Senate approves Sh50.5b for counties after months of delays

National Assembly  and Senate Buildings  during the opening of the 13th Parliament, Nairobi on September 29th, 2022 [Elvis Ogina,Standard]

The Senate yesterday approved an additional allocation of Sh50.5 billion to the 47 counties to cater for the expenses of crucial projects.

During a special sitting, senators supported the  County Governments Additional Allocation Bill and urged county governments to ensure proper utilization of the funds.

The allocation will support conditional funding for the County Aggregation and Industrial Parks program and the Community Health Promoters project.

The funds will also be used to  settle salary arrears for healthcare workers in county governments as part of the 2017-2021 Collective Bargaining Agreement.

Senate Majority Leader Aaron Cheruiyot criticized the prolonged delays, noting that the County Governments Additional Allocation Bill should not be used to undermine devolution. He expressed concern that the funds had been withheld for over eight months.

“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 urged the House to fast-track the bill to ensure counties receive the Sh50.5 billion allocation without further delay, noting that it was regrettable to be passing it so late in the financial year.

He emphasized that the funds include essential allocations, such as the construction of county headquarters—some of which have been under construction for a decade—as well as conditional grants for county industrial parks. He called on Senators to closely monitor these projects to prevent the emergence of white elephant projects.

Cheruiyot also stressed the need to sensitise counties on producing raw materials for the industrial parks, cautioning against erecting modern buildings that lack practical use. He urged the Senate Finance Committee to assess whether the funds should be allocated separately for better oversight.

Senate Chief Whip Boni Khalwale, criticised the delay in disbursing funds, noting that donors are puzzled by the situation. He stated while funds meant for county development remain idle in bank accounts due to the ongoing stalemate, interest continues to accrue on the unused money.

“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.