Natembeya calls for counties shutdown as cash crunch persists

Trans Nzoia Governor George Natembeya distributing milk to Kitale Township Primary School puipls. [File, Standard]

Trans Nzoia Governor George Natembeya wants the the 47 counties shut down as financial crisis persists over delayed disbursement of funds by the National Treasury.

Natembeya asked the Council of Governors (CoG) to shut down the devolved units, claiming that major operations have been paralysed thanks to the delayed release of sharable revenue by the National Treasury.

“I am asking the CoG to seriously consider closing all the counties. If the national government cannot give us the funds we need to function, what’s the point of continuing? It would be better to shut down operations than to keep struggling like this,” he said.

The governor said intergovernmental relations was worsening following the delayed funds that have sparked discontent and go-slow among county workers.

Natembeya regretted that national government employees continue to receive their salaries on time, while their counterparts working for counties are facing serious financial challenges.

He said governors were borrowing from banks to pay their workers, a move that was unsustainable. 

“The counties are really struggling right now. It is unfair that the national government employees have no issues getting their salaries, while we in the counties are borrowing from banks just to ensure that our staff can take home their pay. This is unsustainable, and something has to change.” Natembeya said.

He painted a grim picture of the situation on the ground saying essential services in the counties are grinding to a halt.

The governor said the cash crunch in counties had resulted in stalled development projects and ballooning of debts.

He revealed that many counties were unable to meet the financial obligations including payment of suppliers and contractors.

“It’s not just about paying salaries. We have critical projects that have been put on hold because we don’t have the money to proceed with them. Suppliers are calling every day, demanding payments we simply cannot make,” he said.

“We had to take a loan from Cooperative Bank to pay salaries for a month,” a visibly frustrated Natembeya said.

 “Is this how we’re supposed to be running county governments? It’s as though we’re being set up to fail,” he added.

He said the national government was neglecting its constitutional duty to ensure that counties are supported financially.

“The national government has been slow in disbursing funds to the counties. We were promised devolution, but it seems like the national government is more concerned with its own priorities. The promise of devolution is only meaningful if the counties are supported,” Natembeya stated.

The cash crunch has led to widespread protests by county workers who have gone for months without pay, while health services and other key sectors have been paralyzed in some counties. 

The National Treasury has attributed the delays in disbursements to budgetary constraints, but governors insist that counties were entitled to timely financial transfers to run their operations.

Natembeya emphasized that the situation requires urgent attention and called for an open dialogue between the national and county governments to resolve the standoff.

“We cannot keep operating in a crisis mode. I urge the national government to sit down with the CoG and other stakeholders to find a solution. The survival of devolution depends on the goodwill by the National Government,” he said.