Technically the lake is only under NY law. By definition, it is not a navigable waterway. The CG Aux patrol with an agreement with the local PD.
Your passengers were not "bow riding" they were standing on deck.
We all know the intent of the no "bow riding", which I don't even think is law.
No feet hanging over the side of the bow while underway.
I would definitely push back next time.
If it's broke, we fix it