HOME STORAGE - 4109

(Revised: 10/2019)

(Renumbered from 4144 and Revised 10/2019) 

DEFINITION OF VHSP

A VHSP is required for any employee who stores a state vehicle at or in the vicinity of his/her home on a frequent basis as defined by CCR, Title 2, Section 599.808 (d).

Section 599.808 (d) requires the Department of General Services (DGS) to prescribe the rules and procedures relating to the home storage of state vehicles as well as to review and approve VHSPs at DGS’ discretion.

OVERVIEW

The Department of General Services (DGS) requires that vehicle home storage permits (VHSPs) issued by state agencies shall adhere to policies outlined in section VHSP Requirements and meet the criteria of essential or cost effective permits as noted in section Criteria for Essential & Cost-Effective Permits. DGS requires the use of criteria that augment those provided in the CCR, Title 2, Section 599.808. Further, agencies shall use the revised STD 377, Vehicle Home Storage Permit/Request Form  when requesting vehicle home storage permits.

Storage of state-owned mobile equipment at an employee’s residence on a regular basis requires an approved Vehicle Home Storage Request/Permit form, STD. 377, be on file with the employee’s department. Annual renewal of STD. 377 is required. See DPA Section 599.808 and OFAM State Fleet Handbook.

VHSP REQUIREMENTS

• State vehicles shall be used only in the conduct of state business, and that no state officer or employee shall use, or permit the use of, any state-owned motor vehicle other than in the conduct of state business (see Government Code Sections 19993.1-19993.8).
• State agencies utilizing non-exempt license plates on state vehicles must strictly adhere to the Department of Motor Vehicles (DMV) rules pursuant to Vehicle Code Sections 5001-5002.6, and DMV Form INV 218, Request for Nonexempt License Plates.
• State vehicles stored at or in the vicinity of an employee’s home more than 72 nights in a 12-month period, or 36 nights in a 3-month period, require a VHSP approved by the department head, deputy, or chief administrative officer pursuant to CCR Section 599.808 and STD 377, Vehicle Home Storage Request/Permit Form.
• Employers must apply facts and circumstances on a case-by-case basis to ensure they follow Internal Revenue Service and Franchise Tax Board regulations regarding taxable compensation for personal use of a state vehicle. The State Controller's Office Payroll Procedures Manual, Section N 129 et seq. has information that covers the taxable event triggered by state vehicle use, as well as the reportable/taxable amount to report and exceptions to the taxable reporting requirements (see State Administrative Manual Section 8572.4).
• State employees must report the taxable amount monthly on the State Controller's Office STD 676V, Non-USPS Adjustment Request-Values (Fringe Benefits/Employee Business Expense), and submit it to their department’s human resources office. If you have questions regarding the taxable amount or the STD 676V, please contact your department’s human resources office.

CRITERIA FOR ESSENTIAL & COST-EFFECTIVE PERMITS

Executive Order (EO) B-2-11 specifies that state agencies and departments may only issue VHSPs that are essential or cost effective. In continuance of this policy, DGS developed ongoing criteria to assist departments in their future determinations of essential and cost-effective VHSPs.

ESSENTIAL PERMITS

An essential VHSP is deemed necessary even though it may not be cost-effective; it must meet all of the following criteria:

• The individual must respond to emergency events after hours as a primary responder.
• The emergency responder must respond to the field, rather than to a state facility where his/her vehicle could be stored.
• The emergency responder must be able reach the emergency event within 30 minutes to no more than 1 hour.
• The emergency response must require specialized equipment that is not transferrable to a personal vehicle, or include activity that is not reasonable for a personal vehicle (i.e., taking a felon into custody).
• The emergency response must be for health and safety purposes (i.e., responding to hazards or criminal activity).
• The individual only takes a vehicle home when he/she is needed as a primary responder.
• The individual must respond to a minimum of 24 emergency responses per year. *

A department should not issue an essential VHSP to any employee who does not meet all of the above criteria. It is also incumbent upon the department to report/record information as necessary to support the issuance of an essential VHSP.

*DGS will allow an exemption process for essential VHSPs that cannot meet the minimum of 24 emergency responses per year if a department can demonstrate that there will be a significant health and safety risk to the public if this permit is not issued. A department is required to submit the STD 377, Vehicle Home Storage Request/Permit Form, to DGS for approval and to provide narrative to substantiate the critical need for each VHSP.

COST-EFFECTIVE PERMITS

A cost-effective VHSP must meet at least one of the criteria from both Category A and Category B:

Category A

1. The employee has a department-approved home office separate from the department’s facilities. Generally, the employee’s duty statement and personnel file will denote that his/her reporting office is his/her home.

2. The vehicle is essentially the employee’s office (i.e. performing requisite duties in the field on a daily basis directly from his/her home). However, the employee may still be required to occasionally work from a state office.

Category B

1. The employee’s job (as reflected on the official duty statement) requires substantial field work (greater than 50 percent), and it is more efficient for the employee to travel directly to the field work location.

2. The employee drives directly to the field from home and/or has work-related after-hour activities that account for 50 percent or more work days within a given month.

A department should not issue a cost-effective VHSP to any employee who does not meet the above criteria. It is also incumbent upon the department to report/record information as necessary to support the issuance of a cost-effective VHSP.

These general standards for cost effectiveness justify the use of a state vehicle versus reimbursement for the use of a personal vehicle or rental – it is not a justification for the state to pay for personal commute miles associated with taking a vehicle home. Providing for personal commuter transportation is not an obligation of the state.

ANNUAL CERTIFICATION

Beginning on January 2, 2014, and each year thereafter, state agencies shall submit a DGS OFAM 162 - VHSP Certification Form to DGS that denotes the number of VHSPs issued at that time. DGS may, at any time, request copies of the permits or a list of names and other specific data for the individuals who have been issued permits.

AUDIT REQUIREMENTS

DGS reserves the right to audit state agencies to ensure compliance with the VHSP requirements. DGS further reserves the right to withdraw a department’s ability to issue and approve its own VHSP pursuant to CCR Section 599.808 (d), if it is determined that a state agency is not in compliance with the VHSP policy.

The following required documents shall be on file and available upon request.

• DGS STD 273, Monthly Vehicle Travel Log shall be completed on a daily basis to record, among other things, the following: daily miles traveled, date and time of travel, itinerary, overnight storage information, and the driver’s name. VHSP annual certifications shall be completed each calendar year.

• VHSP requests (STD 377, Vehicle Home Storage Request/Permit Form) shall be completed for each applicable employee.

• VHSP annual certifications shall be completed each calendar year.

• VHSP requests (STD 377, Vehicle Home Storage Request/Permit Form) shall be completed for each applicable employee.

The minimum retention schedule for the required documents noted above shall be the current fiscal year and the preceding fiscal year.

Should a state agency conduct its own internal audit of its assigned VHSPs, it is required to provide the VHSP audit results and/or findings to the DGS Office of Fleet and Asset Management.