WHERE ARE YOUR BUDGETS?

Why 28 counties are unable to access funds despite billions lying in accounts

The counties have at least Sh30 billion lying idle in their accounts

In Summary

• Twelve counties have not submitted budgets to the country’s budget controller.

• Twelve others have submitted their budgets but are pending review and approval or otherwise.

Council of Governors chairperson Anne Waiguru leads the governors during a full council meeting to discuss the ongoing doctors' strike at the CoG headquarters in Nairobi on April 16, 2024.
CASH CRISIS: Council of Governors chairperson Anne Waiguru leads the governors during a full council meeting to discuss the ongoing doctors' strike at the CoG headquarters in Nairobi on April 16, 2024.
Image: LEAH MUKANGAI

The Office of the Controller of Budget has questioned the whereabouts of 2024-25 budgets for counties amid revelations only 19 have been cleared to access funds.

It has emerged 12 counties have not submitted budgets to the controller as stipulated in the law.

Sixteen others have submitted their budgets but are pending review and approval or otherwise by the Margaret Nyakang’o-led office.

The Star has established that at least Sh30 billion is lying idle in the counties’ bank accounts at Central Bank but they cannot access the funds until their budgets are cleared.

“The Treasury released Sh30 billion to the counties [for June]. The counties themselves also channel their own source revenues to the revenue fund accounts as required by law,” Nyakang’o said.

“For them to access the funds, they must requisition through my office. And for that to happen, their budgets must be approved.”

Governors have often complained about the delayed release of funds by the Treasury, affecting critical operations including payment of salaries and services.

Counties yet to submit their budgets include Elgeyo Marakwet, Embu, Isiolo, Kirinyaga, Kisii, Meru, Nyamira, Nyandarua, Siaya, Tana River, Trans Nzoia, Wajir and West Pokot.

It is not clear why they have not submitted, not passed or submitted their budgets for scrutiny.

However, incessant infighting between the executive and assemblies in some counties has been blamed for the delayed approval and submission of the budgets.

“We don’t know why they are not sending their budgets to us but it has always had something to do with the bad blood between the executive and the assembly,” Nyakang’o told the Star.

“County assemblies have always lamented that there is nothing for them in the budgets. That is where the problem has been. But it is hurting counties.” 

This came at a time most counties are broke, with some unable to pay their employees July salaries.

The Star has established that several governors have sought postponement of their meetings with senators to answer to audit queries due to lack of funds to ferry their staff to Nairobi.

“Actually, there is nothing we are doing. Most governors have sought postponement. Counties don’t have money,” County Senate Public Investments and Special Funds Committee chairman Godfrey Osotsi said.

Documents seen by the Star show Bomet, Bungoma, Busia, Homa Bay, Kajiado, Kiambu, Kisumu, Lamu, Machakos, Makueni, Migori, Nandi and Narok have been cleared.

Also cleared are Taita Taveta, Tharaka Nithi and Vihiga.

Those whose budgets have been reviewed pending clearance are Uasin Gishu, Samburu, Nyeri, Mombasa, Laikipia and Kitui.

Counties whose budgets are pending include Baringo, Garissa, Kericho, Kilifi, Kwale, Mandera, Nakuru and Turkana.

Article 228 of The Constitution of Kenya shows the core mandate being to oversee implementation of the budgets of the national and county governments by authorising withdrawal from public funds.

The devolved units were allocated Sh380 billion, up from Sh385 billion last year, in the revised budget.

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