The National Parents Association (NPA) has warned that school operations may soon grind to a halt due to delayed disbursement of capitation funds.
The association noted that already, some schools are unable to pay suppliers who have withdrawn services.
The government has admitted challenges in releasing the full capitation due to the high number of students who joined Form One as part of the 100 transition plan.
Kenya National Union of Teachers (Knut) and Kenya Union of Post Primary Education Teachers (Kuppet) have accused the Kenya Kwanza government of not doing enough to address the crisis in the education sector.
So far, the government has released 25 per cent out of 50 per cent of the capitation funds for the first term adversely affecting learning in public schools.
NPA Secretary General Eskimos Kobia said the financial crisis was a recipe for chaos in public schools across the country.
He regretted that due to the delay in releasing the funds, subordinate staff in the schools had gone without salaries while suppliers had withdrawn services.
"Failure by the government to release the capitation funds is a major threat to the education system and some schools are already contemplating closing early as they have run out of food," he said.
Addressing the Press in Naivasha, Kobia noted that the financial crisis had affected the morale of head teachers who have resorted to hide-and-seek games with suppliers.
A senior official from Kenya Secondary School Heads Association (Kessha) admitted that all was not well in the education sector.
The official who alleged intimidation and threats from the Ministry said that they had sought audience with the Cabinet Secretary over the pending capitation without success.
"Secondary schools are suffering due to lack of financial support from the government forcing some to close early and this will have an effect on their performance," said the official.
Speaking earlier Knut Secretary General Collins Oyuu regretted that the government had reduced capitation for secondary schools from Sh21,000 to Sh17,000 without any explanation.
"Learning in our schools is on its knees and the situation is pathetic due to failure by the government to release the capitation fees as provided by the law," he said.
Oyuu said that as a result of the financial impasse, principals have been forced to send students home as they seek extra levies to run the institutions.