HI HB1641

Requires the Department of Health to develop a risk-based process to select deposit beverage distributor and redemption center reports for periodic audit, addressing auditor findings of inaccuracies and possible fraudulent reporting.

Department must consider risk factors including transaction amounts, prior audit findings, and audit frequency when selecting which distributors and redemption centers to audit.

Requires deposit beverage distributors to submit monthly or semi-annual distribution reports with supporting documentation such as invoices, shipping documents, and point-of-sale reports.

Requires audit process to include analytics and trend analyses to identify distributors and redemption centers with unusual fluctuations, and must summarize results and consider enforcement actions and public announcements of violations.

Requires all deposit beverage distributors to develop and submit internal control processes for approval and obtain independent audits for years ending in odd numbers.