Senators have approved the Division of Revenue Bill where counties are to receive Shs 370 billion for the 2021/2022 financial year.
This is a raise of close to Shs 50 billion in improved shareable allocation, following the commencement of controversial third basis county revenue sharing criteria.
The method was settled on after 10 sittings.
With the Senate approving the bill, it now clearly outlines how the national and county governments are to share revenue.
In a disbursement of Shs 1.7 trillion for the 2021/2022 financial year, the national government will receive Shs1.39 trillion while the county government will receive Shs 370 billion.
The amount is an upgrade from the Shs 316 billion sent to counties in the last financial year
Nevertheless, Senators are pushing for the inclusivity of conditional grants and loans as part of the county equitable revenue share.
“Conditional grants cannot be part of shareable revenue…and the Executive is very good at playing gymnastics, like they played it with medical equipment…that this belongs to you, but we’re not going to release the funds for you to spend, but we’re going to spend it at source,” stated Siaya Senator James Orengo.
Meanwhile, the Senators are working closely to ensure timely disbursement of funds to counties, as they claim that the Treasury is still holding Shs 52 billion meant for counties in the last expenditure.
“This issue of late disbursement to counties is an elephant in the room, I don’t know why the current CS is having a problem with disbursement. I remember when the former CS was in office, every fifth of every month counties would have received their money,” stated Kericho Senator Samson Cherargei.
The stakeholders involved have been asked to observe transparency and accountability following the increment.
By Everlyne Bosibori