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Counties edge closer to funds as National Assembly passes Allocation Bill

Counties edge closer to funds as National Assembly passes Allocation Bill
Members of the National Assembly
In Summary

The Bill, which now heads to President William Ruto for assent, outlines how the shareable revenue will be distributed, with more populous counties receiving the largest amounts under the revenue-sharing formula approved by Parliament.

Counties are now one step away from receiving their share of national revenue after the National Assembly approved the County Allocation of Revenue Bill, setting the stage for the disbursement of Sh415 billion among the 47 devolved units.

The Bill, which now heads to President William Ruto for assent, outlines how the shareable revenue will be distributed, with more populous counties receiving the largest amounts under the revenue-sharing formula approved by Parliament.

Nairobi is set to receive the highest allocation at Sh21.4 billion, followed by Nakuru with Sh14.4 billion. Turkana and Kakamega counties have been allocated Sh13.8 billion and Sh13.6 billion respectively.

On the other end of the scale, Taita Taveta will receive Sh5.7 billion, Isiolo Sh5.6 billion, Elgeyo Marakwet Sh5.5 billion, Tharaka Nithi Sh5.05 billion, and Lamu Sh3.8 billion — the lowest of all the counties.

During debate in the National Assembly, lawmakers voiced familiar frustrations about how counties spend the funds, particularly criticising what they termed as wasteful expenditure on non-development activities.

“County governments have been spending a lot of money on recurrent expenditures at the expense of development, and it is the decision of the Senate and the Commission of Revenue Allocation that this money be cut,” said Alego Usonga MP Samuel Atandi, who chairs the Budget and Appropriations Committee.

Atandi defended the Sh3.57 billion increase in allocations to county assemblies, saying the funds would boost their oversight role over county executives.

Majority Whip Silvanus Osoro urged county governments to ensure the money serves its intended purpose. “We really send huge amounts to the counties, but you hardly see what it does,” said the South Mugirango MP.

Minority Whip Millie Odhiambo also criticised governors for what she described as poor planning and misplaced priorities. She further weighed in on the ongoing debate on whether the National Government Constituency Development Fund should be redirected to county governments.

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