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Turkana with a population of 855,399, will get Sh8.1 billion/XINHUA-File

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Nairobi, Turkana to get highest county cash

The commission had recommended in its report released in April that the Equalisation Fund (0.5 percent of the national Budget) be disbursed from the 2013-2014 financial year when county governments will be functioning.

It also proposed that the funds set aside for the 2011-2012 and 2012-2013 financial years be rolled over to the 2013-2014 financial year.

The sectors to be targeted for improvement are water, education, health services, energy and rural access roads.

CRA in its report to the House relied on the population data from the 2009 Housing and Population Census.

Article 212 of the Constitution dictates that Parliament give final approval.

For the funds to be channelled to the counties, Parliament will have to pass two Bills – the Division of Revenue Bill which deals with sharing of revenues between the national and county governments and the County Allocation of Revenue Bill which relates to the sharing of revenue among the counties, at least two months before the end of each financial year.

In its report in April, the Cheserem Commission said the money will be allocated to the 47 counties based on a population at 60 percent, poverty levels at 12 percent, size at six percent, and fiscal responsibility pegged at two percent. The remaining 20 percent will be shared equally among the 47 counties.

MPs opposed the formula used, saying it was meant to increasingly marginalise their regions while others threaten to move court to block the implementation of the formula in case they are unsuccessful in amending in Parliament.

The MPs mainly from North Eastern and Eastern Regions said the formula works against the principle of devolution.

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The World Bank also faulted the formula saying it unduly favoured marginalised counties at the expense of established ones and the economy.

The bank said that while the Commission for Revenue Allocation formula addressed short-term equalisation across counties, the portion of revenue shared equitably should have been increased to avoid slowing down the progress of developed counties like Nairobi.

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