- According to the report the firm has been operating without an asset register.
- The committee wants the probe to narrow down to the assets not documented by the firm.
Image: FILE
A Senate Committee has called for an audit and verification of all the assets of a water firm over lack of asset register.
The committee made the recommendation after the Auditor General established that the firm was allegedly operating without a fixed asset register.
In a report that has since been adopted by the House, the Vihiga Senator Godfrey Osotsi-led Committee on Public Investments and Special Funds wants the Auditor General to conduct the audit within 60 days.
The committee wants the probe to narrow down to the assets not documented by the firm.
This, the committee said should include the value for decentralised wastewater treatment facilities, the unknown value of land where the wastewater treatment facilities and office occupy and the value attached to the water pipeline system as raised from the June, 2021 Auditor General's report.
Other assets in question are the ownership of documents in respect of wastewater treatment facilities land and other assets transferred to the water provider which were not available during the audit.
The report by the eight-member committee notes that a probe established that the firm did not have the values of all the assets and liabilities it inherited from the defunct authorities.
The committee last week tabled a report on the consideration of audit reports of county water service providers for the year ended June 30, 2021.
Further, according to the report, the firm's management failed to provide ownership documents for the assets donated to it.
According to the report, the company is struggling to supply water to the residents.
The committee observed that there was great incompetency within the company regarding financial reporting.
"The accounting officer of the water company should update the fixed asset register under the format prescribed by the Public Sector Accounting Standards Board and in accordance with Section 136(1) of the Public Finance Management (County Governments) Regulations, 2015,” the report said.
The probe by the committee was necessitated by revelations in the report by the Auditor General for the year ended June 2021.
The report pointed at inaccuracies in property, plant and equipment ownership.