STATE OF CONNECTICUT
NANCY WYMAN COMPTROLLER	OFFICE OF THE STATE COMPTROLLER 55 ELM STREET HARTFORD, CONNECTICUT 06106-1775	MARK OJAKIAN DEPUTY COMPTROLLER

MEMORANDUM NO. 2002-03

January 25, 2002

TO THE HEADS OF ALL STATE AGENCIES

I. PURPOSE

The purpose of this memorandum is to notify agencies of increases in the General Services Administration (GSA) mileage reimbursement rate and the standard mileage rate and to clarify what each rate is used for.

II. AUTHORITY

In accordance with the Federal Register dated January 15, 2002 and General Notice 2002-01 from the Office of Labor Relations.

III. GSA MILEAGE RATE

The General Services Administration of the Federal Government sets the mileage reimbursement rate for federal employees. The GSA rate is the mileage reimbursement rate for use of a privately owned vehicle on official work-related travel. The General Services Administration mileage reimbursement rate is increased from 34.5 cents to 36.5 cents per mile for use of privately owned automobiles when authorized as advantageous to the Government. By Federal law, the GSA mileage reimbursement rate cannot exceed the IRS standard mileage rate.

IV. IMPACT ON STATE MILEAGE REIMBURSEMENT RATES

The GSA rate is used as the mileage reimbursement rate for many State of Connecticut collective bargaining units. The "mileage reimbursement rate" under many State collective bargaining unit agreements is subject to upward adjustment within 30 days of the revision to the Federal GSA rate. Agencies should refer to the applicable collective bargaining agreements for details.

 

The mileage reimbursement rate increase is effective for travel on or after February 21, 2002 for employees using personally owned vehicles for official State business.

 

The increased rate applies to Managers, Confidential and non-represented employees and the following collective bargaining units: NP-2, NP-3, NP-4, NP-5, NP-6, NP-7, P-1, P-2, P-3A, P-3B, P-4 and P-5.

 

Managerial employees governed by the Boards of Higher Education are notified by their respective boards.

V. STANDARD MILEAGE RATE

The standard mileage rate is set by the Internal Revenue Service for business use of an automobile. The Internal Revenue Service announced in Revenue Procedure 2001-54 that the standard mileage rate for business use of an automobile has been increased to 36.5 cents per mile effective January 1, 2002. The rate for moving expense purposes has been increased to 13 cents per mile.

 

The standard mileage rate is used as a criterion for determining W-2 reportability of mileage reimbursements made for business use of personal vehicles. The excess of an employee's mileage payment reimbursed at a rate higher than the standard mileage rate of 36.5 cents is reportable.

VI. PAYROLL PROCEDURES

The CO-17XP-PR, Employee Payroll Reimbursement form is to be completed when reimbursing an employee for mileage. The payment is processed through the Payroll Services Division.

A. Payroll coding information for non-reportable mileage payments is as follows:

 

B. Payroll coding information for reportable mileage payments is as follows:

 

VII. 9916 TRAVEL AND TRAINING FUND

The procedure for reimbursements paid from the 9916 Travel and Training Fund is outlined in Comptroller's Memorandum No. 2000-28. Non-reportable and reportable reimbursement portions are submitted on one CO-17XP-PR.

 

Please refer to Memorandum No. 2000-28 for 9916 coding information.

VIII. QUESTIONS

Please direct questions or requests for assistance as follows:

 

Personnel Issues: Agency Personnel Officer;

 

Payroll Procedures:

 

On-line: Payroll Services Division, (860) 702-3463

Remote Job Entry: Payroll Services Division, (860) 702-3458;

 

Memorandum Interpretation: Policy Services Division, (860) 702-3440;

 

9916 Travel and Training Payments Procedures:

 

Comptroller's Business Office, (860) 702-3335.

NANCY WYMAN
STATE COMPTROLLER

NW:CH

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