Travel Update 05-02

The General Services Administration, under the Federal Government, has announced an increase in the mileage reimbursement rate for the use of personal vehicles while traveling on official government business. Effective January 1, 2005, the federal rate will increase from $0. 375/mile to $0.405/mile.

The mileage reimbursement rate for the use of a personal vehicle while traveling on State of Illinois business is in accordance with the federal government rate. However, Section 3000.300(f)(2) prohibits state agencies and employees from implementing this change until July 1, 2005.

Section 3000.300 (f)(2)

"Reimbursement for use of a private vehicle shall be on a mileage basis and shall be in accordance with the rate promulgated pursuant to 5 U.S.C. 5707(b)(2) and is shown in Appendix A, Reimbursement Schedule. However, in the event the rate set under the federal regulations changes during the course of the State's fiscal year, the effective date of the new rate shall be the July 1 immediately following the change in the federal rate."

The purpose of this Update is to inform state agencies and employees of the impending change and to explain how the change affects state travel. The information may also be helpful to agencies when preparing travel budgets for the next fiscal year.

Again, the State of Illinois mileage reimbursement rate for the use of personal vehicles will increase to 40.5 cents per mile effective July 1, 2005. The Governor's Travel Control Board will distribute another Travel Update prior to July 1 reminding agencies of this change.

As the appointed Travel Coordinator for your agency, it is your responsibility to disseminate this information to all appropriate personnel within your agency. If you have any questions, please contact Kelley Shaw, State Travel Coordinator, at (217) 782-4705.

MMR/ks