Chief Justice David Maraga has directed the Senate Speaker to appoint a team to mediate over the impasse on the Division of Revenue Bill with the National Assembly.
This comes after the National Assembly indicated to the court that they have already come up with their own team for the mediation process.
The Supreme Court said it is willing to hear the reference but it wants to allow Parliament to complete its constitutional process.
The court directed matter be mentioned on September 16 to confirm whether parties will have reached a consensus.
The stalemate has paralysed operations in county governments, which have seen county workers in some counties downing their tools.
The National Assembly had passed a revised Bill allocating Sh316.5 billion to county governments.
Senators, however, want counties allocated Sh335 billion.
President Uhuru Kenyatta meanwhile insisted that the government does not have extra money to locate to counties.
Uhuru asked both Houses to negotiate over the matter, saying that the government cannot give what it does not have.
He spoke on Thursday while opening Nakuru new chambers.
He added that the stalemate has affected the locals who are not able to access services at the grass-root level.
