Pub. Resources Code, § 42968.61

(a) The producer responsibility organization shall retain an independent public accountant, certified in the United States, to annually audit the accounting books of the producer responsibility organization. The department shall review the independent certified public accountant audit for compliance with this chapter and consistency with the producer responsibility organization’s producer responsibility plan and annual report, submitted pursuant to this chapter. After the department conducts its own review of the audit, the department shall notify the producer responsibility organization of any conduct or practice that does not comply with this chapter and of any inconsistencies identified in the review of the audit. The producer responsibility organization may obtain copies of the department’s review of the audit, including proprietary information contained in the department’s review of the audit, upon request. The department shall withhold from disclosure confidential proprietary information to the extent allowed under Section 1040 of the Evidence Code and the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1 of the Government Code). The items submitted to the department as part of the review of the audit shall include all of the following:

(1) Financial statements audited in accordance with Generally Accepted Accounting Principles (GAAP).

(2) An audit of the producer responsibility organization’s compliance with this chapter.

(3) An audit of the producer responsibility organization’s adherence to, execution of, and consistency with its producer responsibility plan.

(b) No later than 18 months after the department approves the producer responsibility organization’s producer responsibility plan, the producer responsibility organization shall include the independent audit in the annual report submitted to the department pursuant to Section 42968.62. The department shall review the audit for compliance with this chapter and consistency with the producer responsibility organization’s producer responsibility plan.