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Bill > S2589
NJ S2589
NJ S2589Sets State's mileage reimbursement rate at IRS rate for business use of automobile.
summary
Introduced
02/08/2024
02/08/2024
In Committee
02/08/2024
02/08/2024
Crossed Over
Passed
Dead
01/12/2026
01/12/2026
Introduced Session
2024-2025 Regular Session
Bill Summary
Under current law, the State's mileage reimbursement rate is $0.18 cents per mile, adjusted biannually to reflect changes in gasoline prices. Annual appropriations acts have adjusted this mileage reimbursement rate. This bill provides that the mileage reimbursement rate payable to a State officer or employee driving a private automobile on State business will be the same as the standard mileage rate established by the federal Internal Revenue Service (IRS) for the deductible cost of operating an automobile for business purposes. The bill repeals the provision of current law that requires adjustment twice each year to reflect changes in the price of gasoline.
AI Summary
This bill establishes that state officers and employees will be reimbursed for using their personal vehicles for official state business at the same rate set by the federal Internal Revenue Service (IRS) for business mileage deductions, replacing the current system where the state sets its own rate, which was previously adjusted twice a year based on gasoline prices. The IRS standard mileage rate is a figure the IRS provides annually to represent the average cost of operating a vehicle for business purposes, including expenses like gas, maintenance, and insurance. By adopting the IRS rate, the bill aims to simplify the reimbursement process and ensure it aligns with federal guidelines for business-related travel costs, while also repealing the previous requirement for the state to adjust its rate biannually based on gasoline prices.
Committee Categories
Budget and Finance
Sponsors (1)
Last Action
Introduced in the Senate, Referred to Senate Budget and Appropriations Committee (on 02/08/2024)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2024/S2589 |
| BillText | https://pub.njleg.gov/Bills/2026/S3000/2589_I1.HTM |
| BillText | https://pub.njleg.gov/Bills/2024/S3000/2589_I1.HTM |
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