The Council of Governors secretariat risks being kicked out of their offices at Delta Corner Towers in Westlands due to an outstanding rent amounting to Sh19.37 million.
Auditor-General Edward Ouko, in his latest report for the financial year that ended in June 2017 tabled in Parliament by Majority Leader Aden Duale, pointed out that some counties have not been remitting their dues to the CoG for rent payment.
“The failure to collect budgeted receipts from the county governments while the planned activities are undertaken would adversely affect the continued operation of the council and financial sustainability of the secretariat,” Mr Ouko said in his report.
“In the circumstances, the secretariat being the tenant faces eviction and possibility of litigation,” he added.
CONTRIBUTIONS
In 2014, the secretariat entered into a lease agreement with Garden Properties for office space at Delta Corner Towers.
At the point of leasing the space, all the 47 county governments were to take up and pay for some space to establish their liaison offices.
The rent is payable quarterly to the secretariat who in turn pays the landlord.
On September 5, 2016, the council held a meeting and agreed that each county was to contribute Sh12.5 million and Sh2 million towards inter-governmental and devolution conferences respectively.
However, out of the total expected revenue of Sh681.5 million, the secretariat received only Sh290.2 million from the counties.
LEGAL FEES
Only one county government honoured its obligation in full towards the inter-governmental contribution while 20 did not give any monies at all for the same, whereas eight devolved units did not contribute any monies at all for devolution conference support.
Mr Ouko also raised questions over a decision by the Council of Governors’ to pay one lawyer Sh31 million to handle various cases between the council and various arms of the government without proper justification.
The lawyer was handling cases between Council and Senate, National Assembly and the IEBC during the 2016/2017 financial year.
The report also revealed an irregular Sh7.67 million payment for helicopter hire which was not backed by any documents.
Further, the Council promoted and recruited staff in various categories during the 2016/2017 financial year resulting into an increase in compensation of Sh60.8 million, this Mr Ouko noted was not informed by advice from the Salaries and Remuneration Commission.