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<br />e <br /> <br />e <br /> <br />e <br /> <br />CITY OF ARDEN HILLS <br /> <br />MEMORANDUM <br /> <br />DATE: <br /> <br />December 29, 1998 <br /> <br />TO: <br /> <br />Mayor and City Council <br />16\ <br />Brian Fritsinger, City Administrato@ <br /> <br />FROM: <br /> <br />SUBJECT: <br /> <br />Increase in Milea~e Reimbursement <br /> <br />Background <br />The Internal Revenue Service (IRS) has set the 1999 automobile mileage reimbursement rate at <br />31 cents per mile. Employers may reimburse employees for substantiated business miles at this <br />rate. <br /> <br />The City Council has historically taken action that allows the City employee reimbursement rate <br />to match the IRS rate. The decrease from 32.5 cents to 31 cents represents a 4.8% reduction. <br />The City Council may also wish to take action which automatically makes this adjustment on an <br />annual basis, subject to the determination of the IRS. <br /> <br />Recommendation <br />Staff recommends that Council consider approving the 1999 mileage reimbursement rate of 31 <br />cents per mile as permitted by the IRS, and further directs the City Administrator to adjust this <br />rate on an annual basis, subject to the determination of the IRS. <br /> <br />BF/sls <br />