Proposed Travel Fee Increase Could Cost South Dakota Agency Over $300,000 | South Dakota

(The Center Square) — The South Dakota State Board of Finance will consider increasing mileage reimbursement for state employees at a public hearing on Tuesday.

The move would cost at least one agency more than $300,000 a year, according to a tax note filed with the office of the South Dakota Secretary of State.

The proposed change would increase reimbursement from 42 cents to 51 cents per mile for employees who drive their private vehicle outside of the city where they work.

Employees who choose to drive their own vehicle when a public vehicle is available would be reimbursed 28 cents per mile, an increase of five cents from the current rate.

Employees with special needs would receive a reimbursement of 68 cents per mile, compared to 56 cents for vans, pickups or other special utility vehicles. The rate jumps from nine cents to 51 cents per mile for other motor vehicles for employees with special needs, according to the information.

The increase would cost the Department of Social Services an additional $331,646 per year, according to the proposal.

According to the proposal, the change is necessary to cope with rising travel costs.

Tuesday’s public hearing begins at 2 p.m. in the small governor’s conference room on the 2nd floor of the state capitol in Pierre. Online comments are also accepted on website.

The State Board of Finance is chaired by Governor Kristi Noem. Other members are the Secretary of State, Attorney General, State Auditor, State Treasurer, Commissioner of the Department of School and Public Lands, and Commissioners of the Office of Administration and Office of Finance and management.