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February 22, 2018

CRA caps counties' annual recurrent expenditure at Sh57bn

A Cabro road project along Faza island in Lamu East which was initiated by the county government to enable locals walk freely. /FILE
A Cabro road project along Faza island in Lamu East which was initiated by the county government to enable locals walk freely. /FILE

Commission on Revenue Allocation has barred county assemblies and executives from exceeding recurrent expenditures of Sh31 billion and Sh26.8 billion respectively.

Martin Masinde, Parliamentary Budget Office senior deputy director, said this will be for the financial year 2018/2019. 

The official on Wednesday presented the CRA proposed ceilings for county executives before the Senate Standing Committee on Finance.

CRA elevated the ceilings for the 47 county assemblies and executives up from Sh28.8 billion and Sh25.8 billion respectively. 

County executives with the largest proposed ceiling is Nairobi at Sh761.6 million. Others are Kakamega (Sh675 million) with Kisumu and Bungoma at Sh623 million each.

The limit for salaries, allowances and gratuity for governors and their deputies was set at Sh1 billion.

Those for executive staff, and ward administrators were capped at Sh4.4 billion and Sh3.5 billion respectively.

Ceilings for salaries, allowances and gratuity for MCAs and county assembly staff were set at Sh11 billion and Sh9.4 billion respectively.

"Some of the MCAs travel so much and hold many sittings but minimum output is seen in terms of legislations," Masinde told the committee chaired by Mandera Senator Mohamud Mohamed.

CRA further recommended Sh337.2 billion for county governments as equitable revenue shares for the financial year 2018/2019.

In the proposal, Nairobi county will get the lion's share of Sh16.9 billion followed by Kilifi, Turkana and Mandera at Sh11.6 billion, Sh11.5 billion and Sh10.8 billion respectively. 

In the previous financial year, the equitable share stood at Sh302 billion. The amount was to be transferred to the counties as equitable share of the national revenue. 

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