HomeMy WebLinkAboutFY 2024 (Department of Liquor Control) Budget Narrative`
DEPARTMENT OF LIQUOR CONTROL
FY 2024 BUDGET AND OPERATIONS SYNOPSIS
Leo Sandoval
Director
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Department: LIQUOR
Fund: LIQUOR FUND
1. FY 2023 to FY 2024 BUDGET COMPARSION
FY 2023 FY 2024 $ + / - % + / -
Salary and Wages 511,822 596,710 84,888 16.6%
Benefits 303,027 342,722 39,695 13.1%
Utilities 118,566 118,566 0 0.0%
Vehicle/Equip, Lease 2,759 2,759 0 0.0%
Operations 330,733 370,026 39,293 11.9%
1,266,907 1,430,783 163,876 12.9%
41%
24%
9%0%
26%
FY 2023 Operating Budget
Salary and Wages
Benefits
Utilities
Vehicle/Equip,
Lease
Operations
42%
24%
8%0%
26%
FY 2024 Operating Budget
Salary and Wages
Benefits
Utilities
Vehicle/Equip,
Lease
Operations
0
100,000
200,000
300,000
400,000
500,000
600,000
700,000
Salary and
Wages
Benefits Utilities Vehicle/Equip,
Lease
Operations
FY 2023 and FY 2024 Comparison
FY 2023
FY 2024
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2. MAJOR CHANGES AND/OR VARIANCES IN OPERATIONS BUDGET
During the current budget, the Liquor Control Department was able to regain the staff lost during the
pandemic. Compared to previous year budgets when there were vacancies, the upcoming year budget
would indicate an increase in salaries. As of this date, the Department is now functioning at full
capacity with no open positions. We are pleased to report the positions of the Assistant Chief
Investigator and the Private Secretary have both been filled by highly skilled candidates. The economy
continues to rebound, and the Department continues to increase workload with a focus on providing
exceptional customer service with the resources currently available.
As the Liquor Control Department continues to evolve, our licensing procedures have transitioned to
offer online processing of new and existing applications. With this extension of service offered to our
licensees, we have begun to see an increase of online application locally and from the mainland.
Average turnaround time for processing an application has reduced with the help of our temporary 89-
day contract Liquor Licensing Clerk. This position has proven to beneficial to the Liquor Department as
a whole and while serving as a single point of contact for all existing and new liquor license applicants.
To continue providing the level of customer service, the Liquor Control Department is seeking approval
of a new position number creating an opportunity for the position of Liquor Licensing Clerk to become
a permanent part of the Liquor Control Department’s team.
3. OPERATIONAL CHALLENGES
As the demand on the Liquor Control Department continues to increase, we are confronted with the
challenge of identifying new tasks and responsibilities related to licensing and enforcement.
During this past year, the Investigators were tasked with license processing in addition to their duties
of inspecting locations for liquor violations and providing public education. This significant focus on
clerical tasks ultimately disrupted the Investigators primary functions and removed them from the
field.
As a temporary solution, the Department sought out an 89-Day Contract position to create a Liquor
Licensing Clerk position. This person was brought in and trained on all licensing procedures while
becoming the sole point of contact for all customers seeking any license in person or online. With this
temporary position in place, the processing time on applications was reduced and the communication
with the Department has improved. As trends evolve, the liquor industry will only continue to grow,
and the need to process applications from local applicants and from those on the mainland will
increase.
To alleviate this Departmental challenge, we have requested to add the full-time position of Liquor
Licensing Clerk as a permanent position within the Liquor Control Department to fill the Regulatory
Division. With the revenue being generated, we believe the addition of this position is sustainable
without any significant impact to our licensees.
4. TOP 3 OPERATIONAL HIGHLIGHTS FROM FY 2023
o The Department has made significant changes this year by following through with streamlining our
licensing process while utilizing an online portal. Currently, all new applicants can begin their liquor
licensing process online and pay applicable fees online.
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o The Department has launched the online training program and exam focused on our licensees’
mangers by providing a convenient and consistent method to obtain their certification as required
by Commission Rule.
o The Department oversaw the sale and distribution of liquor sales in 2022 in excess of 156 million
dollars. This was an increase of almost 77 million dollars island-wide in liquor sales. This was made
possible by a diligent staff processing all necessary licensing special requests, permits, and licenses
as required by Commission Rules and Hawaii Revised Statute.