Covid-19: 559 quarantine and managed isolation invoices sent, but only 23 paid

Only 23 individuals or families have paid for their stays in managed isolation and quarantine facilities since a new payment system was introduced two months ago, recovering just $ 72,250, according to new data from the Ministry of Business, Innovation and Employment (MBIE).

The government introduced the payment plan to moderate criticism that taxpayers were paying the bill for tens of thousands of New Zealanders who chose to return home.

But the new figures show that the effort has done more to placate critics than offset government costs for mandatory 14-day stays in border hotels, with the goal of keeping Covid-19 out of the community.

“This scheme was never likely to raise so much money or bear a greater share of the costs, because there are so few people going through managed isolation who would end up having to pay because the conditions were quite restrictive,” Eric said. Crampton, chief economist for the New Zealand Initiative, a Wellington-based think tank.

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“It was always helpful in deterring low-value trips rather than charging people who would go through the system,” he said.

A total of 20,017 people arrived in New Zealand between Aug. 11, when the government introduced the new payment system, and on Wednesday of last week, the New Zealand Customs Service said.

Returnees are exempt from paying if they left the country before the collection system was introduced and plan to stay in New Zealand for at least 90 days.

Waivers were also available to some temporary visa holders, critical workers, those facing hardship, refugees, Australian deportees, as well as diplomats and consular personnel.

A total of 1,033 invoices were issued for isolation and quarantine fees (invoices for stays, not for individuals), but MBIE granted exemptions to 474 and they were not required to pay anything.

Of the remaining 559 invoices that have been issued, only 23 have been paid so far, according to MBIE figures.

Managed Isolation and Quarantine (MIQ) fees are $ 3,100 for the first person in each room, another $ 950 for each additional adult sharing the room, and $ 475 for each child ages 3-17.

At the time the charging system was introduced, Megan Woods, the minister in charge of MIQ, said the rates covered “less than half the average total cost” for stays at MIQ. The government expected to recover less than $ 10 million of the $ 499 million budgeted for the quarantine and isolation regime.

At a press conference in Christchurch on Monday, Woods confirmed that he was receiving “reports” on the number of invoices issued by MBIE.

Those who are required to pay for their solitary stays have 90 days to pay their bills, which means that none of the bills are past due.

“Of course, none of those bills are on their final due date yet, because there was a 90-day pay period. We have received some payments and the correct number of invoices have been issued, ”Woods said.

She “had no reason to think” that the waiver requests were not being properly evaluated.

The government introduced the Covid-19 Public Health Response Amendment Act to “balance the rights of New Zealanders to return home and help reduce pressure on the system” in mid-August.

A total of 57,663 people had spent 14 days at the MIQ facilities from March 26 to October 4.