Senators finally approve third basis revenue sharing formula

Senators have unanimously voted to approve the third basis for sharing revenue among counties.

All the 41 senators (delegations) present in the House on Thursday afternoon voted to approve the formula after months of a standoff .

Earlier, the 12-member Senate Committee that was tasked with developing a win-win formula after President Uhuru Kenyatta pledged an additional Sh50 billion allocation to counties reached a consensus.

The team co-chaired by senators Johnson Sakaja (Nairobi) and Moses Wetangula (Bungoma) announced that it has come up with a comprised formula.

" We have agreed on a formula that will benefit all Kenyans," Sakaja told the Star.

The comprised formula will be introduced on the floor this afternoon in form of a report for debate and approval.

The lawmakers had taken a short break for them to be taken through the formula before they debate and take a vote.

The proposed formula takes into account eight parameters; Basic share (20 per cent), Population (18 per cent), Health (17 per cent), Poverty Level (14 per cent), Agriculture (10 per cent), Roads (eight per cent), Land (eight per cent) and Urban (five per cent).

In the new formula, Nairobi gains the highest amount with Sh3.3 billion to push it's total allocation to Sh19 billion.

The other top gainers are Nakuru (Sh2.5 billion), Kiambu (Sh2.2 billion) and Turkana (Sh2 billion).

Lamu 's total allocation will shoot to Sh3.1 billion with Tharaka Nithi getting the least addition of Sh289 million.

No county loses revenue in the proposed formula.

Governors made real their threat to shut down operations in counties from Thursday over the revenue sharing stand-off in the Senate.

The Senate had been accused of failing in its constitutional duty, resulting in county operations grinding to a halt.

CoG chairman Wycliffe Oparanya said in a statement on Wednesday the shutdown had been occasioned by lack of resources after senators failed to agree on the revenue sharing formula.