WASHINGTON — Federal officials are working to finish a proposed rule that could dramatically alter the itineraries of many foreign-flagged cruise ships, such as those operated by Carnival Cruise Lines, Royal Caribbean and others, by requiring much longer port stays.

Hawai'i Gov. Linda Lingle, state economic development officials and some local business owners have come out against the proposal, saying they are concerned that foreign cruise ships will drop all their cruises to the state if the rule is implemented as written. That could cost the state's economy $200 million annually and eliminate more than 1,400 jobs, Lingle said.

Neil M. Takekawa, president of Roberts Hawaii Tours Inc., said fewer visits by foreign vessels would hurt many family-owned small businesses in the state since many visitors take day tours and visit nearly 40 different attractions.

Big Island Mayor Harry Kim said if the rule is implemented, the three foreign-flagged ships calling on the Big Island probably will cancel their itineraries, cutting 25 percent of the island's cruise ship visitors. He said the cruise ships also could spend fewer days in Hawai'i and cut port visits to Kailua, Kona.

"Local employment and business stability will suffer ... as local small businesses rely on ship passengers to fill their buses, vans, shops, museums and ... recreational destinations," Kim said.

The proposed change would require 48-hour stays, instead of the usual four- to 12-hour visits at foreign ports, possibly reducing the number of stops during trips of a week or less.

It is aimed at helping the U.S.-flagged ships operated by Norwegian Cruise Lines America on Hawai'i cruises compete with foreign-flagged cruise lines sailing from California.

Almost all cruise ships operating from U.S. ports are registered in foreign nations to avoid the cost of meeting U.S. labor, health, safety and environmental standards.

"It's the most ridiculous thing I've ever heard of," said Susan Aft, president of Discount Travel and Cruise in Atlanta. "Nobody wants to stay in some of these (foreign) ports that long."

The rule's impact could also imperil cruises from U.S. ports to Alaska, Canada, New England and some to the Caribbean, according to critics.

"If applied uniformly across the United States ... the criteria would turn the U.S. cruise market on its head, resulting in the loss of thousands of jobs in port communities," said Kurt J. Nagle, president of the American Association of Port Authorities.

MANY SUPPORT RULE

But Hawai'i's congressional delegation, maritime officials, labor unions and others support the proposed rule. They said foreign-flagged cruise ships sailing to Hawai'i are evading current law by making very brief stops, sometimes only an hour, in Mexico, before returning to their California homeports.

"These people are disobeying the law, and they are doing it blatantly," said U.S. Rep. Neil Abercrombie, D-Hawai'i, a strong advocate for the U.S. maritime industry. "They are not making a real port visit."

Other elected officials, tourism advocates and representatives of foreign-flagged cruise lines, however, criticize the rule proposal. They said it could drive cruise ships away from some U.S. ports and force cruise lines to drop shorter trips from their schedules.

The rule change, proposed by Customs and Border Protection, would require most cruise ships calling at more than one U.S. port to stay 48 hours at foreign ports compared with the brief stops they make under the existing rule.

The ships also would have to spend more than half their port time in foreign ports and passengers have to be given the opportunity to go ashore.

As written, the rule could result in shorter stays at U.S. ports or dropping them from the itinerary altogether.

COMPETING INTERESTS

Glen Vereb, the customs chief overseeing the cruise industry, said more than 1,000 responses on the rule proposal were received during a recent 30-day comment period. A final rule could be adopted anytime.

Vereb said the intent of the proposed changes is to uphold current law's intent to protect U.S.-flagged ships "to the extent possible."

But the agency was proceeding cautiously, Vereb said.

"We do not want to turn the entire cruise industry upside down," he said. "We've heard the message loud and clear that is what this proposal, if not changed or modified, is going to do."

That's what the cruise industry, state and local officials, port authorities and many others are warning.

"To comply with such a rule, Royal Caribbean Cruises Limited would have to restructure its itineraries, basing vessels in foreign instead of U.S. ports, eliminating time in U.S. ports and replacing U.S. port calls with foreign ports," said Bradley H. Stein, general counsel for the cruise line.

Lingle said the rule proposal should be changed to balance the need for protecting the Norwegian Cruise Line ships with the need for allowing foreign cruise ships to continue coming to Hawai'i.

"There should be no minimum port-of-call time at an international destination as part of the cruise itinerary and no mandated percentage of stops that restrict or affect the manner in which ships are scheduling calls to Hawai'i," she said.

'UNFAIR COMPETITION'

But maritime officials said changes are necessary to protect the two Norwegian ships operating in the Hawaiian Islands. They are the only U.S. flag cruise ships operating in oceangoing service.

U.S. Maritime Administrator Sean T. Connaughton said cruise ship practice already has forced Norwegian to drop one ship from the U.S. shipping registry and is on the brink of doing the same with its other two.

"The two remaining U.S.-built vessels, representing an additional 1,700 U.S. mariner jobs as well as shore-side employment, must be encouraged to remain in the U.S. registry," Connaughton said.

In comments on the rule, Lawrence Williams, a merchant seaman based in Honolulu, said foreign cruise ships are evading U.S. law by using "sham" port calls in Mexico on Hawai'i voyages.

"As a result, their actions directly jeopardize American seafaring jobs in the Hawai'i trade and America's only oceangoing U.S. flag cruise ships," he said.

Alan T. Yamamoto, vice president of Norwegian's Hawai'i operations, said the cruise has invested $1.3 billion in its fleet and that since 2004, the company has lost more than $250 million, principally because of lower-cost foreign competition from the West Coast.

"Unfair foreign competition poses an imminent threat to the remaining U.S.-flag passenger vessels operating in the Hawai'i trades," he said.

Reach Dennis Camire at dcamire@gns.gannett.com.