ANGLICARE FINANCIAL COUNSELLING CONFERENCE 13 OCTOBER 2015

NEALE BUCHANAN

DIRECTOR MONETARY PENALTIES ENFORCEMENT SERVICE

MPES collects infringement notices and court imposed fines on behalf of government departments and local government councils

These activities are conducted predominantly in a call centre environment (through inwards and outwards calls) but also in field situations as part of focussed enforcement activity and projects

MPES IN A NUTSHELL

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WHEN PAID PERCENTAGE MPES ACTIONOn time 28% No enforcement

action requiredLess than 30 days after due date

12% Minimal enforcement action required (statements)

Between 30 and 180 days

11% Moderate enforcement action required by MPES (administrative sanctions)

Greater than180 days

49% Intensive contact and enforcement action (civil sanctions)

HOW DILIGENT ARE TASMANIANS IN PAYING THEIR FINES?

3

2008/2009 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 Last quarter Current$64,000,000

$64,500,000

$65,000,000

$65,500,000

$66,000,000

$66,500,000

$67,000,000

$67,500,000

$68,000,000

$68,500,000

$69,000,000

HISTORICAL VALUE OF ALL OUTSTANDING PENALTIES

$48,700,000

$19,200,000

Consolidated Revenue Other

WHERE IT’S OWED

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South North North West Other

$0

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

0

5000

10000

15000

20000

25000

30000

Value Number

BY REGION

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33,420

20,459

826

MaleFemaleCorporation/Part-nership

GENDER/LEGAL ENTITY

7

8

AGE OF DEFAULTED DEBT

30 Days 60 Days 90 Days 180 Days 1 Year 3 Years 5+ Years $-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

0

500

1000

1500

2000

2500

$-

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

$16,000,000

$18,000,000

2240

565

100 15 23 1

Value Number

DEBT PROFILE - OWE OVER $5000

9

$0-$100 $100-$500 $500-$1,000 $1,000-$5,0000

5,000

10,000

15,000

20,000

25,000

30,000

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

8,610

26,456

6,672

10,422

Value Number

DEBT PROFILE – OWE LESS THAN $5000

10

On a Payment Plan

Ad Hoc Payment Made During

Year

In Custody No payment made during

year

0

2

4

6

8

10

12

14

16

18

20

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000 19

4

8 8

Value Number

PAYMENT STATUS OF DEBTORS OWING MORE THAN $50,000

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2010/2011 2011/2012 2012/2013 2013/2014 2014/20150

2000

4000

6000

8000

10000

12000

14000

16000

SANCTIONS

Sanction Type Sample numbers

% of accounts on which a payment was

subsequently made within 28 days

% of accounts which were

subsequently paid in full within

28 daysName Publication 783 12% 0%Suspension of motor vehicle registration

1043 17% 0%

Suspension of driver’s license

929 46% 5%

EFFECTIVENESS OF SANCTIONS

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ISSUES

• Inconsistency in approach• Lack of transparency in our policies (if we have

them)• Waiting for the Director to make all the decisions• High levels of old debt with no plan on how to

collect it• No prioritisation of defaulted accounts• No structured, consistent process to deal with

defaulted new debt/PVs• Tensions in the workplace culture – service v

combat

OUR NEW STRATEGY

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WHAT’S THE POINT IN HAVING A STRATEGY?“If you don't know where you're going, you will probably end up somewhere else.”

Laurence J. Peter

Are we simply a revenue raiser for government?Are we punishers of people who don’t want to pay their fines?Or are we part of the system of justice?

“The Monetary Penalties Enforcement Service is an output of the Department of Justice.

Through the collection of monetary penalties imposed by public sector bodies, we ensure that such penalties effectively contribute to the achievement of the Department’s aim of a fair, just and safe Tasmania.”

REFOCUSSED ON OUR PURPOSE

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DEVELOPED SOME RELEVANT AND CLEAR VALUES

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OUR VALUES

As employees of the department of Justice we act in accordance with the State Service Principles and the required behaviours of department employees. Our clients come from diverse backgrounds and circumstances and at all times we deal with them in a manner that:

• Respects them and their individual circumstances • Shows no personal bias, prejudice or improper

motive• Displays integrity• Is co-operative, inclusive and open• Demonstrates accountability for our actions and

decisions

• Removing a license suspension• Standard approach to persons on

Centrelink benefits• Name publications• Requirement for a written application for

a variation of payment conditions• Lifting the veil of secrecy

REVIEWING AND FORMALISING OUR POLICIES

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1. Aggressively deal with the ancient debt• If we can’t find them, write the debt off

2. Take a project approach to existing defaulted debt that is less than 5 years old

3. Ensure all defaults from payment plans receive a personal and early contact

4. Have a consistent enforcement process that we apply to all new fines that are not paid by the due date

IDENTIFIED 4 PRIORITIES TO IMPROVE OUR PERFORMANCE

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QUESTION TIME

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