Bill Text: NJ S262 | 2022-2023 | Regular Session | Introduced
Bill Title: Sets States mileage reimbursement rate at IRS rate for business use of automobile.
Spectrum: Partisan Bill (Democrat 2-0)
Status: (Introduced - Dead) 2023-06-12 - Referred to Senate Budget and Appropriations Committee [S262 Detail]
Download: New_Jersey-2022-S262-Introduced.html
STATE OF NEW JERSEY
220th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2022 SESSION
Sponsored by:
Senator SHIRLEY K. TURNER
District 15 (Hunterdon and Mercer)
SYNOPSIS
Sets States mileage reimbursement rate at IRS rate for business use of automobile.
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel.
An Act concerning mileage reimbursement to State officers and employees, amending P.L.1943, c.188 and repealing section 2 of P.L.1980, c.19.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. Section 1 of P.L.1943, c.188 (C.52:14-17.1) is amended to read as follows:
1. All mileage in lieu of actual expenses of transportation allowed an officer or employee of the State traveling by [his] the person's own automobile on official business away from [his] the person's designated post of duty or official station shall be at the standard mileage rate [of $0.18 per mile unless otherwise adjusted by law] set by the federal Internal Revenue Service, or its successor, and in effect at the time the expense is incurred, to calculate deductible costs of operating an automobile for business purposes.
(cf: P.L.1980, c.19, s.1)
2. Section 2 of P.L.1980, c.19 (C.52:14-17.1a) is repealed.
3. This act shall take effect immediately.
STATEMENT
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.
State law provides that the State's mileage reimbursement rate would be 18 cents per mile and that this rate would be adjusted biannually to reflect changes in gasoline prices. Annual appropriations acts have adjusted this mileage reimbursement rate. It is necessary to establish the State's rate at the same level as the IRS rate (as adjusted periodically for inflation) in order to fairly compensate State officers and employees who drive their own vehicles on public business.
The bill repeals N.J.S.A.52:14-17.1a which provides that the $0.18 per mile rate in the law would be adjusted twice each year to reflect changes in the price of gasoline.
