Senate recalled to pass Revenue Bill

August 31, 2014 9:36 am
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the delay by the National Assembly to pass the Division of Revenue Bill and the County Allocation of Revenue Bill has resulted in failure by counties to offset some of their bills/FILE
the delay by the National Assembly to pass the Division of Revenue Bill and the County Allocation of Revenue Bill has resulted in failure by counties to offset some of their bills/FILE
NAIROBI, Kenya, Aug 31 – Counties can finally breathe easy after Speaker of the Senate Ekwe Ethuro recalled the House to a special sitting Tuesday to consider the County Allocation of Revenue Bill which will see counties access the Sh226 billion allocated to them.

However the delay by the National Assembly to pass the Division of Revenue Bill and the County Allocation of Revenue Bill has resulted in failure by counties to offset some of their bills which include paying salaries to county staff and paying service providers contractors.

The past few days have seen health workers stage demonstrations over delayed payment.

Last week, Council of Governors Chairman Isaac Ruto sounded the alarm over the stalemate.

“I want to tell you that to date; no money for this financial year has reached any county. It has not reached our revenue accounts. Probably in future what we will do is to amend the Public Finance Management Act so that counties can access 50 percent of their funds upon probably the passage of the Division of Revenue Act,” he stated.

Owing to this, Wednesday last week, the National Government was forced to loan counties Sh29 billion to offset some of the emergency debts pending the bills’ approval.

The County Allocation of Revenue Bill which originated from the Senate then forwarded to the National Assembly for debate has been awaiting consideration and eventual passing by the Senate before onward transmission to the President for assent.

Counties will however have to wait for seven days before receiving the monies.

The counties will on the other hand have to pay the money back as soon as they receive their allocation.

After the House completes the business before it, it will adjourn until September 23.

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