2202 - Mileage Reimbursement

Category

Travel/Relocation

Audience List

• Accounting Officers
• Budget Officers
• Claims Coordinators
• Employee Benefits Officers
• Labor Relations Officers
• Personnel Officers
• Personnel Transactions Staff
• Travel and Relocation Liaisons

Synopsis

This policy provides:

• Information about mileage reimbursement.
• Eligibility criteria.
• Reimbursement rates.

Introduction

Provisions in the following programs authorize the reimbursement of approved out-of-pocket expenses that are reasonably, actually, and necessarily incurred as a result of conducting state business:

• Travel Program
• Relocation Program

Statement

Eligibility Criteria

All excluded and represented employees may be eligible for reimbursement of the following authorized out-of-pocket expenses:

• Business mileage expenses
• Relocation mileage expenses

Mileage Reimbursement

For bargaining units (BUs) with an existing Memorandum of Understanding (MOU), if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

Employees may claim reimbursement for mileage expenses when they are authorized by their appointing authority to:

• Operate a privately owned vehicle on state business. 
• Incur mileage associated with a state-approved relocation. 

If the mileage reimbursement rate in an MOU is greater than the current Federal Standard Mileage Reimbursement Rate (FSMR), the difference between the current FSMR and the MOU mileage rate may be taxable.

Historical Mileage Reimbursement Rates

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

Effective July 1, 2006, per PML 2006-021, the Department of Personnel Administration (DPA), now the California Department of Human Resources (CalHR) adopted the FSMR for all excluded employees as follows:

• Approved business travel mileage incurred by use of a personal vehicle.
• Approved relocation mileage.

Effective July 1, 2006, per PML 2006-035, DPA adopted the FSMR for approved business travel mileage and approved relocation mileage for all represented employees (except BU 6) as follows:

• Approved business travel mileage incurred by use of a personal vehicle (all represented employees except BU 6).
• Approved relocation mileage (all represented new-hire employees except BU 6).

Effective January 1, 2007, per PML 2006-045, DPA updated the eligibility criteria for relocation mileage reimbursement to include all new-hire employees (except BU 6).

Effective May 16, 2011, per PML 2011-027, DPA adopted the FSMR for approved business travel mileage and approved relocation mileage for BU 6 employees.

Effective July 1, 2016, per PML 2016-020, CalHR adopted the Federal General Services Administration’s Privately Owned Aircraft Mileage Rate for excluded employees. Subsequently, effective July 1, 2016, per PML 2016-010, CalHR established the rate for privately owned aircraft mileage reimbursement at $1.29 per statute mile.

Transportation

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

Each state agency shall determine the necessity for travel, and the mode of travel to be reimbursed. Transportation shall be accomplished and reimbursed in accordance with the best interest of the state. Employees using an approved alternate method of transportation will be reimbursed only for the method that is in the best interest of the state. Transportation expenses include, but are not limited to: mileage reimbursement, bus/taxi fares, rental cars, parking, airplane, train, and tolls reasonably and necessarily incurred while conducting state business.

Transportation Reimbursement Rates

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

CalHR's Travel Reimbursements page lists the current FSMR.

Personal Vehicle Mileage Reimbursement Policy

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

When the Appointing Power or designee authorizes employees to operate a privately owned vehicle on state business, reimbursement will be made at the FSMR. Mileage reimbursement expenses cover the maintenance and use of the vehicle, including but not limited to: gasoline, up-keep, wear and tear, tires, all insurance including liability, collision and comprehensive coverage, breakdowns, towing and any repairs, and any additional personal expenses that may be incurred by employees as a result of mechanical breakdown or collision.

• When an employee is required to report to an alternate work location, the employee may be reimbursed for the number of miles driven in excess of his/her normal commute to work.
• Mileage to/from a Common Carrier – When the employee’s use of a privately owned vehicle is authorized for travel to or from a common carrier terminal, and the employee’s vehicle is not parked at the terminal during the period of absence, the employee may claim double the number of miles between the terminal and the employee’s headquarters or residence, whichever is less, while the employee occupies the vehicle. Exception to “whichever is less”: if the employee begins travel one hour or more before he normally leaves his home, or on a regularly scheduled day off, mileage may be computed from his/her residence.

Private Aircraft Mileage Reimbursement Policy

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

When an employee is authorized by his/her department, reimbursement for the use of the employee’s privately owned aircraft on state business shall be made at the current Federal Mileage Reimbursement Rate for privately owned aircraft. Pilot qualifications and insurance requirements will be maintained in accordance with CalHR regulations 599.628.1 (Excluded employees) and 599.628 (Represented employees) as well as applicable policy and procedures published by the Department of General Services’ Office of Risk and Insurance Management.

Please note that if the mileage reimbursement rate in an MOU is greater than the current FSMR, the difference between the current FSMR and the MOU mileage rate may be taxable.

Receipt Policy

For BUs with an existing MOU, if the MOU contains state business, travel and relocation language that is in conflict with this policy, the MOU language shall be controlling.

Reimbursement will be claimed only for actual and necessary business, travel, and relocation expenses. Regardless of any exceptions to receipt policy, the approving officer may require additional certification and/or explanation from an employee to determine expenses were actually and reasonably incurred. In the absence of a satisfactory explanation, the expense shall not be allowed.

Receipts shall be submitted for every item of expense of $25 or more except for meal and incidental expenses. When receipts are not required to be submitted with a travel expense claim, it is the employee’s responsibility to maintain receipts and records of their actual expenses. Receipts must be made available for audit upon request by employing departments, state control agencies and/or the Internal Revenue Service. Receipts are required for every item of transportation and business expense incurred as a result of conducting state business.

The following actual expenses are an exception to the receipt policy:

• Railroad and bus fares of less than $25 when travel is wholly within California.
• Street car, ferry fares, bridge and road tolls, local rapid transit system, taxi, shuttle or hotel bus fares, and parking fees of $10 or less for each continuous period of parking or each separate transportation expense noted in receipt policy.
• Telephone, fax, or other necessary state business costs of $5 or less.
• The absence of a receipt shall result in the reduction of the amount claimed to the non-receipted amounts above.

Application

Authorities

• Bargaining Contracts - MOUs
• California Code of Regulations, title 2, sections 599.615 to 599.638.1 - Traveling Expenses
• California Code of Regulations, title 2, sections 599.714 to 599.724.1 - Moving and Relocation Expenses
• Executive Order B-06-11
• Executive Order B-5-11
• Government Code section 18502
• Government Code sections 11030 to 11033.5 - Traveling Expenses
• Government Code section 19815.4 - General
• Government Code section 19820 - Claims for Reimbursement

Resources

Forms

• STD 261: Authorization to Use Privately Owned Vehicles on State Business
• STD 262: Travel Expense Claim
• STD 265: Insurance Verification & Authorization to Operate Privately Owned/Rented/Leased Aircraft on State Business

Web Pages

• CalATERS: California Automated Travel Expense Reimbursement System
• General Services Administration: Privately Owned Vehicle (POV) Mileage Reimbursement Rates
• General Services Administration (Archive): POV Mileage Rates (Archived)
• Internal Revenue Service IR-2023-239: IRS Issues Standard Mileage Rates for 2024
• Payroll Procedures Manual : State Controller's Office PPM
• State Controller’s Office CalATERS Letter 23-002: 2023 Mileage Reimbursement Rate for use of a Personal Vehicle
• Statewide Travel Program: Department of General Services State Travel Portal
• Travel Reimbursements: Travel Reimbursements

Authorized By

Benefits Division
Benefits Division Inquiries
Benefits Division

Contact Person

Travel and Relocation Reimbursement
CalHR
Phone: 916-909-2863
Email: travelmanager@calhr.ca.gov

Superseded Policies

History

View History