• Kenya Power and Lighting Company was allocated an additional Sh200 million
• Funds sourced from key sectors and reallocated to spur economic growth in the post-Covid-19 period.
Image: HANDOUT
Suppliers and contractors will finally be paid Sh1.4 billion in pending bills after the Nairobi County Assembly on Tuesday approved a Sh2.51 billion supplementary budget.
The funds were sourced from key county sectors and reallocated in the budget to spur economic growth in the post-Covid-19 period.
Other sectors that won big in the supplementary budget include Kenya Urban Roads Authority , Kenya Revenue Authority, market traders, Kenya Power Company and the Governor and Deputy Governor's offices.
The budget supplements the current Sh39.7 billion budget for 2021-22.
In the budget tabled by Finance and Budget Committee chairman Robert Mbatia, Kenya Power and Lighting Company was allocated an additional Sh200 million. Another Sh100 million was allocated to market services for the setting up smart kiosks.
About Sh300 million was allocated to KRA for unremitted tax arrears.
Also, Sh300 million was allocated to Kura to pay debts for road construction under the Nairobi Regeneration Programme.
The offices of the governor and deputy governor got Sh70 million to cater for foreign travel. The finance and economic planning department was allocated Sh100 million for foreign travels
Other key sectors lost out as they have to contend with budgetary cuts in order to allow for re-allocation of funds
The biggest loser is the Office of the Governor; the recurrent budget was reduced by Sh125 million while the ICT was cut by Sh50 million.
The finance sector had its funds reduced by Sh72 million, education by Sh24 million and trade and commerce sector lost Sh35 million.
Health functions under City Hall lost Sh7 million.
The recurrent budget for urban planning lost Sh4.4 million, public service management Sh50 million, agriculture Sh20 million and Environment Sh643,230 million.
DEVELOPMENT
The Nairobi County Assembly was the biggest loser under the development budget: Sh4 billion was deducted.
The Office of the Governor was also not spared as Sh46.89 million was slashed.. About Sh4.15 million was also cut from the County Public Service Board.
The development budget of the education sector was also slashed by Sh184.9 million, Sh158.8 million was cut from the trade sector and Sh13.5 million from agriculture.
The environment, water, energy, and natural resources budget was reduced by Sh643, 230.
However, the Nairobi Metropolitan Services development budget remained untouched.
Budget chairman Robert Mbatia said the re-allocation was made by assessing current realities. Timelines to the general election and next financial year were top factors they considered.
He said the reduction of funds from certain sectors and re-purposing them to others was meant to trigger economic growth.
"In the education sector, for instance, we didn’t just slash but the committee had a conversation with the sector heads, for example, on the number of ECDE centres they can put up in the remaining time,” Mbatia said.
Minority leader Michael Ogada urged sectors to budget for what they could only absorb ,to avoid stifling other dockets that need the funding.
"We need to appreciate the executives are aware their term is almost coming to an end and you have noticed the sectors have utilised their allocations.
"In the next budget, departments need to request what they know will be utilised," he added.
(Edited by V. Graham)