A showdown over the allocation of funds to counties unfolded at Parliament Buildings as Senators and Members of the National Assembly failed to agree on a common figure in the ongoing mediation on the Division of Revenue Bill, 2025.

The Senate, pushing for more funding to counties, stood its ground on Sh428 billion, while the National Assembly proposed a lower figure of Sh409.5 billion, citing economic constraints.

The mediation was triggered after the two Houses approved different versions of the Bill. The National Assembly had passed an allocation of Sh405.1 billion to counties, while the Senate raised the figure to Sh465 billion, prompting a mediation committee to try and reconcile the numbers.

At the heart of the debate is the Senate’s insistence on using the 2023/2024 audit report as the basis for calculating the county equitable share.

Led by Mandera Senator Ali Roba, the Senate delegation on Monday urged MPs to raise the allocation to Sh435 billion, arguing that counties must be fully supported to manage devolved functions.

“In the current budget, Sh2 billion has been allocated to provide maternity services in level 3 and 4 hospitals. Primary healthcare is devolved and, therefore, this money should be sent to the counties,” said Senator Eddy Oketch.

Elgeyo Marakwet Senator William Kisang’ backed the proposal, calling on MPs to approve the latest audited accounts from the Auditor General as the fairest foundation for revenue sharing.

Kakamega Senator Boni Khalwale dismissed claims that the Senate was undermining national departments, stating, “We are pushing so that counties can be given what is rightfully theirs.”

But MPs on the National Assembly side pushed back, warning that the country’s fragile economy could not sustain the Senate’s proposals. Alego Usonga MP Sam Atandi cautioned that raising the allocation could strain already tight public finances.

“The finance bill is not generating much revenue. Where will we get the additional funds? Let us give counties what is reasonable,” asked Aldai MP Marianne Kitany.

Kilifi North MP Owen Baya challenged the Senate to base its demands on realistic economic data, while Mombasa MP Zamzam Mohamed stressed the need to settle on a figure that reflects the country’s financial situation.

Despite hours of deliberations, the meeting ended in a stalemate, with no consensus reached. The Senate insisted on Kshs428 billion, while the National Assembly stood by Kshs409.5 billion, leaving the fate of county funding hanging in the balance.