Sound travels about four and a half times faster in water than in air — and carries tens of kilometres. Water does not muffle noise. It carries it.
An honest caveat: the department’s page on underwater noise deals mainly with marine animals and industrial noise — ships, sonar, construction. Nowhere does it say that talking in a boat scares fish away. We will not make it say so. What is established is that fish hear, that sound carries far underwater, and that excessive noise harms them.