HAR §13-234-2. Payment and delinquency

(a) Security deposit and method of payment: (1) Security deposit. A permittee upon being issued a use permit shall, in addition to paying fees and charges as they become due, deposit with the State in legal tender or in such other form as may be acceptable to the State, an amount equal to two months' fees and charges at the rate prescribed in the 234-5 Unofficial Compilation rules in effect on the date of issuance of the permit as security for the faithful performance on the permittee's part of all the terms and conditions, specified therein. On the effective date of any increase in fees and charges, the permittee shall deposit such additional amount to cover the increase. The State shall refund any excess deposit if the fees and charges are reduced. The deposit will be returned, without interest, to the permittee upon the termination of the permit only if the terms and conditions have been faithfully performed to the satisfaction of the department. In the event the permittee does not so perform, the department may declare the deposit forfeited or apply it as an offset to any amounts owed by the permittee to the State under the use permit, or to any damages or loss caused to the State by the permittee. The exercise of the permittee's option is without prejudice to the right of the State to institute action for debt or damages against the permittee or to take any other or further action against the permittee as may be provided by law or these rules for the enforcement of the rights of the State under the use permit. (2) As a prerequisite to the issuance of a use permit the permittee shall make a security deposit pursuant to section 13-234-2, pay the permit processing fee, one month's fees and charges, and any other fees and charges that may be due and payable to the State; provided that if the effective date of the use permit is other than the first day of the month, charges shall be properly prorated for the balance of the month and these prorated charges shall be paid. (3) Method of payment of fees and charges. The following fees and charges shall be paid without notice or demand on the last day of 234-6 Unofficial Compilation each and every month during the life of the use permit, except that the amounts due for the first month shall be paid prior to the issuance of the permit as described in section 13-234-2: (A) Mooring; (B) Residence; (C) Electricity; (D) Shower; (E) Dry storage; (F) Gear locker; and (G) Rent and other fixed recurring fees and charges. (b) Permit processing fees are due and payable in advance. (c) All fees and charges required by this chapter, except for fees and charges pursuant to section 13-234-25, are due and payable on or before the last day of the month in which they are incurred. Fees and charges assessed pursuant to section 13-234- 25 shall be due and payable in accordance with section 13-234-25(f). (d) Fees and charges for the last month shall be properly prorated. If the termination is at the owner's option, unless a written notice of intent to vacate has been received by the department from the boat owner at least thirty calendar days in advance of the termination date as prescribed in section 13-231-9 the owner shall be liable for the full amount of the monthly fees and charges. (e) All fees and charges shall become delinquent four calendar days after they become due and payable. All delinquent accounts will be referred to the Credit Bureau Services if they remain unpaid twenty-five calendar days from the day the account becomes delinquent. (f) For all delinquent payments due to the department, interest shall be charged at the rate of one per cent per month on the unpaid balance, including prior interest charges and delinquent account service charges, beginning on the first day payment is delinquent and continuing monthly 234-7 Unofficial Compilation thereafter until the amount due is paid. Additionally, regardless of the delinquency amount and without prejudice to any other remedy available to the department, a delinquent account service charge of the greater of five per cent of the amount owed or $100 per month shall be assessed on any delinquency. The interest charge and delinquent account service charge shall continue to be assessed until the delinquency is paid in full. (g) In the event the fees and charges which have accrued in favor of the department have not been paid as provided in these rules, the department may, after reasonable notice, take possession of the vessel, its tackle, apparel, fixtures, equipment, and furnishings, and may retain such possession until all charges then owed and any charges which thereafter accrue are fully paid. The remedy provided in this section shall be in addition to and not in lieu of any other remedies which the department may pursue by statute or otherwise. [Eff 2/24/94; am and comp 8/23/19] (Auth HRS §§200-2, 200-3, 200-4, 200-10) (Imp HRS §§200-2, 200-3, 200-4, 200-10)