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State Lowers Reimbursement Rate

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CENTRAL OHIO -- When a state worker drives his or her own car on the job, you might expect the state to reimburse the employee. But you don't expect the state to overpay.

An NBC 4 investigation found the state was doing just that.

During the past five years, the state paid out $61 million to state employees to cover gas, insurance and maintenance.

NBC 4 analysis found Ohio has been dramatically overpaying state workers for their expenses at 50.5 cents per mile.

NBC 4's Patrick Preston took these concerns to the state, and following the inquiries, the state is making a cost-cutting move that will save taxpayer dollars.

Preston looks at where the reimbursement program stood.

NBC 4 first reported on the state's overly generous 50.5 cent mileage reimbursement rate in March.

One Ohio parole officer drove away with more than $12,000 in mileage reimbursements last year, while 15 coworkers averaged more than $7,200 in mileage payments.

Meanwhile states such as Kentucky and New Mexico pay employees as little as 32 cents per mile.

Less than six weeks later, the governor has lowered the reimbursement rate to 45 cents and ordered that state employees will not be reimbursed for gas mileage if they go over 4,000 miles in a given year.

Strickland's executive order also required state employees to use a state vehicle when possible.

"If there is one readily available and they still use their personal car, that travel will not be deemed authorized, and the governor has told me that I am not allowed to reimburse them for that trip," Director of the Office of Budget Management Pari Sabety said.

By NBC 4's estimates, based on 2008 spending, the lowered reimbursement rate should save the state more than $1 million a year.

Employees also have been ordered to use teleconferencing or web seminars when possible to avoid travel costs.

For additional information, stay with NBC 4 and refresh nbc4i.com -- Where Accuracy Matters.
To submit a story idea or news tip, e-mail stories@nbc4i.com.
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