Reynolds Recycling is scheduled to reopen its redemption centers Friday after receiving a $707,514.20 check from the state Department of Health on Thursday.

Reynolds, the state’s largest certified container recycler, closed its 35 redemption centers statewide Thursday, which meant turning away those hoping to redeem their bottles and cans, citing $1 million in outstanding payments by the state.

About 105 of roughly 140 Reynolds employees stayed home without pay as a result, said Bruce Iverson, Reynolds marketing and development director.

Janice Okubo, Health Department spokeswoman, said there technically were no outstanding bills. State law requires that invoices be paid within 30 days. 

But because of the high volume of transactions and cash involved with redemption centers, "our system is set up to expedite payment within 10 days," she said.

Reynolds had not been paid for six invoices totaling about $250,000 that were submitted June 10 until Thursday afternoon, Okubo said. She said that’s due partly to a systems glitch tied to the change of the state’s fiscal year on June 30, as well as other paperwork-related issues. 

That’s beyond the 10-day period but within the 30-day legal requirement, she said. The rest of the $700,000-plus check was payment for invoices submitted June 17, Okubo said.

"It’s unfortunate that Reynolds thought it had to close," she said, saying that HI-5 staff work hard to try to make payments within 10 days.

Iverson disputed Okubo’s numbers. "We believe the total owed was substantially more than the amount we received, although it was a first, good move on their part," he said.

Besides being reimbursed for the deposit amount of 5 cents for every can or bottle it collects, Reynolds is paid a "handling fee" to send its containers off to be processed, Iverson said. Half is paid up front, the other half after it can show proof of recycling. 

There appears to be discrepancy over how much is supposed to be paid at what point, he said.