Treasury to release money to county on Monday 21st

Treasury Cabinet Secretary Ukur Yatani now says county governments will receive Sh60 billion by Monday after Senators reached a consensus on the third basis formula for revenue allocation.

The Senate had failed for a record 10 times to unlock the deaclock.

Yatani said this is part of their Sh316.5 billion revenue for the 2020-2021 financial year.

“I want to assure Kenyans that we will disburse that money latest Monday. It has been here for the last 2 months and we have already finalized all the internal arrangements within Treasury. The funds are ready and we are only waiting for the presidential assent possibly by today,” said Yatani.

The law does not allow Treasury to disburse money from the Consolidated Fund until the Senators had agreed.

“Treasury cannot give the money without the authority of the two Houses. It is not possible. Funds from a consolidated fund cannot be disbursed in absence of any written law either appropriation or direct charge of the consolidated fund but that is now behind us,” Yatani said.

Meanwhile, the National Assembly has been urged to approve the Senate recommendations, with Elgeyo Marakwet Senator Kipchumba Murkomen urging MPs to hasten its passage to enable county governments to get the much-needed funds.

On Thursday, the Counties Revenue impasse was resolved after Senators unanimously voted in support of the third basis formula for funds allocation.

41 legislators voted, with no one opposing the formula which was earlier agreed to by the 12-member committee formed to resolve the standoff.

“The results are as follows, abstentions zero, nays zero, eyes 41. The eyes have it,” House Speaker Ken Lusaka announced after the voting process.

READ  Bensouda warns Ivory Coast violence, amid pending ICC case

The committee which was co-chaired by Nairobi Senator Johnson Sakaja and his Bungoma counterpart Moses Wetangula ensured that in the new formula no county loses money.

The Counties will now receive the same shareable revenue that they received in 2019-2020 financial year and receive the additional revenue starting 2021-2022 financial year.

The new formula will now see counties receive a total of Sh.370 billion for the next 5 years before it is repealed.

“The protracted process that we took has been able to bring to our counties an additional 53.5 billion shillings. It has not been in vain, it has borne fruits and I want to encourage this house to remain steadfast, steady and be the last line of defense of the doctrine of devolution in this country,” Wetangula said.