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Lawmakers warn of alleged organized fraud in state bottle-deposit system
Summary
A committee discussion flagged possible organized fraud in the state's bottle-deposit program, with a speaker citing $6,500,000 in overpayments and a reported redemption rate spike to 123%. Lawmakers said the issue threatens businesses and the environmental goals of the program; no policy vote was taken on the bottle bill beyond raising it from concepts.
An extended committee exchange on item 11, the state's bottle-deposit program, centered on claims that processors and redemption centers are being targeted by organized out-of-state redeemers and that the program's economics are under severe stress.
Ken Reinke told the committee that processors have "paid 6,500,000.0 over their, their redemption rate they…
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