Disputes arose over access to the Hol Chan cut, a natural break in the reef, which was a productive fishing area but also popular with snorkelers and divers.

Proposed fishing bans were rejected and in the mid 1980s public consultation over establishing a marine protected area began.

Reserve status was also called for by international organizations such as the New York Zoological Society (NYZS) and Peace Corps, due to the unique formation of the channel, the abundant fishery resources (including conch and lobster) and the feasibility of including an interlinked system of coral reef, sea grass and mangrove habitats in this area.

Between 1985 and 1987, Janet Gibson worked to establish the a protected reserve campaigning with citizens, businesses, fishermen, and the government of Belize and educating them on the need for the project.

[3] Based on environmentalist's efforts, the reserve was established in July 1987 with funding from WWF and USAID, after the draft management plan was approved by the Fisheries ministry and the local fishermen's co-operative.

It was an area traditionally used by fishermen to clean their nets before returning to port, and the abundance of food that entered the water as a result attracted the sharks and rays to feed.

The presence of these fish was actively encouraged as a tourist attraction — being fed by local tour guides; the shallow clear waters make it an ideal spot for snorkelers to observe the creatures.

The majority of the funds for the park's upkeep is generated from the fees charged to visitors for access to Zones A and D. These are not collected directly but instead via a yearly licensing scheme which applies to the boats of tour guides.