Power Simon: Sentencing (Offender Levy) Amendment Bill — Second Reading 
Power Simon: Sentencing (Offender Levy) Amendment Bill — Second Reading 
[Volume:658;Page:7047] 
Hon SIMON POWER (Minister of Justice) 
: 
 I move  
That the Sentencing (Offender Levy) Amendment Bill be now read a second time 
. This bill is another step towards the fulfilment of another election commitment from the National-led Government. I thank the Justice and Electoral Committee for its consideration of the bill and note the continued fine chairmanship of the member Chester Borrows who has worked under considerable pressure for a lengthy period of time on matters arising from the National-led Government’s first 100 days in office. My thanks also go to the other members of that committee from all parties as I am conscious that a fair amount of work was referred to the committee during 2008-09. 
After receiving 13 submissions and hearing seven submissions in person I am advised the committee has recommended that the bill be passed with amendments to clarify its intent and improve its consistency with the broader legislative framework for reparation and fines. As we know the bill provides for a $50 levy to be imposed on all convicted offenders who are sentenced in a District Court or High Court for one or more criminal convictions. The purpose of the bill is to ensure that offenders in a general sense contribute towards addressing the harm that criminal behaviour causes victims. Revenue generated from the offender levy—an estimated $13.6 million over the first 4 years—will be used to fund additional entitlements and services for victims of serious crime. 
The offender levy establishment costs of approximately $2.3 million in 2009-10 have been appropriated as part of Budget 2009-10. Collection costs from 2010-11 onwards will I am pleased to advise the House be largely covered by funding that was previously allocated to the disestablished Sentencing Council. This additional funding will also allow for new entitlements and services for victims of serious crime to begin in 2009 before collection of the levy commences. In the very near future I will be announcing more detail regarding those new entitlements and services for victims of serious crime. 
One issue raised by submitters to the select committee was that of fairness. They pointed out that those who committed serious crimes would incur the same $50 levy as those who committed minor offences. I reiterate that the offender levy is not a sentence. The seriousness of an offence is reflected in the actual sentence imposed on the offender. The committee recommended a sensible amendment to the bill regarding the provision of services to victims. New section 105J inserted by clause 7 is amended to require organisations approved under the bill to provide “services” to victims rather than “support”. The word “services” more accurately reflects the intention that approved agencies provide specific entitlements and services for victims of crime rather than the more nebulous concept of support. I have read the concerns of Labour members that “the levy could detrimentally affect reparation payments”. They do not understand the bill. I reassure victims of crime that the offender levy will not affect the payment of reparation to victims because the levy is to be paid after any order of reparation is collected. 
In addition the bill amends the Sentencing Act 2002 so that the court when it considers the final circumstances of an offender when awarding reparation to victims or imposing fines must not take into account the payment of the levy. Therefore the legislation is clear that the payment of reparation and fines is not to be affected by the levy. 
The bill specifies that existing enforcement processes under the Summary Proceedings Act 1957 be utilised to collect the levy when the offender also owes fines or reparations. Where only the levy is outstanding the bill provides for a modified enforcement process to be used to ensure cost-effectiveness. The committee has recommended amending the bill to allow for the sale proceeds of offenders’ confiscated vehicles to be used to pay outstanding levies in addition to fines and reparations. The bill also amends the definition of a fine in the Social Security Act 1964 to include the offender levy. This will allow Work and Income to disclose information—for example addresses and telephone numbers—to the courts to enable the location of any beneficiary who is in default of the payment of the offender levy. 
The Justice and Electoral Committee has also recommended amending the definition of a fine in the Tax Administration Act 1994 the Customs and Excise Act 1996 and the Immigration Act 1997. These amendments will allow those people who owe levies to be matched as part of the authorised information-matching programmes run by the Ministry of Justice and is a welcome addition to the bill. It will be a cost-effective way of finding a person who owes a levy and who is otherwise not in contact with the court. We support the amendments. 
Labour members have also expressed concern at the high administration costs of the offender levy. I consider that the cost of collecting the levy—approximately $1.3 million per annum—is a small figure compared with the estimated $13.6 million that the levy will generate after only 4 years. We must remember that this is money that victims of crime would never have otherwise received. As I said earlier the cost will also be offset by funding that had been set aside for the Sentencing Council. 
This Government has made the commitment to rebalance the criminal justice system—to shift the focus away from offenders and towards victims of crime. The offender levy which will provide ongoing funding to improve the welfare and well-being of victims of serious crime is an important first step in this process but I want to make it absolutely clear that it is by no means the end of our work in this area. I commend the bill to the House.