The August 8 election and the subsequent transition are to blame for the delay in monthly disbursements to the counties, Treasury CS Henry Rotich has said.
The Senate approved the cash disbursement schedule on September 14, but the counties are yet to receive the money.
Some county employees have not been paid and operations have been grounded. Students who rely on bursaries have been hit hard.
"We received a letter from the Senate dated September 17, 2017 communicating Senate's approval of the Schedule. We, however, noted that there were variances between the county allocations in the Schedule and those approved in the County Allocation of Revenue Act of 2017," Rotich says in a letter to the CoG.
"As a result, we are unable
to finalize the schedule
for placement in the Kenya Gazette. We have written to the Senate seeking clarification and guidance on how we should proceed in light of the variances."
In the meantime, the National Treasury will continue to provide cash advances to the county governments with low cash balances in the Central Bank of Kenya, Rotich said.