Crisis as 30 counties yet to budget
More than half of the 47 county governments are in the throes of financial crises after their assemblies delayed the approval of budget estimates for the 2021/22 financial year due to political fights between executives and MCAs over control of resources.
The Public Finance Management Act requires that budget cycle, at both national and county levels, be done with by July 1 when the new financial year begins, but nearly a month-and-half into the financial year, 30 county governments are operating without approved budgets while another 17, though approved by the county assemblies, have been stalled by the Office of the Controller of Budget (OCoB) for failure to comply with the provisions of the Act.
The counties whose budgets have been approved by the assemblies are Kitui, Elgeyo Marakwet, Busia, Nyeri, Samburu, Tana River, Lamu, Nairobi, Bomet, Kiambu, Kwale, Uasin Gishu, Machakos, Garissa, Isiolo, Kakamega and Baringo.
The situations have created financial stress in the counties, causing a delay in paying of salaries and implementation of flagship projects planned by governors.
Debt Management
To ensure that budgets are approved in line with the law, the Public Finance Management Act mandates the OCoB to ensure that all budgets approved by county assemblies are in line with the County Integrated Development Plans, annual development plans as adopted by respective county assemblies, the county Budget Review and Outlook Paper, and the Debt Management Strategy paper.
The Sunday Nation has learnt approval of budgets in the 30 counties has been undermined by MCAs who are taking advantage of their role to demand bribes from governors in exchange of approving the estimates.
Apart from bribery, some of the MCAs are skewing the budgets to prioritise projects they believe will help them energise their constituents and shore up their re-election. In Nakuru, the MCAs increased the allocation to ward fund to what a source desdcribed as unrealistic level, triggering a fight with the executive.
According to the source, the variation in allocation to the fund is too significant to affect the implementation of the budget with just a year to elections.
In Bungoma, the budget has been turned into a political war pitting Governor Wycliffe Wangamati and Senator Moses Wetangula.
Mr Wangamati is accusing the senator of using the Speaker of the County Assembly Emmanuel Situma to delay the approval of the budget. Wetangula did not respond to our or comment.
While he admitted there is delay, Speaker of Nakuru County Assembly Joel Kairu blamed the executive for failing to submit critical documents that are mandatory when debating and approving budgets. BY DAILY NATION
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