Yellow isn't a statement of skill. It means we don't have to babysit.

If it's obvious that someone can't ride, they are not given a yellow band.

I don't think a board with chips, skill levels, etc is going to work ... it doesn't identify the rider, and it requires a sign every 300 feet along a beach for clips rings, whatever. If I ride up to someone on the water during a down winder or something and ask them to hold/catch my kite, how do I know if they are a beginner? I can't go back and look at the register board.

The bands on the other hand can be done right now, without any major cost involved, and it's obvious even on the water.

Either instructors can hand out green bands to beginners (which I don't expect to happen), or everyone else can wear a yellow band.

I really expect only yellow and red to be used.

So if someone is wearing a band, you can safely assume they know what they are doing. If they are not wearing a band, and you don't know them, you can assume they are a beginner.

The real advantage of the band is to say "hey, you don't know me, but this band is telling you I know what I am doing so don't worry about me".

Of course the only way this will work is if everyone who has been riding for awhile is willing and remembers to wear the bracelet each time they ride.

Another option might be to do a single wrap of yellow electrical tape around one side of the bar.

This wasn't my idea, I'm just trying to refine it.