SB 3138HawaiiProcess complete

Hawaii law sets audit schedules for beverage distributors

Hawaii law sets audit schedules by distributor size and requires the Department of Health to assess program reports using risk factors.

What it does

Distributors handling at least five million containers must obtain independent audits, with the schedule depending on their yearly volume. Those handling fewer than five million are exempt.

The Department of Health must select some distributor and redemption center reports for audit using risk factors. It must also let distributors submit required reports online.

All distributors must submit an internal control process for approval. It must help ensure accurate reports and adequate recordkeeping.

Argument forDistributors handling fewer than five million containers could avoid audit costs, which may ease the burden on smaller businesses.

Argument againstExempting distributors handling fewer than five million containers could leave some reporting errors undiscovered because those distributors do not have to obtain these audits.

More detail

Covered distributors must obtain independent audits on schedules tied to their yearly container volume. The count includes beverages made in Hawaii in deposit containers, or filled containers imported and sold to a dealer or consumer. Distributors handling fewer than five million containers in a calendar year are exempt. A distributor handling at least 75 million containers in an even-numbered year must audit the next calendar year. A distributor handling at least five million but fewer than 75 million in a year ending in four or nine must audit the next calendar year.

The Department of Health must use risk factors to select reports for periodic audits and provide an online reporting system. The audit process covers selected reports from deposit beverage distributors and redemption centers; the online system is for distributor reports required by this chapter. The department must consider transaction amounts, earlier audit findings, and how often a distributor or redemption center was audited. It must assess submitted data, including unusual changes. Distributors must send monthly or semi-annual reports and supporting records as the department requires.

All distributors must submit an internal control process to the deposit beverage container program for approval. This applies to all deposit beverage distributors. The process must help ensure report forms contain accurate data and that adequate records are kept.

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More on this bill

Where it stands

IntroducedJan 26
Passed SenateMar 6
Passed HouseApr 14
To GovernorMay 8
Became LawJun 26

Looking ahead

No hearings or votes scheduled.

History

2026
1. Jun 26Act 158, 06/25/2026 (Gov. Msg. No. 1259).Latest
2. Jun 26Act 158, on 06/25/2026 (Gov. Msg. No. 1259).Became Law
3. May 8Received notice of passage on Final Reading in House (Hse. Com. No. 888).Minor
4. May 8Enrolled to Governor.To Governor
5. May 6Passed Final Reading, as amended (CD 1). Ayes, 25; Aye(s) with reservations: none . 0 No(es): none. 0 Excused: none.Major
  - Vote recorded Passed Final Reading as amended in CD 1. Result: pass.Lower
6. May 6Passed Final Reading as amended in CD 1 with none voting aye with reservations; none voting no (0) and none excused (0).Major
7. May 6Received notice of Final Reading (Sen. Com. No. 816).Minor
8. May 1Reported from Conference Committee as amended CD 1 (Conf. Com. Rep. No. 103-26).
9. May 148 Hrs. Notice (as amended CD 1) 05-06-26.
10. May 1Reported from Conference Committee (Conf Com. Rep. No. 103-26) as amended in (CD 1).
11. May 1Forty-eight (48) hours notice Wednesday, 05-06-26.
12. Apr 30The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. The votes of the Senate Conference Managers were as follows: 2 Aye(s): Senator(s) San Buenaventura, Moriwaki; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) McKelvey.Minor
  - Vote recorded The Conference Committee recommends that the measure be Passed, with Amendments. Result: pass.Lower
  - Vote recorded The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
13. Apr 30The Conference Committee recommends that the measure be Passed, with Amendments. The votes were as follows: 4 Ayes: Representative(s) Lowen, Perruso, Amato, Matsumoto; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none.Minor
14. Apr 27Conference Committee Meeting will reconvene on Thursday 04-30-26 10:00AM in conference room 325.
15. Apr 24Bill scheduled for Conference Committee Meeting on Monday, 04-27-26 10:00AM in conference room 325.
16. Apr 23Received notice of change in conferees (Hse. Com. No. 812).Minor
17. Apr 22House Conferees Added: Representative Amato added as Conferee.
18. Apr 22Senate Conferees Appointed: San Buenaventura Chair; Moriwaki Co-Chair; McKelvey.
19. Apr 22Received notice of Senate conferees (Sen. Com. No. 723).Minor
20. Apr 21House Conferees Appointed: Lowen, Perruso Co-Chairs; Matsumoto.
21. Apr 21Received notice of appointment of House conferees (Hse. Com. No. 800).Minor
22. Apr 16Received from House (Hse. Com. No. 752).Minor
23. Apr 16Senate disagrees with House amendments.Minor
24. Apr 16Received notice of disagreement (Sen. Com. No. 710).Minor
25. Apr 14Passed Third Reading with Representative(s) Amato voting aye with reservations; none voting no (0) and none excused (0). Transmitted to Senate.Passed House
  - Vote recorded Passed Third Reading. Result: pass.Lower
26. Apr 10Reported from FIN (Stand. Com. Rep. No. 2046-26), recommending passage on Third Reading.
27. Apr 10Deferred one day 04-14-26.Minor
28. Apr 7The committee on FIN recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 16 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Perruso, Templo, Yamashita, Alcos, Reyes Oda; Ayes with reservations: Representative(s) Gedeon; Noes: none; and Excused: none.Minor
  - Vote recorded The committee on FIN recommend that the measure be PASSED, UNAMENDED. Result: pass.Lower
29. Apr 2Bill scheduled to be heard by FIN on Tuesday, 04-07-26 2:00PM in House conference room 308 VIA VIDEOCONFERENCE.
30. Mar 30Reported from EEP (Stand. Com. Rep. No. 1435-26) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
  - Vote recorded Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN. Result: pass.Lower
31. Mar 30Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Lowen, Perruso, Quinlan excused (4).Minor
32. Mar 24The committee on EEP recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 5 Ayes: Representative(s) Lowen, Perruso, Chun, Kusch, Matsumoto; Ayes with reservations: none; 0 Noes: none; and 2 Excused: Representative(s) Kahaloa, Quinlan.Minor
  - Vote recorded The committee on EEP recommend that the measure be PASSED, WITH AMENDMENTS. Result: pass.Lower
33. Mar 23Bill scheduled for decision making on Tuesday, 03-24-26 11:00AM in conference room 325 VIA VIDEOCONFERENCE.
34. Mar 19The committee(s) on EEP recommend(s) that the measure be deferred until 03-24-26.Minor
35. Mar 16Bill scheduled to be heard by EEP on Thursday, 03-19-26 9:40AM in House conference room 325 VIA VIDEOCONFERENCE.
36. Mar 10Pass First ReadingMinor
37. Mar 10Referred to EEP, FIN, referral sheet 16Minor
38. Mar 6Report Adopted; Passed Third Reading. Ayes, 24; Aye(s) with reservations: Senator(s) Rhoads. Noes, 0 (none). Excused, 1 (Senator(s) Ihara). Transmitted to House.Passed Senate
  - Vote recorded Report Adopted; Passed Third Reading. Result: pass.Upper
39. Mar 6Received from Senate (Sen. Com. No. 114) in amended form (SD 1).Minor
40. Mar 5Reported from WAM (Stand. Com. Rep. No. 2762) with recommendation of passage on Third Reading.
41. Mar 5One Day Notice 03-06-26.
42. Mar 2The committee(s) on WAM recommend(s) that the measure be PASSED, UNAMENDED. The votes in WAM were as follows: 13 Aye(s): Senator(s) Dela Cruz, Moriwaki, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Lee, C., Richards, Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.Minor
  - Vote recorded The committee(s) on WAM recommend(s) that the measure be PASSED, UNAMENDED. Result: pass.Upper
43. Feb 25The committee(s) on WAM deferred the measure until 03-02-26 10:01AM; Conference Room 211 & Videoconference.Minor
44. Feb 23The committee(s) on WAM will hold a public decision making on 02-25-26 10:55AM; Conference Room 211 & Videoconference.
45. Feb 17Reported from HHS (Stand. Com. Rep. No. 2291) with recommendation of passage on Second Reading, as amended (SD 1) and referral to WAM.
46. Feb 17Report adopted; Passed Second Reading, as amended (SD 1) and referred to WAM.Minor
47. Feb 6The committee(s) on HHS recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in HHS were as follows: 4 Aye(s): Senator(s) San Buenaventura, McKelvey, Keohokalole, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Kanuha.Minor
  - Vote recorded The committee(s) on HHS recommend(s) that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
48. Feb 3The committee(s) on HHS has scheduled a public hearing on 02-06-26 1:00PM; Conference Room 225 & Videoconference.
49. Feb 2Referred to HHS, WAM.Minor
50. Jan 28Introduced.Minor
51. Jan 28Passed First Reading.Minor
52. Jan 26Pending Introduction.Introduced

Environment & Energy

Issue with this bill?

SB 3138HawaiiProcess complete

Hawaii law sets audit schedules for beverage distributors

Hawaii law sets audit schedules by distributor size and requires the Department of Health to assess program reports using risk factors.

What it does

Distributors handling at least five million containers must obtain independent audits, with the schedule depending on their yearly volume. Those handling fewer than five million are exempt.

The Department of Health must select some distributor and redemption center reports for audit using risk factors. It must also let distributors submit required reports online.

All distributors must submit an internal control process for approval. It must help ensure accurate reports and adequate recordkeeping.

Argument forDistributors handling fewer than five million containers could avoid audit costs, which may ease the burden on smaller businesses.

Argument againstExempting distributors handling fewer than five million containers could leave some reporting errors undiscovered because those distributors do not have to obtain these audits.

More detail

Where do you stand?

Tell your reps

Take a position to see your representatives and ways to contact them.

More on this bill

Where it stands

IntroducedJan 26
Passed SenateMar 6
Passed HouseApr 14
To GovernorMay 8
Became LawJun 26

Looking ahead

No hearings or votes scheduled.

History

2026
1. Jun 26Act 158, 06/25/2026 (Gov. Msg. No. 1259).Latest
2. Jun 26Act 158, on 06/25/2026 (Gov. Msg. No. 1259).Became Law
3. May 8Received notice of passage on Final Reading in House (Hse. Com. No. 888).Minor
4. May 8Enrolled to Governor.To Governor
5. May 6Passed Final Reading, as amended (CD 1). Ayes, 25; Aye(s) with reservations: none . 0 No(es): none. 0 Excused: none.Major
  - Vote recorded Passed Final Reading as amended in CD 1. Result: pass.Lower
6. May 6Passed Final Reading as amended in CD 1 with none voting aye with reservations; none voting no (0) and none excused (0).Major
7. May 6Received notice of Final Reading (Sen. Com. No. 816).Minor
8. May 1Reported from Conference Committee as amended CD 1 (Conf. Com. Rep. No. 103-26).
9. May 148 Hrs. Notice (as amended CD 1) 05-06-26.
10. May 1Reported from Conference Committee (Conf Com. Rep. No. 103-26) as amended in (CD 1).
11. May 1Forty-eight (48) hours notice Wednesday, 05-06-26.
12. Apr 30The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. The votes of the Senate Conference Managers were as follows: 2 Aye(s): Senator(s) San Buenaventura, Moriwaki; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) McKelvey.Minor
  - Vote recorded The Conference Committee recommends that the measure be Passed, with Amendments. Result: pass.Lower
  - Vote recorded The Conference committee recommends that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
13. Apr 30The Conference Committee recommends that the measure be Passed, with Amendments. The votes were as follows: 4 Ayes: Representative(s) Lowen, Perruso, Amato, Matsumoto; Ayes with reservations: none; 0 Noes: none; and 0 Excused: none.Minor
14. Apr 27Conference Committee Meeting will reconvene on Thursday 04-30-26 10:00AM in conference room 325.
15. Apr 24Bill scheduled for Conference Committee Meeting on Monday, 04-27-26 10:00AM in conference room 325.
16. Apr 23Received notice of change in conferees (Hse. Com. No. 812).Minor
17. Apr 22House Conferees Added: Representative Amato added as Conferee.
18. Apr 22Senate Conferees Appointed: San Buenaventura Chair; Moriwaki Co-Chair; McKelvey.
19. Apr 22Received notice of Senate conferees (Sen. Com. No. 723).Minor
20. Apr 21House Conferees Appointed: Lowen, Perruso Co-Chairs; Matsumoto.
21. Apr 21Received notice of appointment of House conferees (Hse. Com. No. 800).Minor
22. Apr 16Received from House (Hse. Com. No. 752).Minor
23. Apr 16Senate disagrees with House amendments.Minor
24. Apr 16Received notice of disagreement (Sen. Com. No. 710).Minor
25. Apr 14Passed Third Reading with Representative(s) Amato voting aye with reservations; none voting no (0) and none excused (0). Transmitted to Senate.Passed House
  - Vote recorded Passed Third Reading. Result: pass.Lower
26. Apr 10Reported from FIN (Stand. Com. Rep. No. 2046-26), recommending passage on Third Reading.
27. Apr 10Deferred one day 04-14-26.Minor
28. Apr 7The committee on FIN recommend that the measure be PASSED, UNAMENDED. The votes were as follows: 16 Ayes: Representative(s) Todd, Takenouchi, Hartsfield, Hussey, Keohokapu-Lee Loy, Kitagawa, Kusch, Lee, M., Miyake, Morikawa, Perruso, Templo, Yamashita, Alcos, Reyes Oda; Ayes with reservations: Representative(s) Gedeon; Noes: none; and Excused: none.Minor
  - Vote recorded The committee on FIN recommend that the measure be PASSED, UNAMENDED. Result: pass.Lower
29. Apr 2Bill scheduled to be heard by FIN on Tuesday, 04-07-26 2:00PM in House conference room 308 VIA VIDEOCONFERENCE.
30. Mar 30Reported from EEP (Stand. Com. Rep. No. 1435-26) as amended in HD 1, recommending passage on Second Reading and referral to FIN.
  - Vote recorded Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN. Result: pass.Lower
31. Mar 30Passed Second Reading as amended in HD 1 and referred to the committee(s) on FIN with none voting aye with reservations; none voting no (0) and Representative(s) Cochran, Lowen, Perruso, Quinlan excused (4).Minor
32. Mar 24The committee on EEP recommend that the measure be PASSED, WITH AMENDMENTS. The votes were as follows: 5 Ayes: Representative(s) Lowen, Perruso, Chun, Kusch, Matsumoto; Ayes with reservations: none; 0 Noes: none; and 2 Excused: Representative(s) Kahaloa, Quinlan.Minor
  - Vote recorded The committee on EEP recommend that the measure be PASSED, WITH AMENDMENTS. Result: pass.Lower
33. Mar 23Bill scheduled for decision making on Tuesday, 03-24-26 11:00AM in conference room 325 VIA VIDEOCONFERENCE.
34. Mar 19The committee(s) on EEP recommend(s) that the measure be deferred until 03-24-26.Minor
35. Mar 16Bill scheduled to be heard by EEP on Thursday, 03-19-26 9:40AM in House conference room 325 VIA VIDEOCONFERENCE.
36. Mar 10Pass First ReadingMinor
37. Mar 10Referred to EEP, FIN, referral sheet 16Minor
38. Mar 6Report Adopted; Passed Third Reading. Ayes, 24; Aye(s) with reservations: Senator(s) Rhoads. Noes, 0 (none). Excused, 1 (Senator(s) Ihara). Transmitted to House.Passed Senate
  - Vote recorded Report Adopted; Passed Third Reading. Result: pass.Upper
39. Mar 6Received from Senate (Sen. Com. No. 114) in amended form (SD 1).Minor
40. Mar 5Reported from WAM (Stand. Com. Rep. No. 2762) with recommendation of passage on Third Reading.
41. Mar 5One Day Notice 03-06-26.
42. Mar 2The committee(s) on WAM recommend(s) that the measure be PASSED, UNAMENDED. The votes in WAM were as follows: 13 Aye(s): Senator(s) Dela Cruz, Moriwaki, DeCoite, Elefante, Hashimoto, Inouye, Kanuha, Kidani, Kim, Lee, C., Richards, Wakai, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 0 Excused: none.Minor
  - Vote recorded The committee(s) on WAM recommend(s) that the measure be PASSED, UNAMENDED. Result: pass.Upper
43. Feb 25The committee(s) on WAM deferred the measure until 03-02-26 10:01AM; Conference Room 211 & Videoconference.Minor
44. Feb 23The committee(s) on WAM will hold a public decision making on 02-25-26 10:55AM; Conference Room 211 & Videoconference.
45. Feb 17Reported from HHS (Stand. Com. Rep. No. 2291) with recommendation of passage on Second Reading, as amended (SD 1) and referral to WAM.
46. Feb 17Report adopted; Passed Second Reading, as amended (SD 1) and referred to WAM.Minor
47. Feb 6The committee(s) on HHS recommend(s) that the measure be PASSED, WITH AMENDMENTS. The votes in HHS were as follows: 4 Aye(s): Senator(s) San Buenaventura, McKelvey, Keohokalole, Fevella; Aye(s) with reservations: none ; 0 No(es): none; and 1 Excused: Senator(s) Kanuha.Minor
  - Vote recorded The committee(s) on HHS recommend(s) that the measure be PASSED, WITH AMENDMENTS. Result: pass.Upper
48. Feb 3The committee(s) on HHS has scheduled a public hearing on 02-06-26 1:00PM; Conference Room 225 & Videoconference.
49. Feb 2Referred to HHS, WAM.Minor
50. Jan 28Introduced.Minor
51. Jan 28Passed First Reading.Minor
52. Jan 26Pending Introduction.Introduced

Environment & Energy

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What it does

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More on this bill

Where it stands

Looking ahead

History

What it does

Where do you stand?

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More on this bill

Where it stands

Looking ahead

History