Federal Judge To Monitor Reforms At Honolulu Liquor Commission
The City Council must still approve the settlement of a 2021 lawsuit alleging discrimination against a gay bar and newsletter.
A federal judge would monitor Honolulu Liquor Commission reforms as part of a settlement of a lawsuit alleging discrimination against an LGBTQ+ bar and a gay newsletter.
The settlement this week of the 2021 lawsuit by Scarlet Honolulu and the Gay Island Guide includes a $670,000 payment in addition to the federal judge getting quarterly reports on the liquor commission’s progress in implementing more than 15 reforms contained in several reports and audits.
鈥淲e don鈥檛 want to push for change and just allow it to sit and languish. We actually are insisting on federal oversight, to ensure that this time the modifications are made and they take,鈥 Scarlet lawyer James DiPasquale said.
The settlement needs to be approved by the Honolulu City Council as early as November. That body often 鈥 but not always 鈥 approves settlements brought to it by the mayor鈥檚 administration.
The settlement does not yet include a timeline for how long federal monitoring will continue, Scarlet Honolulu co-owner Robbie Baldwin said, with the details to be worked out in writing. If the commission doesn’t show progress, the parties may be allowed to sue again, Baldwin said.
Some reforms might require union negotiation or a change in state law, DiPasquale said — steps outside the liquor commission鈥檚 direct control. The terms say recommendations should be implemented within a “reasonable” timeline, he said.
Several reports and audits in the last 20 years have recommended how to reform the troubled agency. Its struggle to recruit quality employees is both a cause and a result of well-publicized incidents, one report says.
Recommendations include filling vacant staff positions, keeping better track of fine revenue, reorganizing the office and reviewing and updating policies and procedures. All were mentioned in but were still incomplete according to .听听
Leadership, commitment, resources and accountability are all needed, according to on the organization’s enforcement policies and culture. It suggested measures such as adding daytime shifts and revising promotion questions.
鈥淓very time, somehow, the liquor commission is able to wriggle their way out of any accountability or reforms,鈥 Baldwin said. He hopes that positive change will come from oversight by a federal magistrate judge.
Baldwin rejected a previous settlement offer from the city in April for less money and no federal monitoring.
Honolulu Managing Director Mike Formby said that the city is unable to comment because the City Council hasn鈥檛 yet approved the settlement.
The liquor commission oversees the island鈥檚 bars and restaurants. Its rules cover everything from to where nude dancing can occur. It can suspend or revoke liquor licenses when these rules are broken.
Scarlet, a well-attended staple of Chinatown nightlife, alleges in the lawsuit that it was the victim of harassment and discriminatory enforcement by the commission. It says commissioners harassed its transgender employees and conducted more inspections than at other, non-LGBTQ+ establishments.
In July 2021, investigator Jacob Fears entered through the back door unannounced and without identifying himself and assaulted a hired security officer as well as Scarlet co-owner Joey Luna, the complaint says.
After Gay Island Guide wrote about the incident, the Liquor Commission shut down its pride event at Waikiki鈥檚 White Sands Hotel in October without cause, the complaint says.
Fears denies all of these claims, but last summer in a summary judgment the judge found them to be credible.
