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County Additional Fund Stalemate: National Assembly, Senate Clash Over Funding

Legislators are threatening to halt negotiations with senators on a crucial bill to allow the release of funds to counties.

NAIROBI, Kenya Nov 27- There is an impending impasse between the National Assembly and the Council of Governors over Sh61 billion meant for counties.

Legislators are threatening to halt negotiations with senators on a crucial bill to allow the release of funds to counties.

A case filed by the Council of Governors over control of the Roads Maintenance Levy Fund is hindering negotiations on the amount that should be allocated to counties.

This came as both houses passed contradicting figures as additional allocation to the counties.

While the Senate gave the counties Sh61 billion, the National Assembly slashed the amount to Sh46 billion, triggering the formation of a mediation committee

“There are only two options available for us. Let the CoG proceed with the RMLF case until it’s concluded, or parties withdraw the case so that we can have a basis for negotiation, ” Tongaren MP John Chikati said.

In this case, the Council, along with other petitions, has challenged the MPs’ move to deny the proceeds of the Road Maintenance Levy Funs to county governments, amounting to Sh10.5 billion.

RMLF is among the eight Funds provided for in the County Government Additional Allocation Bill, 2024.

Others are allocation for the payment of the Community Health Promoters, County Aggregate and Industrial Parks, construction of county headquarters for some counties, payment for museum staff and proceeds from court fines, mineral royalty.

However, the COG has maintained that it will not withdraw the case, insisting that it would let it proceed to its logical conclusion.

“Let the right thing be done so that I’m future we don’t have the same problem. Let’s finish this matter once and for all. We have been told it will have concluded early next year,” COG Transportation Committee chairman Mohamud Ali said.

Mohamud, whose committee is at the centre of the case, spoke when he appeared before the Senate Energy Committee on Tuesday.

In its inaugural meeting on Wednesday, the COG case on RMLF dominated the stormy session with MPs pushing for shelving of the entire Bill until the case is either concluded or the petitioners withdraw it.

“I don’t blame the Senators but the governors that you oversight have taken the National Assembly to court on the matter of RMLF,” Soy MP David Kiplagat said.

According to the MP, proceeding with the Bill with the case on RMLF still in court amounts to subjudice.

“It’s incumbent upon this committee that we don’t proceed with this matter until the case is heard and determined.

The committee is co-chaired by Tabitha Mutinda (nominated) and Ndindi Nyoro (Kiharu).

“I would humbly request my co-chair, you have more contacts with governors than MP, get in touch with them so that we can get processed. The national assembly will raise the issue that we are raising,” Ndindi said.

However, the Senators challenged the argument, stating the COG and the petitions have challenged other funds in the Bill.

The Senators warned that other crucial programmes, including the budget for stipends for Community Health promoters and the construction of County Aggregate and Industrial Parks (CAIPs), could be grounded if the Bill is not passed.

“It is the CHPs who are doing SHA and SHIF registration. Therefore, calls to suspend the proceeding until the case is concluded is unpatriotic,” Homa Bay Senator Moses Kajwang said.

Senators Catherine Mumma (nominated), Abass Mohamed (Wajir) and George Mbugua (nominated) also rejected the MPs’ push to suspend the negotiations.

Besides scrapping Sh10.5 billion RMLF allocation, the MPs reduced the allocation for CHP to Sh2.58 billion from Sh3.24 billion.

The MPs also reduced the budget for County Aggregation and Industrial Parks (CAIP) by a whopping Sh2.5 billion.

CAIPs are being put up under a joint funding framework with the national and county governments contributing Sh250 million each.

The senate had allocated each of the Sh47 counties Sh250 million for the construction of the parks.

MPs scrapped Sh523.10 million support from the national government for the construction of some five-county headquarters.

In addition, MP removed the entire Sh30.18 million that had been proposed for payment of staff following the transfer of the function to the counties.

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