Just three months ago, the Hawaii State Auditor released the latest in a series of reports over the years on the Hawaii Deposit Beverage Container Program, known as HI-5.

That report, , basically said, 鈥淟ook. We鈥檝e issued four audit reports on the program, every two years beginning with 2013. In each of the reports, we rely on the distributors and redemption centers to be honest and police themselves. There is no verification or enforcement. You might think people are honest, but in three out of the four reports we found discrepancies, meaning either that distributors paid the fee on fewer bottles than they distributed, or redemption centers asked for and received more money from the state than they were entitled to.鈥

To illustrate the point, the 2019 report detailed the story of one staff worker who worked for the accounting firm contracted to help with the report. He went to a redemption center, dropped off some glass bottles, and was paid 61 cents. The redemption center altered the receipt log and received a little more than $69 instead.

A few days later, he went to the same redemption center with 3 pounds of plastic containers and was paid $3.95. That receipt log was also altered, with the state paying out 15 bucks.

鈥淭he Department of Health has been aware of this flawed payment system since 2006,鈥 the report summary says, 鈥渂ut has done little to address it either with changes to the program or through enforcement inspections.鈥

The audit found big flaws in HI-5. 

When the auditor鈥檚 report came out, it received attention not only from the local press but also national media. And the Legislature was in session at the time. Wasn鈥檛 it a great time to ask the Legislature to give the Department of Health some resources to put financial controls on the program and perhaps throw in the hoosegow some of the bad actors who had been stealing taxpayer money?

When you read the budget summaries from our legislative folks, however, such as blog posts from the House Majority on and on the , there is no mention about fixing the leaks in our bottle bill program.

And, when perusing the from the Department of Health, the department doesn鈥檛 seem to mind publicizing red-placard closures of food establishments as examples of its robust inspections and enforcement on the and , but no mention whatsoever is made of the redemption fraud even though the auditor gave DOH evidence on a silver platter.

Does DOH just not care about millions of taxpayer dollars possibly being stolen from under their noses?

鈥淔raud is a serious and real risk for this program,鈥 Director of Health Bruce Anderson stated in a Feb. 21 letter attached to the audit report. Yet we have heard nothing at all about changes to the program or about wrongdoers getting punished.

Perhaps this apathy is breeding distrust of the program. Redemption rates for eligible beverage containers are hitting the skids, as this chart shows:

Perhaps if we can clean up this program, we can help to restore confidence in government鈥檚 ability to handle money. And bottles.

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