Rental Watercraft Regulations

**THIS PAGE IS A DRAFT AND UNDER CONSTRUCTION**

Operating a rental watercraft business on Lake Minnetonka requires compliance with specific health, safety, and licensing standards. We appreciate the businesses that partner with us to ensure safe, enjoyable operations that protect both the public and lake residents.

Important Notice: This page serves as a general guide. Additional requirements may apply based on your specific operation. Please contact the respective agencies referenced below for definitive guidance.

Rental Watercraft Business Guide

🛑 Critical Approvals & Liability

Captained vs. Uncaptained Rentals

Rentals WITHOUT Captain Services:. Restricted watercraft rentals on Lake Minnetonka require both a Rental Watercraft License from the LMCD as well as inspection from Hennepin County Water Patrol. Unrestricted watercraft rentals on Lake Minnetonka require inspection by Hennepin County Water Patrol. View Rental Watercraft Requirements.
Rentals WITH Captain Services: Requires a Watercraft for Hire registration. View Watercraft for Hire Requirements.

Liability & Enforcement

Third-Party Captains: Whether or not your business assisted in arranging a third-party captain, your business may still be held liable for damages, penalties, or unlawful operations.
Regulatory Codes: All operations must meet all applicable general state and local laws, as well as LMCD Code Sections 7-4.01 – 7.4.05 (and Section 8-3.17 for personal watercraft).

📋 General Rental Watercraft Requirements

1. Licensing, Inspections and Definitions

LMCD License Required: No person may rent or offer to rent a Restricted Watercraft without a valid LMCD license. (LMCD Code 7.404)
Sheriff Safety Inspection: Restricted and Unrestricted rental watercraft must pass a physical safety inspection by the Hennepin County Sheriff’s Office Water Patrol (MN Rule 5225.6140).
Post-Inspection Compliance: Once inspected, the watercraft must continue to operate exactly as it did during the inspection, keeping all required safety equipment on board. Both the operator and the license holder can be held responsible for equipment and operations. (LMCD Code 7.404 Subd 1)
Renter Requirements: All Renters of restricted watercraft must comply with the following State of MN laws.
- All renters 18 and older:
  - If 18+, renting from a rental business, and from Minnesota, ONE of the following MUST apply:
    - Must be an exempt operator; or
    - Complete the Minnesota watercraft rental course (certification is good for 180 days); or
    - Already have or obtain a watercraft operator’s permit (certification is good for a lifetime).
  - If renting from a rental business, not from Minnesota, and using Minnesota’s waterways for fewer than 60 days: Must meet any applicable requirements of state or country of residency.
  - If renting from a resort and from Minnesota: Must meet watercraft operator permit age requirements. (Those born after June 30, 2000, must hold a valid watercraft operator’s permit.)
  - If renting from a resort, not from Minnesota, and using Minnesota’s waterways for fewer than 60 days: Must meet any applicable requirements of state or country of residency.
- Under 18:
  - Cannot rent watercraft, but Minnesota residents may operate rental watercraft if they have a valid watercraft operator’s permit. Non-residents under 18 also cannot rent watercraft but may operate rental watercraft if they’re using Minnesota’s waterways for fewer than 60 days and meet any applicable requirements of state or country of residency. (Please note: Rental businesses and resorts may also have their own requirements that are more stringent than state law.)
Exempt Operators: Exempt operator means a motorboat operator, including a personal watercraft operator, who:
- Possesses a valid license to operate a motorboat issued for maritime personnel by the United States Coast Guard under Code of Federal Regulations, title 46, part 10, or a marine certificate issued by the Canadian government.
- Is not a resident of the state, is temporarily using the waters of the state for a period not to exceed 60 days, and:
  - meets any applicable requirements of the state or country of residency; or
  - possesses a Canadian pleasure craft operator’s card;
  - is operating a motorboat under a dealer’s license according to section 86B.405; or
  - is operating a motorboat during an emergency.
Unrestricted Watercraft:
- Unrestricted watercraft as defined by LMCD Code and by the State of MN Subd. 115:
  - Sixteen feet or less in length and has no motor; or
  - Sixteen feet or less in length and has a motor of 10 horsepower or less, as rated by the manufacturer at the time of manufacture, whether or not the motor is operational; or
  - Twenty feet or less

2. Watercraft Equipment & Condition (LMCD Code 8-2.11 & 8-2.13)

To be cleared for rental, all watercraft must be in compliance with Minnesota Rules, part 6110.1200 and meet the following structural standards:

Safe Condition: Cannot be broken, rotten, or otherwise hazardous..
Flotation Devices: Must have USCG-approved personal flotation devices (PFDs) on board for every passenger upon departure.
Flotation Chambers: Metal or fiberglass boats must be equipped with air chambers or buoyancy devices capable of keeping the craft afloat at capacity load if capsized.
Transom Strength: Must feature a strongly constructed rear transom capable of handling the stress of fully reversing attached motors.
Cleanliness: Must be completely free of spilled gasoline and oil.

3. Operational Safety Restrictions

Sobriety: No watercraft may be rented to anyone under the influence of alcohol or prohibited drugs.
No Overloading: Boats are strictly prohibited from departing if they exceed their safe carrying or power capacities.
No Overnight Occupancy: Watercraft cannot be rented, leased, or regularly used as living quarters while on the lake.

🌊 Personal Watercraft (PWC / Jet Ski) Requirements

Additional regulations apply to all PWC rentals under LMCD Code 8-3.17, regardless of horsepower.

Age Limits: Renters must be 18 or older. Although you may operate the rental PWC if 16 or older, operators aged 16–17 must possess a legally required operator’s permit.
Safety Instruction: Operators must provide renters with a summary of PWC laws and actual hands-on/verbal instruction regarding safe operation.
Record Keeping: Rental operations must maintain a signed record showing that the renter received and read the PWC laws.
PFDs: You must provide a USCG-approved Type I, II, III, or V wearable life jacket to all PWC occupants, along with all other required safety gear.

🏛️ State, County, and City Regulations

State Registration: All watercraft must be registered with the State of Minnesota, displaying the proper registration decal.
Residential Restrictions: Rental watercraft may not load or unload passengers at residential properties, unless the craft is being used exclusively for the personal enjoyment of the property owner/renter.
Food & Beverage Sales: You may not sell or provide food or beverages on a rental craft without appropriate permits and inspections from the Minnesota Department of Health. Passengers, however, are permitted to bring and consume their own food and drinks.
Local City Zoning: Applicants must contact their local municipality regarding zoning laws for business operations, berthing, or storage. Conducting business at private facilities or public transient docks is generally prohibited unless explicitly authorized by an LMCD license and City approval.

🔍 Exemption from Licensing: “The Six-Pack Rule”

Operators of watercraft for hire are exempt from needing a formal watercraft-for-hire license only if they strictly meet all of the following criteria:

Capacity: Carries 6 or fewer passengers for hire.
Size: The watercraft is 25 feet or less in length.
No Residential Loading: No passengers are loaded or unloaded at any residential dock or property.
Insurance: The operator must carry a current liability insurance policy specifically covering passengers for hire, matching LMCD requirements.
Alcohol Regulations: No sales or distribution of alcoholic beverages or intoxicating substances (including marijuana) are allowed onboard without an LMCD Chapter 3 license. Serving mixers/liquids intended for alcohol is also prohibited. Passengers of legal age may bring and consume their own alcohol.
Food/Beverage Regulations: No food or beverage sales/provisions are allowed without a Minnesota Department of Health permit. Passengers may bring their own food/beverages.
License Status: The operator does not already hold a watercraft-for-hire license for that specific exempt vessel.

Rental Watercraft Regulations

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