• Governor proposed reducing assembly's allocation, says their allocation has been increasing since devolution while that of executive reduces.
• He cites stalemate as problems faced by underfunded counties, says they should receive at least Sh5 billion. County allocated Sh3.7 billion.
Image: MATHEWS NDANYI
Elgeyo Marakwet Governor Alex Tolgos has declared a budget crisis after he disagreed with MCAs over reduced allocations to various departments outlined in a 2019-20 Appropriations Bill.
The administration has recommended budget cuts to the county assembly and other departments to help bridge a deficit of Sh200 million.
But MCAs twice voted to reject the Appropriations Bill leading to the stalemate.
Tolgos has now invited the Senate, the Commissioner on Revenue Allocation, the Controller of Budget and the public to intervene in the row.
“This stalemate may, unfortunately, lead to delayed implementation of development activities,” Tolgos said in Iten on Monday.
He said he had unsuccessfully appealed to the county assembly to help bridge the deficit by considering a budget cut "but his pleas had been ignored".
The county chief said the deficit included Sh70 million for existing staff salaries, Sh40 million for medical staff insurance and another Sh89 million for replacement of critical staff occasioned by natural attrition and retirement.
Tolgos said he had been on record declaring that Elgeyo Marakwet could not meet its financial obligations with Sh3.7 billion allocated to it annually by the CRA.
“This stalemate is evidence of the problems facing counties that are underfunded by the CRA.”
He said counties affected including Tharaka Nithi, Lamu had tried to have the CRA formula for revenue allocation reviewed but that was yet to be achieved.
Tolgos said the counties should receive at least Sh5 billion if they are to remain afloat.
He said all leaders from the county had visited the CRA to present their case but their concerns were not captured in the third-draft formula.
In 2019-20, the CRA allocated a ceiling of Sh566 million to the county assembly and Sh535 million for the Executive, he said.
“However, since 2013, the executive has been progressively ceding its allocation to the current Sh361 million. The reduction has been to address a sustained minimum requirement on development of at least 30 per cent and accommodate increased wages occasioned by SRC circulars, CBAs and annual increments.”
In the disputed budget, the executive's recurrent allocation of Sh361 million caters for operations and mandatory expenses comprising of purchase of drugs, ambulance services, bursaries, electricity bills for street lights, health facilities and water supply.
This, he said, leaves very little for operations by staff while implementing and monitoring county projects and programmes.
He said, however, the county assembly recurrent budget has been increasing from Sh351 million in 2014-15 to the current Sh566 million including Sh293 million for salaries and Sh73 million for operations.
This, Tolgos said, is with a staff population of 99 compared to executive’s Sh180 million for operations with a staff population of 2,484.
He said the assembly does not implement any projects and he would stand by his earlier decision not to assent to the budget unless the estimates for the assembly are reviewed downwards.
Edited by R.Wamochie