Honolulu Liquor Commission Administrator Salvador Petilos was charged with leading reform efforts to ensure accountability and transparency in the wake of lawsuits the agency was forced to settle alleging discrimination and misconduct by liquor investigators.
With Petilos’ announced retirement on Friday after just over 2 years on the job, the liquor commission has begun the search for a new administrator to manage day-to-day operations for the historically troubled agency responsible for issuing liquor licenses and enforcing liquor laws on Oahu.
In its written announcement, the administration of Mayor Rick Blangiardi said it’s seeking a leader “with proven administrative and managerial experience, familiarity with municipal operations, and a clear commitment to ethics, accountability, and transparency.”
“Candidates should have a demonstrated record of effective leadership and the ability to uphold the commission’s mission while serving the community with fairness and professionalism,” the announcement states.
The HLC administrator’s position pays $147,990 a year, the city said.
Petilos took the reins of a city agency that faced several internal and external issues including low morale, low pay, understaffing and a history of its liquor investigators accepting illegal bribes and allowing alcohol-serving businesses like nightclubs to violate liquor laws.
Outside litigation also alleged homophobic behavior among a few HLC investigators.
A federal lawsuit filed in 2021 by the owners of a Chinatown nightclub and a guide to the islands catering to the LGBTQ+ community in which they alleged anti-gay discrimination by liquor investigators was tentatively settled in October 2024.
At that time the provisional agreement was to see plaintiffs Scarlet Honolulu Inc. and Gay Island Guide LLC receive $670,000, and require mandated federal court oversight, among other reforms.
The Honolulu City Council adopted the formal settlement agreement in that case on Nov. 7, 2024.
Related litigation against HLC settled earlier this year too.
In late 2024 the city asked for more legal fees — an additional $115,000 — to defend against a 2023 federal civil rights lawsuit alleging three investigators subjected another investigator, Jhumar Ray Waite, to discrimination, harassment and a hostile work environment based on his sexual orientation and race after starting his job with the city in 2022.
Waite is gay and Filipino, according to the complaint.
A trial was set to begin in April 2025, but by May a settlement had been reached.
James DiPasquale, Waite’s attorney, previously said his client would receive $40,000 from the city as part of the agreement.
The Mayor’s Office later confirmed the Waite settlement. “In exchange for the monetary settlement, the plaintiff agreed to release and dismiss with prejudice all claims against the city” and HLC, Ian Scheuring, the mayor’s deputy communications director, said previously.
In the wake of these lawsuits, Petilos previously told the Honolulu Star-Advertiser that his agency’s reform efforts included a reorganization of the HLC’s field services branch, increased and enhanced training for staff, and more funding for new applications and technologies to create the “randomization of routine inspection and geolocation history data” to deter bias among HLC investigators tasked with inspecting liquor-licensed businesses on Oahu.
As of May 1, HLC had initiated a body-worn camera pilot program as a trial to document investigators’ interactions with the licensed community, according to an agency news release.
“The intent is to increase transparency and accountability while building public trust and confidence in the Honolulu Liquor Commission,” the April 17 release states. “For the duration of the pilot program, no information collected will be used to issue warnings, violations, or any type of regulatory response.”
Appointed as HLC administrator in August 2023, Petilos previously led the Utah Department of Alcoholic Beverage Control for more than 10 years.
In his Nov. 20 resignation letter, Petilos thanked Liquor Commission Chairperson Jeffrey Hong for the opportunity to serve the city.
“I have enjoyed working for the Honolulu Liquor Commission and appreciate the support provided to me during my tenure,” Petilos wrote. “I wish you all fair winds in the future.”
On Friday , the Blangiardi administration formally thanked Petilos for his nearly 2-1/2 years on the job, while announcing the pending search for his successor.
“We appreciate Sal Petilos for his service to the Honolulu Liquor Commission,” Blangiardi said in a statement. “We wish him well as he moves into this next chapter.”
“A strong and trusted Liquor Commission is important for Honolulu,” the mayor said. “We have made real progress rebuilding public confidence and improving the way the Commission operates. Choosing the right administrator is a key part of continuing that momentum.”
Hong also praised Petilos’ work.
“Sal came to us off the beach and out of retirement after leading Utah’s Alcohol Beverage Control. We were fortunate to benefit from his skill and experience during a challenging period for the agency,” Hong said in a statement. “Sal truly wanted to give back to his adopted home, and he leaves the commission better prepared for the future.”
“We will miss him as he returns to a calmer retirement — and a little more time in the surf,” Hong added.
“The administrator is appointed by the Honolulu Liquor Commissioners,” Scott Humber, the mayor’s communications director, said. “Until that body selects a new permanent administrator, or chooses to appoint someone on an interim basis, the assistant administrator is in charge of the agency.”
Anna Hirai, HLC’s longtime assistant administrator, remains in that position, the agency’s website indicates.
Meanwhile, resumes and cover letters for the HLC administrator position may be submitted to BFSLIQAdmin@honolulu.gov. For more information, visit honolulu.gov/liq/.
