Sacramento, CA 95814p 916.441.4166f 916.441.3520e [email protected]

WASHINGTON, D.C. - August 17, 2012 - The Na-tional Marine Manufacturers Association (NMMA) announced it is disappointed in the decision today by the U.S. Court of Appeals for the D.C. Circuit to dismiss on procedural grounds the recreational boating industry's challenge of the Environmental Protection Agency's (EPA) decision to allow E15 into the U.S. fuel supply. The Engine Products Group, a coalition of organizations that includes NMMA, sought to block the EPA decision. Other coalition members include the Outdoor Power Equipment Institute (OPEl), the Alliance of Automobile Manu-facturers (AAM) and the Association of Global Auto-makers, Inc. (Global Automakers).

This decision puts the potentially dangerous E15 at gas pumps across the country, a troubling scenario for American boaters and the recreational boating industry.

While this decision is a setback it does not speak to the underlying merits of the case - whether EPA was in fact correct in its interpretation of the Clean Air Act to allow for a partial waiver in the first case. In his dissent, Judge Kavanaugh, who presided over the case, found that "EPA ran roughshod over the relative statutory limits" and is "flatly contrary to the plain text of the statute." NMMA is confident that were the Court to rule on the merits of the case that it would find that EPA has overstepped its authority for a partial waiver of E15. As a result, NMMA is cur-rently evaluating further litigation options.

Late in 2011, the EPA approved the use of E15 for a subset of on-highway motor vehicles ( model years 2001-2006). Earlier that same year, the EPA approved the use of E15 for model year 2007 and newer vehicles as part of its response to a waiver petition filed in the spring of 2009 by pro-ethanol-lobby group Growth Energy.

The partial waiver excluded marine engines and other non-road engines such as snowmobiles, lawn and garden equipment, the NMMA has been con-cerned that the waiver will lead to widespread mis-fueling by consumers. Recently, NMMA at its own cost distributed labels for the marine industry to warn against fueling marine engines with E15. EPA also refused to mandate that if a facility sells E15 it would also offer E10 or EOfuel for the nation's estimated 13 million registered power boat owners or the hundreds of millions of owners of gasoline powered equipment.

"NMMA will continue to evaluate and address

NMMA Disappointed in U.S. Court of Appeals Decision to Dismiss Boating Industry Concerns about E15

(cont. on page 16)

CalendarAug 30 San Diego Brokers/Sales Forum – 11:30 am Pier 32 Marina – National City, CA

Sept 05 CYBA Board Meeting – 9:00 am Web-Cam Broadcast – Check CYBA.info Sept 12-16 Seattle Boat Boats Afloat Lake Union – Seattle, WA

Sept 27-30 Lido Yacht Expo Lido Peninsula – Newport Beach, CA

Oct 03 CYBA Board Meeting – 9:00 am Web-Cam Broadcast – Check CYBA.info

Monthly Quote“A goal is an enemy to be conquered with a battle strategy and the commitment of a warrior.

There is no success in giving up.” -Tom Garriga

policy to protect boaters from misfueling and prod-uct failures associated with incompatible fuels and will take the necessary actions to ensure compatible fuels remain available and affordable," said NMMA President Thom Dammrich. "EPA has failed in each regard and approved E15 in violation of its clear statutory requirements."

Media Contact: Ellen Hopkins at [email protected] or 312.946.6249

About NMMA: National Marine Manufacturers Association (NMMA) is the leading association rep-

resenting the recreational boating industry in North America. NMMA member companies produce more than 80 percent of the boats, engines, trailers, ac-cessories and gear used by boaters and anglers throughout the U.S. and Canada. The association is dedicated to industry growth through programs in public policy advocacy, market statistics and re-search, product quality assurance and promotion of the boating lifestyle. For more information visit www.nmma.org. Contact: Ellen Hopkins 312.946.6249

NMMA Disappointed… (cont. from pg. 14)

of tourism services. This is issued by the Secretariat of Communications and Transportation (SCT) and must be requested in advance to the corresponding Port Captain's Office. This requirement is not appli-cable to private vessels that engage in sport fishing in Mexican waters.

• The Secretariat of the Navy (SEMAR) is empow-ered to carry out inspections in local and foreign vessels navigating Mexican territorial waters in order

Oct 25 San Diego Brokers/ Sales Forum – 11:30 am Fiddlers Green Restaurant – San Diego, CA

Oct 18-21 44th Annual Long Beach Boat Show Rainbow Harbor – Long Beach, CA

Oct 25-29 Ft. Lauderdale Boat Show Ft Lauderdale, FL

Nov 07 CYBA Board Meeting – 9:00 am Web-Cam Broadcast – Check CYBA.info

Recreational Sportfishing… (cont. from pg. 8)

to ensure compliance of applicable regulations.The promotion of tourism to our country is one

of the high priorities of the Mexican government. In-formation will be provided in a timely manner about new measures to be taken to facilitate the entrance of foreign tourist to our territory, including those tourists that wish to do sport fishing in Mexican ter-ritorial waters.

Documents

May-July 2012 The California Yacht Brokers Association ...PAGE 2 California Yacht Brokers Association • May-July 2012 2012 BOARD of DIRECTORS President Tom Trainor O: (916) 777-6559