Senators summon Treasury, Controller of Budget over budget crisis

Senators want the National Treasury and Controller of Budget to release funds to counties even as they seek to unlock the impasse over the Division of Revenue Bill, 2019.

The lawmakers want Treasury CS and CoB to take administrative measures to save counties, whose operations have been threatened by an acute cash problem.

They have summoned acting Treasury CS Ukur Yatani, Devolution CS Eugene Wamalwa, Controller of Budget Agnes Odhiambo and Council of Governors chairman Wycliffe Oparanya to a meeting. 

“I direct that the officers should appear before the Committee on Tuesday without fail,” Deputy Speaker Kithure Kindiki said.

The lot will appear before the Senate’s Finance and Budget Committee chaired by Mandera Senator Mohamed Mohamud on Tuesday to discuss ways of resolving the cash crisis in devolved units. 

“The meeting must provide all the necessary resolutions to protect any public office that may be required to use administrative measures to unlock the stalemate so counties can start receiving money before the end of this month,” Kindiki said. 

The move will be a relief to the devolved units whose operations have almost been paralysed because of the stalemate in Parliament.

While senators want the counties allocated Sh335 billion in the current financial year, MPs have insisted on Sh316 billion, leading to a standoff.

Kindiki said counties are desperate for cash and directed that Tuesday's meeting should not adjourn until a resolution is reached. The committee will report to the House in seven days.

“Desperate times call for radical and desperate measures,” he said. 

The speaker’s ruling followed a statement by Mohamud seeking the House’s resolution to compel Treasury to release a percentage of the funds to counties.

Mohamud said while the national government was enjoying the benefits of the Appropriations Act and drawing money from a vote to pay for their services, the same is not happening in counties.

“This House should resolve that the National Treasury is called upon to provide the required funding, similar to what is provided for in the national government in terms of votes on account for them to draw, at least, up to half of whatever figure that will come, ” he said. 

He contested the legality of the Appropriations Act, saying it is illegally being applied with the Division of Revenue Act.

“Ideally, no arm of government should enjoy any funding from the Consolidated Fund because the Division of Revenue Act has not been enacted,” the senator said.

Bungoma Senator Moses Wetangula called on the CoB to allow counties to draw at least half of an equivalent last year's allocation to continue operating.

“However, knowing how this country operates, the witch-hunts and everybody looking for authority to do something that they ought to do even under the law, I suggest that you direct the committee [Finance and Budget] to bring a motion to this House that urges the CoB to exercise her discretion and authority to allow drawings on vote,” he said.

Edited by R.Wamochie