Friday, 06 May 2022 08:18

WAMBORA-LED COG DELEGATION DISCUSSES COUNTY GOVERNMENTS FUNDING IN IBEC FORUM WITH DP RUTO

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The Council of Governors led by the Chairman, H.E Martin Wambora, on Tuesday 5th April 2022, attended the 16th Ordinary Session of the Intergovernmental Budget and Economic Council (IBEC)to deliberate on budgetary allocations for both National and County Governments for the next Financial Year, among other pertinent issues at the Deputy President’s Karen Office.
The meeting, chaired by Deputy President H.E. Dr. William Ruto, provided an opportunity for County Governments to discuss how to increase own-source revenue generation and settle pending bills. Since the onset of devolution, County Governments have been reeling under the weight of pending bills, which at times have been a cause of conflict with the National Treasury.
In his opening remarks, Deputy President Dr. William Ruto urged Counties to remain committed and prioritize settling their pending bills, directing Treasury to work with the Office of the Attorney General to determine the fate of the ineligible pending bills amounting to Kshs 107 billion.
“The Auditor General’s report on the audit of pending bills determined that Kshs 45.5 billion is payable out of the Kshs 153 billion that was reported,” said H.E Ruto.
According to CoG Chair H.E Martin Wambora, County Governments have demonstrated a strong commitment to ensuring that eligible pending bills are cleared in order to alleviate the suffering and financial hardships being experienced by suppliers. However, Counties are cash strapped due to the current delayed release of Kshs 148.4 billion by the National Treasury.
Out of the outstanding amount, Kshs 8.26 billion is owed to 11 Counties for January and Kshs 16.2 billion to 23 Counties for February. The 47 Counties are owed Kshs 29.6billion and Kshs 33.3 billion for the months of March and April respectively.
In addition, Governor Wambora called upon the National Assembly to fast track the passage of the County Governments Additional Allocation Bill 2021 to enable Counties to access Kshs 39 billion in conditional allocations for the current financial year. Controller of Budget Dr. Margaret Nyakong’o on her part decried the low absorption of funds by some Counties attributing it to the delayed disbursement of funds.  On matters regarding the valuation of all County assets and liabilities, IBEC directed Counties to work together with the Ministry of Devolution, Ministry of Lands and Physical Planning, and the Intergovernmental Relations Technical Committee to conclude its valuation and submit individual reports before the general elections.

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