A heated meeting between the Senate Finance Committee and National Treasury Cabinet Secretary John Mbadi took place as senators rejected the proposed reduction in county revenue allocations under the Division of Revenue Bill.
The Senate Committee is pushing for KSh 400 billion for counties, while the Treasury is offering KSh 380 billion, citing a drop in projected National income and rising debt obligations.
CS Mbadi explained that the revision was necessary due to budget constraints, but Senators stood firm in their demands. Senate Finance Committee Chairperson, Sen. Ali Roba, highlighted the negative implications of the Treasury’s proposal, particularly on key county services .
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Senator Richard Onyonka of Kisii County voiced his strong opposition, stating, “My interpretation of the law is that , we sat down and decided to increase revenue to county governments, we cannot reverse ourselves. Whichever argument the CS wants to make, the reason is very simple”
Hon. Khalwale has just said it. CS, I would like to beg you, my brother, because you understand us. I know how the government sees us because ,for MPs, if their CDF is touched, they even start talking about impeachment.
Onyonka urged the National Treasury to reconsider its proposal, calling for any budget cuts to come from the National Government’s 85% share of revenue, instead of the cCounties’ 15%. He said that the CDF money must be removed from National Government and taken where it will help the County Governments. “Please don’t touch the County Government’s money; whatever you are cutting, cut everywhere else and give to Counties,” he demanded, adding that he would vote against any attempt to lower County allocations.
The Committee, which includes Sen. (Dr.) Khalwale Boni, Sen. Joyce Chepkoech Korir, Sen. Keroche Tabitha Karanja, Sen. Abdalla Shakila Mohamed, Sen. Oketch Eddy Gicheru, and Sen. Faki Mohamed Mwinyihaji, echoed these sentiments, with Present members expressing concern over the impact on vital County projects.
Senators expressed deep frustration over what they see as the prioritization of National Governments projects over County Governments, with some, like Onyonka, pledging to vote against any bill that reduces County allocations.
The standoff between the Senate and the National Assembly, which will have to mediate on the final Division of Revenue Bill, poses a risk to the timely passage of the bill, potentially delaying the disbursement of funds crucial to County Governments.
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