Operations in counties have been paralysed due to the failure of the national government to release monies due to them, the Council of Governors (CoG) has said.
CoG’s Finance, Planning and Economic Affairs chairman, Fernandes Barasa said all 47 counties are owed more than Sh90 billion.
“I want to confirm that operations in counties have been paralysed because over Sh90 billion owed to the devolved counties has not been disbursed,” he said.
Barasa, who is also the Kakamega governor, said the last disbursement they received was for June.
“Some counties are yet to receive the money because of delays by the Controller of Budget,” he added.
He appealed to National Treasury Cabinet Secretary John Mbadi to expedite the release of the equitable share due to counties.
The government is eying Sh20.1 billion from the money meant for counties as an equitable share of revenue raised nationally following the rejection of the Finance Bill, 2024.
Governors have, however warned the proposed reduction from Sh400.117 billion to Sh380 billion would severely cripple the operations of county governments and their ability to provide essential services, such as healthcare.
The Commission on Revenue Allocation (CRA) has come to the defence of county governments.
CRA Chairperson Mary Chebukati has argued that there is no justification for cutting the budget allocated to county governments.
Governors have indicated that even the current allocation is inadequate, noting that the Senate had initially proposed Sh415.9 billion before it was reduced through mediation, while the counties had requested Sh439.5 billion.
