I am getting the following errors on step 3 of the initial setup of NagiosQL.

Warning: mysql_connect() [function.mysql-connect]: Lost connection to MySQL server at 'reading initial communication packet', system error: 111 in /usr/share/nagiosql/htdocs/install/step3.php on line 54

Warning: mysql_select_db(): supplied argument is not a valid MySQL-Link resource in /usr/share/nagiosql/htdocs/install/step3.php on line 55

Warning: mysql_close(): supplied argument is not a valid MySQL-Link resource in /usr/share/nagiosql/htdocs/install/step3.php on line 62

Warning: mysql_connect() [function.mysql-connect]: Lost connection to MySQL server at 'reading initial communication packet', system error: 111 in /usr/share/nagiosql/htdocs/install/functions/func_installer.php on line 271
New Installation of NagiosQL
Parameter Value
MySQL server connection (privileged user) Error: Cannot connect to the database. MySQL Error: Lost connection to MySQL server at 'reading initial communication packet', system error: 111

I am not sure how to resolve. Looking for community help if possible. From what I can tell my settings on step 2 are correct. Thank you.

Is seems your MySQL settings are incorrect (my.ini). Look at your settings of my.ini.

Some Google results says, this could based on a wrong "bind-address" setting. just comment out this for a try.