However, Mr Gray said they received nothing in return for those payments. Instead, they have had to pay about $120,000 replacing motors because they have sucked up sand from the lake bottom and been ruined.
Mr Gray had complained about the depth of the lake around the Lakefront jetty for some time but nothing had been done. He said the problems with the water being too shallow occurred mainly over summer and they had not been able to operate from the Lakefront.
"We are expected to pay a fee for something that 50 per cent of the year we can't use."
Mr Gray said they had to take the boats to Sulphur Point.
Mr Gray said there had been unsuccessful attempts by the Rotorua District Council to arrange a meeting with all parties involved.
The Rotorua Daily Post reported earlier this month on plans to redevelop the Rotorua Lakefront.
Mr Gray said if high class hotels were going to be put up overlooking Lake Rotorua then something needed to be done to make the lake worth looking at.
"At this stage it [the lake] has not got a hell of a lot to offer."
Mr Gray said nobody was taking overall responsibility for the lake and if it had to be dredged to make it deeper then so be it.
Meanwhile, Lakeland Queen managing director Terry Hammond said they hadn't had any problems except once during the summer when the vessel got "blown off course and got stuck in the mud".
Bay of Plenty Regional Council environmental hazards general manager Ken Tarboton said no application for resource consent had been made, Mr Tarboton said.
"The lake level fluctuates depending upon rainfall and so at times the level is low. Our online live monitoring shows the lake is higher at the moment than it has been all year."
In terms of water clarity, it had been improving in Lake Rotorua due to a number of programmes aimed at meeting community objectives for the lake.
Te Arawa Lakes Trust chief executive Roku Mihinui did not return calls made by the Rotorua Daily Post.