IFTA Off-Highway Refunds: BIG Wins Without Crossing State Lines

November 13, 2025
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Off-highway fuel use is one of the most overlooked rebate opportunities in the IFTA framework. While most IFTA conversations focus on interstate travel, off-highway movement is often where fleets can capture immediate savings—and several states allow refunds without requiring gated or fenced property.

This article stays laser-focused on off-highway fuel, not cross-state compliance.

So.. What Exactly Counts as Off-Highway Use?

Well it depends, and it vary by states, generally off-highway use includes:

  • Job-site movement
  • Travel on gravel, dirt, or unmaintained roads
  • Forestry, mining, ag, or industrial site activity
  • Terminal or yard movement
  • Any area not maintained by a public agency

States With Easier Off-Highway Refund Rules

Below are some states that do not require gated or restricted property for off-highway eligibility. Each focuses on whether the road is publicly maintained, not whether the site is fenced.

Minnesota

Surface & maintenance, not access control

North Dakota

Any non-highway surface qualifies

South Dakota

Broad definition of non-public roads

Idaho

Private or non-maintained roads—gated or not

Oregon*

Weight-mile refunds for off-road operation


Many fleets still assume:

“Off-highway refunds only apply if we’re inside a gated yard.”

That’s not the rule in several states.… AND your fleet may qualify for refunds even on open-access job sites or industrial complexes. Far more locations qualify as off-highway than most fleets realize. Shopping centers, storage yards, customer facility complexes, distribution lots, equipment yards, freight terminals, and similar areas often sit on privately owned or non-maintained surfaces. Even though these sites may be open-access and look like everyday drive-through areas, they typically meet the threshold for off-highway use because they are not maintained by a public road authority. This creates consistent, legitimate refund opportunities that MANY traditional fleets overlook.

How Telematics Makes Off-Highway Capture Easy

If you're already running Motive, Samsara, or Geotab, you already have 90% of what you need to capture off-highway fuel accurately.

The key is having powerful geofences that can:

  1. Precisely outline job sites, gravel lots, pits, quarries, terminals, and non-public roads
  2. Track entry and exit events reliably 
  3. Support exportable mile or engine-hour reports for your IFTA filings
  4. Handle irregular shapes (polygon-based geofences)
  5. Scale across hundreds or thousands of privately owned sites

Modern telematics provides:

  • The ability to capture and report on off-highway mileage
  • Time-on-site metrics
  • Engine-load/idle detail (useful in some refund programs)
  • Mileage on site, or fuel consumed on site
  • Clean audit trails for state review

When combined with strong geofence logic, off-highway recovery becomes a repeatable, paperwork-light workflow instead of a manual headache

Practical Takeaways

  • Don’t assume a gate is required—many states don’t care.
  • Use telematics to automate the entire capture process.
  • Off-highway refunds often pay for themselves in the first quarter of tracking.

If you are interested in learning more about off-highway fuel rebates and IFTA. Reach out today! www.kestrelinsights.com

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