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/usr/share/doc/live-config/examples/hooks/passwd is in live-config-doc 5.20170112+deb9u1.

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#!/bin/sh

echo
echo "live-config hook: passwd"

_USERNAME=""

while [ "${_USERNAME}" != q ]
do
	echo
	echo -n "Enter username [q for quit]: "

	read _USERNAME

	_USERNAME="${_USERNAME:-${LIVE_USERNAME}}"

	case "${_USERNAME}" in
		root)
			passwd
			;;

		*)
			if [ -n "${_USERNAME}" ]
			then
				echo
				passwd "${_USERNAME}"
			fi
			;;
	esac
done