The Council of Governors has proposed amendments to the draft Cooperative Bill 2023 on the management of cooperatives in the country.
Agriculture and Cooperative Committee chair Kenneth Lusaka said there was a need for a robust legal framework in the management of cooperatives in the country, a devolved function as enshrined in the Constitution.
Lusaka said clarity is needed on the roles and linkages between the national and county governments on the issuance of cooperative registration certificates, issuance of demand and agency notices, inspection of cooperative societies, and inquiry into the affairs of the primary and secondary cooperatives among others.
"It is crucial to acknowledge and adhere to the constitutional functions of devolved governments, more so in agriculture,” Lusaka said.
He made the remarks during a meeting with the Agriculture and Cooperative Committee of Parliament and the Ministry of Cooperatives and Micro, Small and Medium Enterprises Development, held on Wednesday at a Nairobi hotel.
He added that the absence of automated systems for and management of cooperatives is detrimental to the growth and success of cooperatives in the country.
CoG proposed that the Ministry of Cooperatives recall the Bill submitted to the Parliament to allow incorporation of concerns raised by county bosses.
The meeting was presided over by the Ministry of Cooperatives and MSMEs Development Cabinet Secretary Simon Chelugui, and attended by Governors Mutahi Kahiga (Nyeri), Paul Otuoma ( Busia), CoG CEO Mary Mwiti among others.
Lusaka maintained that there is a need for coordinated action and approach between the national and county governments in promoting the development of cooperatives in Kenya
“We urge the State Department of Cooperatives to ensure that the functions of Commissioner of Cooperatives are only limited to provisions of technical assistance and capacity buildings to the county governments and development of standards for cooperatives in Kenya,” Lusaka added.
He said the county government's role should be to ensure the development and regulation of cooperatives in their respective jurisdictions.
He added that counties should as well oversee registration of primary and secondary cooperatives stating that the function is fully devolved under the Fourth Schedule to the Constitution.