Counties to receive Sh50.5 billion as Senate unlocks funds

Counties to receive Sh50.5 billion as Senate unlocks funds
Senate Majority Leader Aaron Cheruiyot. PHOTO/Nairobi Leo

After months of financial uncertainty, the Senate has approved the release of Sh50.5 billion to county governments, unlocking funds for crucial projects that had stalled due to a prolonged funding standoff.

The decision, reached during a special sitting, is expected to ease financial pressure on counties and facilitate the completion of long-delayed initiatives.

The County Governments Additional Allocation Bill received backing from senators, who urged county leaders to ensure that the funds are utilized efficiently.

The allocation includes conditional grants for key programs such as the County Aggregation and Industrial Parks initiative and the Community Health Promoters project.

A portion of the funds will also be used to settle salary arrears for healthcare workers, fulfilling part of the 2017-2021 Collective Bargaining Agreement that has remained unresolved.

Senate Majority Leader Aaron Cheruiyot criticized the prolonged delays in releasing the funds, warning that the bill should not be used as a tool to weaken devolution.

He expressed frustration over the eight-month holdup, which has affected counties’ ability to implement essential projects.

“It is embarrassing that the push and pull between the Senate and National Assembly has stalled the implementation of the bill, with the Sh10 billion Roads Maintenance Levy Fund at the center of contention,” said Cheruiyot.

He called for swift action to ensure that counties receive their allocations without further delays, lamenting that passing the bill this late in the financial year was regrettable.

Cheruiyot also noted that part of the funds will go toward the construction of county headquarters, some of which have been incomplete for over a decade.

He urged senators to closely monitor these projects to prevent mismanagement, cautioning against the risk of wasting public funds on structures that may remain underutilized.

Additionally, he emphasized the need for counties to focus on producing raw materials for industrial parks instead of solely investing in modern infrastructure that may not yield economic benefits.

He suggested that the Senate Finance Committee assess whether separate funding allocations would enhance oversight and accountability.

Senate Chief Whip Boni Khalwale echoed concerns about the delays, noting that they have caused confusion even among donors.

He pointed out that while funds meant for county projects remain idle in bank accounts due to political and bureaucratic wrangles, interest continues to accumulate, worsening the financial burden.

“Governors, Senators, and Members of the National Assembly have become the enemies of the people. This bill is meant to ensure counties function effectively. The success or failure of this country depends on how leaders act,” he said.

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